ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Hsin Kuang Steel Co's annualizedNet Income for the quarter that ended in Dec. 2025 was NT$804 Mil.
Hsin Kuang Steel Co's average Total Assets over the quarter that ended in Dec. 2025 was NT$28,951 Mil. Therefore, Hsin Kuang Steel Co's annualized ROA % for the quarter that ended in Dec. 2025 was 2.78%.
The historical rank and industry rank for Hsin Kuang Steel Co's ROA % or its related term are showing as below:
TPE:2031'
s ROA % Range Over the Past 10 Years
Min: 0.72 Med: 5.63 Max: 11.87
Current: 3.56
During the past 13 years, Hsin Kuang Steel Co's highest ROA % was 11.87%. The lowest was 0.72%. And the median was 5.63%.
TPE:2031's ROA % is ranked better than 65.67% of 635
companies
in the Steel industry
Industry Median: 1.88
vs TPE:2031: 3.56
Hsin Kuang Steel Co (TPE:2031) 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 (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.
Hsin Kuang Steel Co ROA % Related Terms
Hsin Kuang Steel Co ROA % Historical Data
* Premium members only.
The historical data trend for Hsin Kuang Steel 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 Steel subindustry, Hsin Kuang Steel 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.
Hsin Kuang Steel Co ROA % vs Steel Industry
For the Steel industry and Basic Materials sector, Hsin Kuang Steel Co's ROA % distribution charts can be found below:
* The bar in red indicates where Hsin Kuang Steel 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.
Hsin Kuang Steel Co (TPE:2031) has a ROA % of 2.78% 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 Hsin Kuang Steel Co and its competitors. This is 51% below median its historical median of 5.63. Over the past decade, Hsin Kuang Steel Co's ROA % has ranged from 0.72 to 11.87. According to the industry distribution chart, Hsin Kuang Steel Co ranks #218 out of 635 companies in the Steel industry, placing it in the top 34.3%.
Is Hsin Kuang Steel Co's ROA % too high?
Hsin Kuang Steel Co's current ROA % of 2.78% is 51% below median its 10-year median of 5.63. Over the past 10 years, this metric has ranged from a low of 0.72 to a high of 11.87. The Steel industry median ROA % is 1.88. Hsin Kuang Steel Co's value of 2.78% is 47.9% above this industry median. Based on the distribution chart, Hsin Kuang Steel Co ranks #218 out of 635 companies in the Steel industry, which is above the industry midpoint. Overall, Hsin Kuang Steel Co has a GF Score™ of 80/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hsin Kuang Steel Co's ROA % compare to NUE and STLD?
According to the Steel industry distribution chart, Hsin Kuang Steel Co ranks #218 out of 635 companies for ROA %. This puts Hsin Kuang Steel Co in the upper half of its industry. The industry median ROA % is 1.88. Hsin Kuang Steel Co's value of 2.78% is 47.9% above this benchmark. Historically, Hsin Kuang Steel Co's own ROA % has ranged from 0.72 to 11.87 over the past decade. While the company's 10-year median is 5.63 vs. the industry median of 1.88, Hsin Kuang Steel 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 Steel company?
The median ROA % among Steel companies is 1.88, based on 635 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. Hsin Kuang Steel Co's current ROA % of 2.78% is 47.9% 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 Hsin Kuang Steel Co and its competitors. For the Steel industry, the median ROA % is 1.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hsin Kuang Steel Co's current ROA % is 2.78%, which is 51% below median its own 10-year median of 5.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hsin Kuang Steel Co stock overvalued right now?
Based on GuruFocus' analysis, Hsin Kuang Steel Co (TPE:2031) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$53.64, compared to a current price of NT$38.30 — trading 28.6% below its estimated fair value. The current ROA % is 2.78%, which is 51% below median its 10-year median of 5.63 and 47.9% above the Steel industry median of 1.88. Hsin Kuang Steel Co's overall GF Score™ is 80/100 with 8 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 Hsin Kuang Steel Co (TPE:2031), the current ROA % is 2.78% 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 Hsin Kuang Steel Co (TPE:2031) Overvalued in 2026?
Based on GuruFocus' analysis, Hsin Kuang Steel Co stock appears to be undervalued.
The current stock price of NT$38.30 is trading 28.6% below its estimated GF Value™ of NT$53.64.
GuruFocus considers Hsin Kuang Steel Co to be Modestly Undervalued.
Key valuation signals for TPE:2031:
ROA %: 2.78% (51% below median its 10-year median of 5.63)
GF Value™: NT$53.64 vs. price of NT$38.30 (28.6% below fair value)
Industry Position: 47.9% above the Steel median (#218 of 635)
No single metric tells the full story. See the TPE:2031 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hsin Kuang Steel Co Ltd manufactures and sells steel products. The business activities of the group include cutting, stamping, and the sale of steel products, including steel coils, steel plates, stainless steel, alloy steel, special steel, and SuperDyma. Geographically, its business activities are carried out across Taiwan. The company operates in four segments, which include Steel - Direct Sales, Steel - Manufacturing Sales, Construction Projects, and Leases. The majority of its revenue is generated from the Steel-Direct Sales Segment. Geographically, operates in Taiwan.
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