Hongli Zhihui Group Co (SZSE:300219) ROA %: 2.02% (As of Jun. 2026) — 49% Below Median

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SZSE:300219 Hongli Zhihui Group Co Ltd SZSE:300219
76 GF Score
Price ¥7.03
GF Value ¥8.24
Valuation Modestly Undervalued
! 6 Warning Signs
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What is Hongli Zhihui Group Co ROA %?

Hongli Zhihui Group Co SZSE:300219 -0.57% 76 ROA % is 2.02% as of Jun. 2026, which is 49% below its 10-year median of 3.98. GuruFocus rates SZSE:300219 with a GF Score™ of 76/100 and a GF Value™ of ¥8.24 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 2,499 Hardware companies, Hongli Zhihui Group Co ranks worse than 54.74% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Hongli Zhihui Group Co's annualized Net Income for the quarter that ended in Jun. 2026 was ¥126 Mil. Hongli Zhihui Group Co's average Total Assets over the quarter that ended in Jun. 2026 was ¥6,241 Mil. Therefore, Hongli Zhihui Group Co's annualized ROA % for the quarter that ended in Jun. 2026 was 2.02%.

The historical rank and industry rank for Hongli Zhihui Group Co's ROA % or its related term are showing as below:

SZSE:300219' s ROA % Range Over the Past 10 Years
Min: -21   Med: 3.98   Max: 8.52
Current: 2.03

During the past 13 years, Hongli Zhihui Group Co's highest ROA % was 8.52%. The lowest was -21.00%. And the median was 3.98%.

SZSE:300219's ROA % is ranked worse than
54.74% of 2499 companies
in the Hardware industry
Industry Median: 2.75 vs SZSE:300219: 2.03

Hongli Zhihui Group Co  (SZSE:300219) 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: Jun. 2026 )
=Net Income/Total Assets
=125.792/6241.1165
=(Net Income / Revenue)*(Revenue / Total Assets)
=(125.792 / 5182.76)*(5182.76 / 6241.1165)
=Net Margin %*Asset Turnover
=2.43 %*0.8304
=2.02 %

Note: The Net Income data used here is four times the quarterly (Jun. 2026) net income data. The Revenue data used here is four times the quarterly (Jun. 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.


Hongli Zhihui Group Co ROA % Related Terms


Hongli Zhihui Group Co ROA % Historical Data

* Premium members only.

The historical data trend for Hongli Zhihui Group Co'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.

Hongli Zhihui Group Co ROA % Chart

Hongli Zhihui Group Co 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 6.44 3.82 4.14 1.44 1.62

Hongli Zhihui Group Co Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 0.65 4.09 1.42 0.65 2.02

SZSE:300219 vs APH, GLW, TEL: ROA % Comparison

For the Electronic Components subindustry, Hongli Zhihui Group Co'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.


Hongli Zhihui Group Co ROA % vs Hardware Industry

For the Hardware industry and Technology sector, Hongli Zhihui Group Co's ROA % distribution charts can be found below:

* The bar in red indicates where Hongli Zhihui Group Co's ROA % falls into.


SZSE:300219
76GF Score
Hongli Zhihui Group Co Ltd SZSE:300219
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hongli Zhihui Group Co ROA % Calculation

Hongli Zhihui Group Co'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 )
=97.52/( (5921.612+6110.537)/ 2 )
=97.52/6016.0745
=1.62 %

Hongli Zhihui Group Co's annualized ROA % for the quarter that ended in Jun. 2026 is calculated as:

ROA %=Net Income (Q: Jun. 2026 )/( (Total Assets (Q: Mar. 2026 )+Total Assets (Q: Jun. 2026 ))/ count )
=125.792/( (6264.237+6217.996)/ 2 )
=125.792/6241.1165
=2.02 %

* 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 (Jun. 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 2.02% mean?
Hongli Zhihui Group Co (SZSE:300219) has a ROA % of 2.02% as of Jun. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Hongli Zhihui Group Co and its competitors. This is 49% below median its historical median of 3.98. According to the industry distribution chart, Hongli Zhihui Group Co ranks #1368 out of 2499 companies in the Hardware industry, placing it in the top 54.7%.
Is Hongli Zhihui Group Co's ROA % too high?
Hongli Zhihui Group Co's current ROA % of 2.02% is 49% below median its 10-year median of 3.98. The Hardware industry median ROA % is 2.75. Hongli Zhihui Group Co's value of 2.02% is 26.5% below this industry median. Based on the distribution chart, Hongli Zhihui Group Co ranks #1368 out of 2499 companies in the Hardware industry, which is below the industry midpoint. Overall, Hongli Zhihui Group Co has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hongli Zhihui Group Co's ROA % compare to APH and GLW?
According to the Hardware industry distribution chart, Hongli Zhihui Group Co ranks #1368 out of 2499 companies for ROA %. This places Hongli Zhihui Group Co in the lower half of its industry. The industry median ROA % is 2.75. Hongli Zhihui Group Co's value of 2.02% is 26.5% below this benchmark. While the company's 10-year median is 3.98 vs. the industry median of 2.75, Hongli Zhihui Group 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 Hardware company?
The median ROA % among Hardware companies is 2.75, based on 2,499 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. Hongli Zhihui Group Co's current ROA % of 2.02% is 26.5% 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 Hongli Zhihui Group Co and its competitors. For the Hardware industry, the median ROA % is 2.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hongli Zhihui Group Co's current ROA % is 2.02%, which is 49% below median its own 10-year median of 3.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hongli Zhihui Group Co stock overvalued right now?
Based on GuruFocus' analysis, Hongli Zhihui Group Co (SZSE:300219) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥8.24, compared to a current price of ¥7.03 — trading 14.7% below its estimated fair value. The current ROA % is 2.02%, which is 49% below median its 10-year median of 3.98 and 26.5% below the Hardware industry median of 2.75. Hongli Zhihui Group Co's overall GF Score™ is 76/100 with 6 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 Hongli Zhihui Group Co (SZSE:300219), the current ROA % is 2.02% as of Jun. 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 Hongli Zhihui Group Co (SZSE:300219) Overvalued in 2026?

Based on GuruFocus' analysis, Hongli Zhihui Group Co stock appears to be undervalued. The current stock price of ¥7.03 is trading 14.7% below its estimated GF Value™ of ¥8.24. GuruFocus considers Hongli Zhihui Group Co to be Modestly Undervalued.

Key valuation signals for SZSE:300219:

  • ROA %: 2.02% (49% below median its 10-year median of 3.98)
  • GF Value™: ¥8.24 vs. price of ¥7.03 (14.7% below fair value)
  • GF Score™: 76/100 with 6 warning signs
  • Industry Position: 26.5% below the Hardware median (#1368 of 2499)

No single metric tells the full story. See the SZSE:300219 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hongli Zhihui Group Co Business Description

Address West Dongfeng Highway, Auto City Huadu, Guangzhou City, CHN, 510800
Hongli Zhihui Group Co Ltd is engaged in the production and development of SMD LEDs, COB LEDs, High Power LEDs, Automotive LEDs, UV LEDs, LAMP LEDs, and Infrared LEDs. Its products are widely used in applied in general lighting, TV backlight, 3C, automotive lighting, display and other fields.
76GF Score

Get the complete analysis for SZSE:300219

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

¥7.03
Price
¥8.24
GF Value