Formosa Taffeta CoTPE:1434 -4.02%76 ROA % is 2.79% as of Dec. 2025, which is 17% below its 10-year median of 3.36. GuruFocus rates TPE:1434 with a GF Score™ of 76/100 and a GF Value™ of NT$20.26 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 1,067 Manufacturing - Apparel & Accessories companies, Formosa Taffeta Co ranks worse than 51.45% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Formosa Taffeta Co's annualizedNet Income for the quarter that ended in Dec. 2025 was NT$1,523 Mil.
Formosa Taffeta Co's average Total Assets over the quarter that ended in Dec. 2025 was NT$54,571 Mil. Therefore, Formosa Taffeta Co's annualized ROA % for the quarter that ended in Dec. 2025 was 2.79%.
The historical rank and industry rank for Formosa Taffeta Co's ROA % or its related term are showing as below:
TPE:1434'
s ROA % Range Over the Past 10 Years
Min: 0.6 Med: 3.36 Max: 5.97
Current: 1.63
During the past 13 years, Formosa Taffeta Co's highest ROA % was 5.97%. The lowest was 0.60%. And the median was 3.36%.
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 (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (Dec. 2025) 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.
Formosa Taffeta Co ROA % Related Terms
Formosa Taffeta Co ROA % Historical Data
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The historical data trend for Formosa Taffeta 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.
For the Textile Manufacturing subindustry, Formosa Taffeta 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.
Formosa Taffeta Co ROA % vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Formosa Taffeta Co's ROA % distribution charts can be found below:
* The bar in red indicates where Formosa Taffeta Co's ROA % falls into.
* 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 (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Formosa Taffeta Co (TPE:1434) has a ROA % of 2.79% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Formosa Taffeta Co and its competitors. This is 17% below median its historical median of 3.36. Over the past decade, Formosa Taffeta Co's ROA % has ranged from 0.60 to 5.97. According to the industry distribution chart, Formosa Taffeta Co ranks #549 out of 1067 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 51.5%.
Is Formosa Taffeta Co's ROA % too high?
Formosa Taffeta Co's current ROA % of 2.79% is 17% below median its 10-year median of 3.36. Over the past 10 years, this metric has ranged from a low of 0.60 to a high of 5.97. The Manufacturing - Apparel & Accessories industry median ROA % is 1.88. Formosa Taffeta Co's value of 2.79% is 48.4% above this industry median. Based on the distribution chart, Formosa Taffeta Co ranks #549 out of 1067 companies in the Manufacturing - Apparel & Accessories industry, which is below the industry midpoint. Overall, Formosa Taffeta 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 Formosa Taffeta Co's ROA % compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Formosa Taffeta Co ranks #549 out of 1067 companies for ROA %. This places Formosa Taffeta Co in the lower half of its industry. The industry median ROA % is 1.88. Formosa Taffeta Co's value of 2.79% is 48.4% above this benchmark. Historically, Formosa Taffeta Co's own ROA % has ranged from 0.60 to 5.97 over the past decade. While the company's 10-year median is 3.36 vs. the industry median of 1.88, Formosa Taffeta Co 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 Manufacturing - Apparel & Accessories company?
The median ROA % among Manufacturing - Apparel & Accessories companies is 1.88, based on 1,067 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. Formosa Taffeta Co's current ROA % of 2.79% is 48.4% 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 Formosa Taffeta Co and its competitors. For the Manufacturing - Apparel & Accessories industry, the median ROA % is 1.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Formosa Taffeta Co's current ROA % is 2.79%, which is 17% below median its own 10-year median of 3.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Formosa Taffeta Co stock overvalued right now?
Based on GuruFocus' analysis, Formosa Taffeta Co (TPE:1434) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$20.26, compared to a current price of NT$16.70 — trading 17.6% below its estimated fair value. The current ROA % is 2.79%, which is 17% below median its 10-year median of 3.36 and 48.4% above the Manufacturing - Apparel & Accessories industry median of 1.88. Formosa Taffeta 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 Formosa Taffeta Co (TPE:1434), the current ROA % is 2.79% as of Dec. 2025. 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 Formosa Taffeta Co (TPE:1434) Overvalued in 2026?
Based on GuruFocus' analysis, Formosa Taffeta Co stock appears to be undervalued.
The current stock price of NT$16.70 is trading 17.6% below its estimated GF Value™ of NT$20.26.
GuruFocus considers Formosa Taffeta Co to be Modestly Undervalued.
Key valuation signals for TPE:1434:
ROA %: 2.79% (17% below median its 10-year median of 3.36)
GF Value™: NT$20.26 vs. price of NT$16.70 (17.6% below fair value)
Industry Position: 48.4% above the Manufacturing - Apparel & Accessories median (#549 of 1067)
No single metric tells the full story. See the TPE:1434 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Formosa Taffeta Co Ltd is a Taiwan-based company that is principally involved in the textile industry. Primary department is Fabrics, dyeing and others of which activities are Amine fabrics, polyester fabrics, cotton fabrics, blending fabrics and umbrella ribs and Secondary department is Cord fabrics, petroleum of which activities are Cord, plastic bags, refineries for gasoline, diesel, crude oil and the related petroleum products, cotton fibers, blending fibers and protection fibers. The Group has three reportable segments First business group, Cord fabric department and Gasoline department. The majority of revenue comes from First business group. The majority of revenue comes from Taiwan as compare to Asia.
76GF Score
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