Guizhou Chanhen Chemical (SZSE:002895) ROA %: 5.52% (As of Mar. 2026) — 18% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

SZSE:002895 Guizhou Chanhen Chemical Corp SZSE:002895
97 GF Score
Price ¥33.23
GF Value ¥35.72
Valuation Fairly Valued
! 1 Warning Sign
View Full Analysis

What is Guizhou Chanhen Chemical ROA %?

Guizhou Chanhen Chemical SZSE:002895 -0.95% 97 ROA % is 5.52% as of Mar. 2026, which is 18% below its 10-year median of 6.76. GuruFocus rates SZSE:002895 with a GF Score™ of 97/100 and a GF Value™ of ¥35.72 (Fairly Valued). The stock has 1 warning sign investors should review. Among 1,616 Chemicals companies, Guizhou Chanhen Chemical ranks better than 85.21% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Guizhou Chanhen Chemical's annualized Net Income for the quarter that ended in Mar. 2026 was ¥754 Mil. Guizhou Chanhen Chemical's average Total Assets over the quarter that ended in Mar. 2026 was ¥13,678 Mil. Therefore, Guizhou Chanhen Chemical's annualized ROA % for the quarter that ended in Mar. 2026 was 5.52%.

The historical rank and industry rank for Guizhou Chanhen Chemical's ROA % or its related term are showing as below:

SZSE:002895' s ROA % Range Over the Past 10 Years
Min: 3.07   Med: 6.76   Max: 9.45
Current: 9.3

During the past 13 years, Guizhou Chanhen Chemical's highest ROA % was 9.45%. The lowest was 3.07%. And the median was 6.76%.

SZSE:002895's ROA % is ranked better than
85.21% of 1616 companies
in the Chemicals industry
Industry Median: 3.045 vs SZSE:002895: 9.30

Guizhou Chanhen Chemical  (SZSE:002895) 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 bank’s 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:

ROA %(Q: Mar. 2026 )
=Net Income/Total Assets
=754.44/13677.8325
=(Net Income / Revenue)*(Revenue / Total Assets)
=(754.44 / 7294.616)*(7294.616 / 13677.8325)
=Net Margin %*Asset Turnover
=10.34 %*0.5333
=5.52 %

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.


Guizhou Chanhen Chemical ROA % Related Terms


Guizhou Chanhen Chemical ROA % Historical Data

* Premium members only.

The historical data trend for Guizhou Chanhen Chemical's ROA % can be seen below:

* 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.

Guizhou Chanhen Chemical ROA % Chart

Guizhou Chanhen Chemical Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.88 8.89 6.91 7.67 9.45

Guizhou Chanhen Chemical Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.25 10.16 12.82 8.72 5.52

SZSE:002895 vs DOW: ROA % Comparison

For the Chemicals subindustry, Guizhou Chanhen Chemical's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:

* 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.


Guizhou Chanhen Chemical ROA % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Guizhou Chanhen Chemical's ROA % distribution charts can be found below:

* The bar in red indicates where Guizhou Chanhen Chemical's ROA % falls into.


SZSE:002895
97GF Score
Guizhou Chanhen Chemical Corp SZSE:002895
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Guizhou Chanhen Chemical ROA % Calculation

Guizhou Chanhen Chemical's annualized ROA % for the fiscal year that ended in Dec. 2025 is calculated as:

ROA %=Net Income (A: Dec. 2025 )/( (Total Assets (A: Dec. 2024 )+Total Assets (A: Dec. 2025 ))/ count )
=1260.24/( (12922.668+13736.363)/ 2 )
=1260.24/13329.5155
=9.45 %

Guizhou Chanhen Chemical's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Dec. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=754.44/( (13736.363+13619.302)/ 2 )
=754.44/13677.8325
=5.52 %

