SHSE:688484's ROA % is ranked better than 56.09% of 1027
companies
in the Semiconductors industry
Industry Median: 2.47
vs SHSE:688484: 3.59
Southchip Semiconductor Technology (Shanghai) Co (SHSE:688484) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Southchip Semiconductor Technology (Shanghai) Co ROA % Related Terms
Southchip Semiconductor Technology (Shanghai) Co ROA % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Southchip Semiconductor Technology (Shanghai) Co ROA % Chart
Southchip Semiconductor Technology (Shanghai) Co Annual Data
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Southchip Semiconductor Technology (Shanghai) Co ROA % vs Semiconductors Industry
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Southchip Semiconductor Technology (Shanghai) Co (SHSE:688484) has a ROA % of 0.26% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Southchip Semiconductor Technology (Shanghai) Co and its competitors. This is 96% below median its historical median of 6.75. According to the industry distribution chart, Southchip Semiconductor Technology (Shanghai) Co ranks #451 out of 1027 companies in the Semiconductors industry, placing it in the top 43.9%.
Is Southchip Semiconductor Technology (Shanghai) Co's ROA % too high?
Southchip Semiconductor Technology (Shanghai) Co's current ROA % of 0.26% is 96% below median its 10-year median of 6.75. The Semiconductors industry median ROA % is 2.47. Southchip Semiconductor Technology (Shanghai) Co's value of 0.26% is 89.5% below this industry median. Based on the distribution chart, Southchip Semiconductor Technology (Shanghai) Co ranks #451 out of 1027 companies in the Semiconductors industry, which is above the industry midpoint. Overall, Southchip Semiconductor Technology (Shanghai) Co has a GF Score™ of 60/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Southchip Semiconductor Technology (Shanghai) Co's ROA % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Southchip Semiconductor Technology (Shanghai) Co ranks #451 out of 1027 companies for ROA %. This puts Southchip Semiconductor Technology (Shanghai) Co in the upper half of its industry. The industry median ROA % is 2.47. Southchip Semiconductor Technology (Shanghai) Co's value of 0.26% is 89.5% below this benchmark. While the company's 10-year median is 6.75 vs. the industry median of 2.47, Southchip Semiconductor Technology (Shanghai) Co has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Semiconductors company?
The median ROA % among Semiconductors companies is 2.47, based on 1,027 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Southchip Semiconductor Technology (Shanghai) Co's current ROA % of 0.26% is 89.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Southchip Semiconductor Technology (Shanghai) Co and its competitors. For the Semiconductors industry, the median ROA % is 2.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Southchip Semiconductor Technology (Shanghai) Co's current ROA % is 0.26%, which is 96% below median its own 10-year median of 6.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Southchip Semiconductor Technology (Shanghai) Co stock overvalued right now?
Based on GuruFocus' analysis, Southchip Semiconductor Technology (Shanghai) Co (SHSE:688484) is currently considered Possible Value Trap. The stock's GF Value™ is ¥66.02, compared to a current price of ¥42.80 — trading 35.2% below its estimated fair value. The current ROA % is 0.26%, which is 96% below median its 10-year median of 6.75 and 89.5% below the Semiconductors industry median of 2.47. Southchip Semiconductor Technology (Shanghai) Co's overall GF Score™ is 60/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Southchip Semiconductor Technology (Shanghai) Co (SHSE:688484), the current ROA % is 0.26% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Southchip Semiconductor Technology (Shanghai) Co (SHSE:688484) Overvalued in 2026?
Based on GuruFocus' analysis, Southchip Semiconductor Technology (Shanghai) Co stock appears to be undervalued.
The current stock price of ¥42.80 is trading 35.2% below its estimated GF Value™ of ¥66.02.
GuruFocus considers Southchip Semiconductor Technology (Shanghai) Co to be Possible Value Trap.
Key valuation signals for SHSE:688484:
ROA %: 0.26% (96% below median its 10-year median of 6.75)
GF Value™: ¥66.02 vs. price of ¥42.80 (35.2% below fair value)
Industry Position: 89.5% below the Semiconductors median (#451 of 1027)
No single metric tells the full story. See the SHSE:688484 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Southchip Semiconductor Technology (Shanghai) Co Business Description
Southchip Semiconductor Technology (Shanghai) Co Ltd is engaged in the R&D, design and sales of analog and embedded chips, power and battery management. The company's products include Automotive Products, DC-DC Converters, AC-DC Converters, USB Type-C & Power Delivery, PMIC, Charging Management, and Battery Management Solution. It provides solutions to automotive industry, industrial control and consumer electronics.
60GF Score
Get the complete analysis for SHSE:688484
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SHSE:688484 has been successfully added to your 
