ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Highwealth Construction's annualizedNet Income for the quarter that ended in Dec. 2025 was NT$9,708 Mil.
Highwealth Construction's average Total Assets over the quarter that ended in Dec. 2025 was NT$270,651 Mil. Therefore, Highwealth Construction's annualized ROA % for the quarter that ended in Dec. 2025 was 3.59%.
The historical rank and industry rank for Highwealth Construction's ROA % or its related term are showing as below:
TPE:2542'
s ROA % Range Over the Past 10 Years
Min: 1.08 Med: 1.96 Max: 5.63
Current: 1.71
During the past 13 years, Highwealth Construction's highest ROA % was 5.63%. The lowest was 1.08%. And the median was 1.96%.
TPE:2542's ROA % is ranked better than 50.11% of 1804
companies
in the Real Estate industry
Industry Median: 1.7
vs TPE:2542: 1.71
Highwealth Construction (TPE:2542) 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.
* 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.
Highwealth Construction ROA % Competitor Comparison
For the Real Estate - Development subindustry, Highwealth Construction'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.
Highwealth Construction ROA % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Highwealth Construction's ROA % distribution charts can be found below:
* The bar in red indicates where Highwealth Construction'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.
Highwealth Construction (TPE:2542) has a ROA % of 3.59% 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 Highwealth Construction and its competitors. This is 83% above median its historical median of 1.96. Over the past decade, Highwealth Construction's ROA % has ranged from 1.08 to 5.63. According to the industry distribution chart, Highwealth Construction ranks #900 out of 1804 companies in the Real Estate industry, placing it in the top 49.9%.
Is Highwealth Construction's ROA % too high?
Highwealth Construction's current ROA % of 3.59% is 83% above median its 10-year median of 1.96. Over the past 10 years, this metric has ranged from a low of 1.08 to a high of 5.63. The Real Estate industry median ROA % is 1.70. Highwealth Construction's value of 3.59% is 111.2% above this industry median. Based on the distribution chart, Highwealth Construction ranks #900 out of 1804 companies in the Real Estate industry, which is above the industry midpoint. Overall, Highwealth Construction has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Highwealth Construction's ROA % compare to competitors?
According to the Real Estate industry distribution chart, Highwealth Construction ranks #900 out of 1804 companies for ROA %. This puts Highwealth Construction in the upper half of its industry. The industry median ROA % is 1.70. Highwealth Construction's value of 3.59% is 111.2% above this benchmark. Historically, Highwealth Construction's own ROA % has ranged from 1.08 to 5.63 over the past decade. While the company's 10-year median is 1.96 vs. the industry median of 1.70, Highwealth Construction 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 Real Estate company?
The median ROA % among Real Estate companies is 1.70, based on 1,804 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. Highwealth Construction's current ROA % of 3.59% is 111.2% 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 Highwealth Construction and its competitors. For the Real Estate industry, the median ROA % is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Highwealth Construction's current ROA % is 3.59%, which is 83% above median its own 10-year median of 1.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Highwealth Construction stock overvalued right now?
Based on GuruFocus' analysis, Highwealth Construction (TPE:2542) is currently considered Modestly Overvalued. The stock's GF Value™ is NT$37.09, compared to a current price of NT$43.10 — trading 16.2% above its estimated fair value. The current ROA % is 3.59%, which is 83% above median its 10-year median of 1.96 and 111.2% above the Real Estate industry median of 1.70. Highwealth Construction's overall GF Score™ is 79/100 with 12 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 Highwealth Construction (TPE:2542), the current ROA % is 3.59% 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 Highwealth Construction (TPE:2542) Overvalued in 2026?
Based on GuruFocus' analysis, Highwealth Construction stock appears to be overvalued.
The current stock price of NT$43.10 is trading 16.2% above its estimated GF Value™ of NT$37.09.
GuruFocus considers Highwealth Construction to be Modestly Overvalued.
Key valuation signals for TPE:2542:
ROA %: 3.59% (83% above median its 10-year median of 1.96)
GF Value™: NT$37.09 vs. price of NT$43.10 (16.2% above fair value)
Industry Position: 111.2% above the Real Estate median (#900 of 1804)
No single metric tells the full story. See the TPE:2542 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Highwealth Construction Corp is engaged in the business of construction sales, and leasing of residential and commercial buildings. Geographically the activities are carried out in Taiwan. The firm has three segments: Developing; Constructing, Hotel and other divisions. The developing segment that derives the majority of revenue is responsible for developing new construction or rental opportunities. Constructing segment is responsible for constructing buildings. Department stores and hotel segment operates hotels, catering services, and other business operations. The Groups revenues are all generated from domestic business.
79GF Score
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ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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