Shanghai Newtouch Software Co (SHSE:688590) ROCE %: 2.65% (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

SHSE:688590 Shanghai Newtouch Software Co Ltd SHSE:688590
61 GF Score
Price ¥11.97
GF Value ¥32.52
Valuation Possible Value Trap
! 7 Warning Signs
View Full Analysis

What is Shanghai Newtouch Software Co ROCE %?

Shanghai Newtouch Software Co SHSE:688590 +1.18% 61 ROCE % is 2.65% as of Mar. 2026. GuruFocus rates SHSE:688590 with a GF Score™ of 61/100 and a GF Value™ of ¥32.52 (Possible Value Trap). The stock has 7 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. Shanghai Newtouch Software Co's annualized ROCE % for the quarter that ended in Mar. 2026 was 2.65%.


Shanghai Newtouch Software Co  (SHSE:688590) 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.


Shanghai Newtouch Software Co ROCE % Related Terms


Shanghai Newtouch Software Co ROCE % Historical Data

* Premium members only.

The historical data trend for Shanghai Newtouch Software 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.

Shanghai Newtouch Software Co ROCE % Chart

Shanghai Newtouch Software 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 15.08 -1.99 6.91 3.02 -3.26

Shanghai Newtouch Software 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 4.36 4.35 2.34 -24.82 2.65
SHSE:688590
61GF Score
Shanghai Newtouch Software Co Ltd SHSE:688590
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shanghai Newtouch Software Co ROCE % Calculation

Shanghai Newtouch Software 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 )
=-62.33/( ( (3103.403 - 1105.318) + (3210.084 - 1384.071) )/ 2 )
=-62.33/( (1998.085+1826.013)/ 2 )
=-62.33/1912.049
=-3.26 %

Shanghai Newtouch Software 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 )
=47.936/( ( (3210.084 - 1384.071) + (3285.82 - 1499.667) )/ 2 )
=47.936/( ( 1826.013 + 1786.153 )/ 2 )
=47.936/1806.083
=2.65 %

(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 2.65% mean?
Shanghai Newtouch Software Co (SHSE:688590) has a ROCE % of 2.65% as of Mar. 2026.
Is Shanghai Newtouch Software Co's ROCE % too high?
Shanghai Newtouch Software Co's current ROCE % is 2.65%. The Software industry median ROCE % is 5.33. Shanghai Newtouch Software Co's value of 2.65% is 50.2% below this industry median. Overall, Shanghai Newtouch Software Co has a GF Score™ of 61/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Shanghai Newtouch Software Co's ROCE % compare to IBM and ACN?
Shanghai Newtouch Software Co's ROCE % of 2.65% can be compared against companies in the Software industry. The industry median ROCE % is 5.33. Shanghai Newtouch Software Co's value of 2.65% is 50.2% below 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 Software company?
The median ROCE % among Software companies is 5.33, based on 2,724 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. Shanghai Newtouch Software Co's current ROCE % of 2.65% is 50.2% below 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 Software industry, the median ROCE % is 5.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shanghai Newtouch Software Co's current ROCE % is 2.65%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanghai Newtouch Software Co stock overvalued right now?
Based on GuruFocus' analysis, Shanghai Newtouch Software Co (SHSE:688590) is currently considered Possible Value Trap. The stock's GF Value™ is ¥32.52, compared to a current price of ¥11.97 — trading 63.2% below its estimated fair value. The current ROCE % is 2.65% and 50.2% below the Software industry median of 5.33. Shanghai Newtouch Software Co's overall GF Score™ is 61/100 with 7 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 Shanghai Newtouch Software Co (SHSE:688590), the current ROCE % is 2.65% 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 Shanghai Newtouch Software Co (SHSE:688590) Overvalued in 2026?

Based on GuruFocus' analysis, Shanghai Newtouch Software Co stock appears to be undervalued. The current stock price of ¥11.97 is trading 63.2% below its estimated GF Value™ of ¥32.52. GuruFocus considers Shanghai Newtouch Software Co to be Possible Value Trap.

Key valuation signals for SHSE:688590:

  • ROCE %: 2.65%
  • GF Value™: ¥32.52 vs. price of ¥11.97 (63.2% below fair value)
  • GF Score™: 61/100 with 7 warning signs
  • Industry Position: 50.2% below the Software median

No single metric tells the full story. See the SHSE:688590 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shanghai Newtouch Software Co Business Description

Address No. 98, Lane 91, Eshan Road, Building No. 1, Software Park, 4th -6th Floor, Pilot Free Trade Zone, Shanghai, CHN, 200127
Shanghai Newtouch Software Co Ltd focuses on providing IT solutions, IT operation and maintenance services to insurance companies, banks and other financial institutions and end customers in other industries such as telecommunications, automobiles, and medical care.
61GF Score

Get the complete analysis for SHSE:688590

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

¥11.97
Price
¥32.52
GF Value