* 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.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 5.52% mean?
Guizhou Chanhen Chemical (SZSE:002895) has a ROA % of 5.52% 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 Guizhou Chanhen Chemical and its competitors. This is 18% below median its historical median of 6.76. Over the past decade, Guizhou Chanhen Chemical's ROA % has ranged from 3.07 to 9.45. According to the industry distribution chart, Guizhou Chanhen Chemical ranks #239 out of 1616 companies in the Chemicals industry, placing it in the top 14.8%.
Is Guizhou Chanhen Chemical's ROA % too high?
Guizhou Chanhen Chemical's current ROA % of 5.52% is 18% below median its 10-year median of 6.76. Over the past 10 years, this metric has ranged from a low of 3.07 to a high of 9.45. The Chemicals industry median ROA % is 3.05. Guizhou Chanhen Chemical's value of 5.52% is 81.3% above this industry median. Based on the distribution chart, Guizhou Chanhen Chemical ranks #239 out of 1616 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Guizhou Chanhen Chemical has a GF Score™ of 97/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Guizhou Chanhen Chemical's ROA % compare to DOW?
According to the Chemicals industry distribution chart, Guizhou Chanhen Chemical ranks #239 out of 1616 companies for ROA %. This places Guizhou Chanhen Chemical in the top 15% of its industry — outperforming the majority of peers. The industry median ROA % is 3.05. Guizhou Chanhen Chemical's value of 5.52% is 81.3% above this benchmark. Historically, Guizhou Chanhen Chemical's own ROA % has ranged from 3.07 to 9.45 over the past decade. While the company's 10-year median is 6.76 vs. the industry median of 3.05, Guizhou Chanhen Chemical has consistently been above 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 Chemicals company?
The median ROA % among Chemicals companies is 3.05, based on 1,616 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. Guizhou Chanhen Chemical's current ROA % of 5.52% is 81.3% above 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 Guizhou Chanhen Chemical and its competitors. For the Chemicals industry, the median ROA % is 3.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Guizhou Chanhen Chemical's current ROA % is 5.52%, which is 18% below median its own 10-year median of 6.76. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Guizhou Chanhen Chemical stock overvalued right now?
Based on GuruFocus' analysis, Guizhou Chanhen Chemical (SZSE:002895) is currently considered Fairly Valued. The stock's GF Value™ is ¥35.72, compared to a current price of ¥33.23 — trading 7% below its estimated fair value. The current ROA % is 5.52%, which is 18% below median its 10-year median of 6.76 and 81.3% above the Chemicals industry median of 3.05. Guizhou Chanhen Chemical's overall GF Score™ is 97/100 with 1 warning sign 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 Guizhou Chanhen Chemical (SZSE:002895), the current ROA % is 5.52% 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 Guizhou Chanhen Chemical (SZSE:002895) Overvalued in 2026?

Based on GuruFocus' analysis, Guizhou Chanhen Chemical stock appears to be undervalued. The current stock price of ¥33.23 is trading 7% below its estimated GF Value™ of ¥35.72. GuruFocus considers Guizhou Chanhen Chemical to be Fairly Valued.

Key valuation signals for SZSE:002895:

  • ROA %: 5.52% (18% below median its 10-year median of 6.76)
  • GF Value™: ¥35.72 vs. price of ¥33.23 (7% below fair value)
  • GF Score™: 97/100 with 1 warning sign
  • Industry Position: 81.3% above the Chemicals median (#239 of 1616)

No single metric tells the full story. See the SZSE:002895 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Guizhou Chanhen Chemical Business Description

Address Buyi and Miao Autonomous Prefecture, Longchang Town, Guizhou Province, Fuquan, CHN, 550505
Guizhou Chanhen Chemical Corp operates in the phosphorus chemical industry. The company's main business is the production and sales of phosphoric acid and phosphate products. Its product portfolio consists of phosphate rock, feed additive, new fertilizer and firefighting ammonium.
97GF Score

Get the complete analysis for SZSE:002895

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

¥33.23
Price
¥35.72
GF Value