Strong H Machinery Technology Co (TPE:4560) ROA %: 9.90% (As of Dec. 2025) — 16% Above Median


TPE:4560 Strong H Machinery Technology Co TPE:4560
85 GF Score
Price NT$32.40
GF Value NT$40.31
Valuation Modestly Undervalued
! 2 Warning Signs
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What is Strong H Machinery Technology Co ROA %?

Strong H Machinery Technology Co TPE:4560 -1.67% 85 ROA % is 9.90% as of Dec. 2025, which is 16% above its 10-year median of 8.50. GuruFocus rates TPE:4560 with a GF Score™ of 85/100 and a GF Value™ of NT$40.31 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 3,081 Industrial Products companies, Strong H Machinery Technology Co ranks better than 84.03% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Strong H Machinery Technology Co's annualized Net Income for the quarter that ended in Dec. 2025 was NT$234 Mil. Strong H Machinery Technology Co's average Total Assets over the quarter that ended in Dec. 2025 was NT$2,365 Mil. Therefore, Strong H Machinery Technology Co's annualized ROA % for the quarter that ended in Dec. 2025 was 9.90%.

The historical rank and industry rank for Strong H Machinery Technology Co's ROA % or its related term are showing as below:

TPE:4560' s ROA % Range Over the Past 10 Years
Min: 3.05   Med: 8.5   Max: 14.28
Current: 8.79

During the past 12 years, Strong H Machinery Technology Co's highest ROA % was 14.28%. The lowest was 3.05%. And the median was 8.50%.

TPE:4560's ROA % is ranked better than
84.03% of 3081 companies
in the Industrial Products industry
Industry Median: 3.06 vs TPE:4560: 8.79

Strong H Machinery Technology Co  (TPE:4560) 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: Dec. 2025 )
=Net Income/Total Assets
=234.124/2365.036
=(Net Income / Revenue)*(Revenue / Total Assets)
=(234.124 / 1834.38)*(1834.38 / 2365.036)
=Net Margin %*Asset Turnover
=12.76 %*0.7756
=9.90 %

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.


Strong H Machinery Technology Co ROA % Related Terms


Strong H Machinery Technology Co ROA % Historical Data

* Premium members only.

The historical data trend for Strong H Machinery Technology 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.

Strong H Machinery Technology Co ROA % Chart

Strong H Machinery Technology 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 7.95 10.34 3.08 6.04 8.54

Strong H Machinery Technology Co Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
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 8.16 10.50 6.55 8.41 9.90

TPE:4560 vs SNA, RBC, LECO: ROA % Comparison

For the Tools & Accessories subindustry, Strong H Machinery Technology 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.


Strong H Machinery Technology Co ROA % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Strong H Machinery Technology Co's ROA % distribution charts can be found below:

* The bar in red indicates where Strong H Machinery Technology Co's ROA % falls into.


TPE:4560
85GF Score
Strong H Machinery Technology Co TPE:4560
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
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Strong H Machinery Technology Co ROA % Calculation

Strong H Machinery Technology 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 )
=205.698/( (2349.874+2469.648)/ 2 )
=205.698/2409.761
=8.54 %

Strong H Machinery Technology Co's annualized ROA % for the quarter that ended in Dec. 2025 is calculated as:

ROA %=Net Income (Q: Dec. 2025 )/( (Total Assets (Q: Sep. 2025 )+Total Assets (Q: Dec. 2025 ))/ count )
=234.124/( (2260.424+2469.648)/ 2 )
=234.124/2365.036
=9.90 %

* 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.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 9.90% mean?
Strong H Machinery Technology Co (TPE:4560) has a ROA % of 9.90% 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 Strong H Machinery Technology Co and its competitors. This is 16% above median its historical median of 8.50. Over the past decade, Strong H Machinery Technology Co's ROA % has ranged from 3.05 to 14.28. According to the industry distribution chart, Strong H Machinery Technology Co ranks #492 out of 3081 companies in the Industrial Products industry, placing it in the top 16%.
Is Strong H Machinery Technology Co's ROA % too high?
Strong H Machinery Technology Co's current ROA % of 9.90% is 16% above median its 10-year median of 8.50. Over the past 10 years, this metric has ranged from a low of 3.05 to a high of 14.28. The Industrial Products industry median ROA % is 3.06. Strong H Machinery Technology Co's value of 9.90% is 223.5% above this industry median. Based on the distribution chart, Strong H Machinery Technology Co ranks #492 out of 3081 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Strong H Machinery Technology Co has a GF Score™ of 85/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Strong H Machinery Technology Co's ROA % compare to SNA and RBC?
According to the Industrial Products industry distribution chart, Strong H Machinery Technology Co ranks #492 out of 3081 companies for ROA %. This places Strong H Machinery Technology Co in the top 16% of its industry — outperforming the majority of peers. The industry median ROA % is 3.06. Strong H Machinery Technology Co's value of 9.90% is 223.5% above this benchmark. Historically, Strong H Machinery Technology Co's own ROA % has ranged from 3.05 to 14.28 over the past decade. While the company's 10-year median is 8.50 vs. the industry median of 3.06, Strong H Machinery Technology 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 an Industrial Products company?
The median ROA % among Industrial Products companies is 3.06, based on 3,081 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. Strong H Machinery Technology Co's current ROA % of 9.90% is 223.5% 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 Strong H Machinery Technology Co and its competitors. For the Industrial Products industry, the median ROA % is 3.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Strong H Machinery Technology Co's current ROA % is 9.90%, which is 16% above median its own 10-year median of 8.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Strong H Machinery Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Strong H Machinery Technology Co (TPE:4560) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$40.31, compared to a current price of NT$32.40 — trading 19.6% below its estimated fair value. The current ROA % is 9.90%, which is 16% above median its 10-year median of 8.50 and 223.5% above the Industrial Products industry median of 3.06. Strong H Machinery Technology Co's overall GF Score™ is 85/100 with 2 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 Strong H Machinery Technology Co (TPE:4560), the current ROA % is 9.90% 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 Strong H Machinery Technology Co (TPE:4560) Overvalued in 2026?

Based on GuruFocus' analysis, Strong H Machinery Technology Co stock appears to be undervalued. The current stock price of NT$32.40 is trading 19.6% below its estimated GF Value™ of NT$40.31. GuruFocus considers Strong H Machinery Technology Co to be Modestly Undervalued.

Key valuation signals for TPE:4560:

  • ROA %: 9.90% (16% above median its 10-year median of 8.50)
  • GF Value™: NT$40.31 vs. price of NT$32.40 (19.6% below fair value)
  • GF Score™: 85/100 with 2 warning signs
  • Industry Position: 223.5% above the Industrial Products median (#492 of 3081)

No single metric tells the full story. See the TPE:4560 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Strong H Machinery Technology Co Business Description

Address No. 1699, open road, Development zone, Shandong Province, Laizhou City, CHN
Strong H Machinery Technology Co is a professional precision machining manufacturer. The company mainly produces and sells industrial sewing machine parts for assembly by machine manufacturers and repair by end users. It offers various types of industrial sewing machine knives to customers, including needle plates, teeth, presser feet, and needle embroidery machine knives. Its products include industrial sewing machine knives, straight knives, round knives, gauge sets, needle plate shear lines, and computerized embroidery machine parts. The Group's only reportable segment is the sewing machine spare parts segment, as the Group's main activities are manufacturing and selling sewing machine spare parts. The company operates in China and Taiwan, with the majority of revenue coming from China.
85GF Score

Get the complete analysis for TPE:4560

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

NT$32.40
Price
NT$40.31
GF Value