Test ResearchTPE:3030 -4.55%92 ROA % is 23.34% as of Dec. 2025, which is 46% above its 10-year median of 15.95. GuruFocus rates TPE:3030 with a GF Score™ of 92/100 and a GF Value™ of NT$175.88 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 2,498 Hardware companies, Test Research ranks better than 98.16% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Test Research's annualizedNet Income for the quarter that ended in Dec. 2025 was NT$2,745 Mil.
Test Research's average Total Assets over the quarter that ended in Dec. 2025 was NT$11,761 Mil. Therefore, Test Research's annualized ROA % for the quarter that ended in Dec. 2025 was 23.34%.
The historical rank and industry rank for Test Research's ROA % or its related term are showing as below:
TPE:3030'
s ROA % Range Over the Past 10 Years
Min: 6.91 Med: 15.95 Max: 22.37
Current: 21.84
During the past 13 years, Test Research's highest ROA % was 22.37%. The lowest was 6.91%. And the median was 15.95%.
TPE:3030's ROA % is ranked better than 98.16% of 2498
companies
in the Hardware industry
Industry Median: 2.27
vs TPE:3030: 21.84
Test Research (TPE:3030) 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.
Test Research ROA % Related Terms
Test Research ROA % Historical Data
* Premium members only.
The historical data trend for Test Research'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 Scientific & Technical Instruments subindustry, Test Research'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.
Test Research ROA % vs Hardware Industry
For the Hardware industry and Technology sector, Test Research's ROA % distribution charts can be found below:
* The bar in red indicates where Test Research'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.
Test Research (TPE:3030) has a ROA % of 23.34% 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 Test Research and its competitors. This is 46% above median its historical median of 15.95. Over the past decade, Test Research's ROA % has ranged from 6.91 to 22.37. According to the industry distribution chart, Test Research ranks #46 out of 2498 companies in the Hardware industry, placing it in the top 1.8%.
Is Test Research's ROA % too high?
Test Research's current ROA % of 23.34% is 46% above median its 10-year median of 15.95. Over the past 10 years, this metric has ranged from a low of 6.91 to a high of 22.37. The Hardware industry median ROA % is 2.27. Test Research's value of 23.34% is 928.2% above this industry median. Based on the distribution chart, Test Research ranks #46 out of 2498 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Test Research has a GF Score™ of 92/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Test Research's ROA % compare to COHR and KEYS?
According to the Hardware industry distribution chart, Test Research ranks #46 out of 2498 companies for ROA %. This places Test Research in the top 2% of its industry — outperforming the majority of peers. The industry median ROA % is 2.27. Test Research's value of 23.34% is 928.2% above this benchmark. Historically, Test Research's own ROA % has ranged from 6.91 to 22.37 over the past decade. While the company's 10-year median is 15.95 vs. the industry median of 2.27, Test Research 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 Hardware company?
The median ROA % among Hardware companies is 2.27, based on 2,498 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. Test Research's current ROA % of 23.34% is 928.2% 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 Test Research and its competitors. For the Hardware industry, the median ROA % is 2.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Test Research's current ROA % is 23.34%, which is 46% above median its own 10-year median of 15.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Test Research stock overvalued right now?
Based on GuruFocus' analysis, Test Research (TPE:3030) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$175.88, compared to a current price of NT$315.00 — trading 79.1% above its estimated fair value. The current ROA % is 23.34%, which is 46% above median its 10-year median of 15.95 and 928.2% above the Hardware industry median of 2.27. Test Research's overall GF Score™ is 92/100 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 Test Research (TPE:3030), the current ROA % is 23.34% 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 Test Research (TPE:3030) Overvalued in 2026?
Based on GuruFocus' analysis, Test Research stock appears to be overvalued.
The current stock price of NT$315.00 is trading 79.1% above its estimated GF Value™ of NT$175.88.
GuruFocus considers Test Research to be Significantly Overvalued.
Key valuation signals for TPE:3030:
ROA %: 23.34% (46% above median its 10-year median of 15.95)
GF Value™: NT$175.88 vs. price of NT$315.00 (79.1% above fair value)
Industry Position: 928.2% above the Hardware median (#46 of 2498)
No single metric tells the full story. See the TPE:3030 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Test Research Inc designs testing equipment for industrial applications. The firm focuses on designing, assembling, manufacturing, selling, repairing, and maintaining automated inspection and testing equipment. The firm receives a majority of its revenue from Asia and the rest from America, Europe, and other regions.
92GF 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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