China Southern Airlines Co (SHSE:600029) ROCE %: 8.26% (As of Mar. 2026)


SHSE:600029 China Southern Airlines Co Ltd SHSE:600029
64 GF Score
Price ¥5.41
GF Value ¥6.31
Valuation Modestly Undervalued
! 6 Warning Signs
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What is China Southern Airlines Co ROCE %?

China Southern Airlines Co SHSE:600029 -3.05% 64 ROCE % is 8.26% as of Mar. 2026. GuruFocus rates SHSE:600029 with a GF Score™ of 64/100 and a GF Value™ of ¥6.31 (Modestly Undervalued). The stock has 6 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. China Southern Airlines Co's annualized ROCE % for the quarter that ended in Mar. 2026 was 8.26%.

China Southern Airlines Co  (SHSE:600029) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

China Southern Airlines Co ROCE % Related Terms

China Southern Airlines Co ROCE % Historical Data

* Premium members only.

The historical data trend for China Southern Airlines Co's ROCE % 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.

China Southern Airlines Co ROCE % Chart

China Southern Airlines Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -3.48 -13.34 2.48 4.01 5.36

China Southern Airlines Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % 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 2.80 4.30 13.86 0.72 8.26
SHSE:600029
64GF Score
China Southern Airlines Co Ltd SHSE:600029
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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China Southern Airlines Co ROCE % Calculation

China Southern Airlines Co's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=10364/( ( (329738 - 138402) + (349814 - 154123) )/ 2 )
=10364/( (191336+195691)/ 2 )
=10364/193513.5
=5.36 %

China Southern Airlines Co's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=16252/( ( (349814 - 154123) + (356509 - 158657) )/ 2 )
=16252/( ( 195691 + 197852 )/ 2 )
=16252/196771.5
=8.26 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT 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.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 8.26% mean?
China Southern Airlines Co (SHSE:600029) has a ROCE % of 8.26% as of Mar. 2026.
Is China Southern Airlines Co's ROCE % too high?
China Southern Airlines Co's current ROCE % is 8.26%. The Transportation industry median ROCE % is 7.74. China Southern Airlines Co's value of 8.26% is 6.7% above this industry median. Overall, China Southern Airlines Co has a GF Score™ of 64/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does China Southern Airlines Co's ROCE % compare to DAL and UAL?
China Southern Airlines Co's ROCE % of 8.26% can be compared against companies in the Transportation industry. The industry median ROCE % is 7.74. China Southern Airlines Co's value of 8.26% is 6.7% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Transportation company?
The median ROCE % among Transportation companies is 7.74, based on 997 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. China Southern Airlines Co's current ROCE % of 8.26% is 6.7% 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 ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Transportation industry, the median ROCE % is 7.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Southern Airlines Co's current ROCE % is 8.26%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Southern Airlines Co stock overvalued right now?
Based on GuruFocus' analysis, China Southern Airlines Co (SHSE:600029) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥6.31, compared to a current price of ¥5.41 — trading 14.3% below its estimated fair value. The current ROCE % is 8.26% and 6.7% above the Transportation industry median of 7.74. China Southern Airlines Co's overall GF Score™ is 64/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For China Southern Airlines Co (SHSE:600029), the current ROCE % is 8.26% as of Mar. 2026. 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 China Southern Airlines Co (SHSE:600029) Overvalued in 2026?

Based on GuruFocus' analysis, China Southern Airlines Co stock appears to be undervalued. The current stock price of ¥5.41 is trading 14.3% below its estimated GF Value™ of ¥6.31. GuruFocus considers China Southern Airlines Co to be Modestly Undervalued.

Key valuation signals for SHSE:600029:

  • ROCE %: 8.26%
  • GF Value™: ¥6.31 vs. price of ¥5.41 (14.3% below fair value)
  • GF Score™: 64/100 with 6 warning signs
  • Industry Position: 6.7% above the Transportation median

No single metric tells the full story. See the SHSE:600029 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

China Southern Airlines Co Business Description

Address 68 Qixin Road, China Southern Air Building, Baiyun District, Guangdong Province, Guangzhou, CHN, 510403
China Southern Airlines Co Ltd is based in Guangzhou principally engaged in airline operations. The Group also operates certain airline-related businesses, including the provision of aircraft maintenance and air catering services. The Group has two reportable operating segments: airline transportation operations and other segments. Airline transportation operations comprise the Group's passenger and cargo, and mail operations. Other segments include cargo handling, hotel and tour operation, ground services, air catering services, and other miscellaneous services. Geographically, the company operates in the Domestic, Hong Kong, Macau, and Taiwan, and International markets.
64GF Score

Get the complete analysis for SHSE:600029

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

¥5.41
Price
¥6.31
GF Value