ALD (Altech Digital Co) ROE %: 259.60% (As of Mar. 2025)


What is Altech Digital Co ROE %?

Altech Digital Co ALD ROE % is 259.60% as of Mar. 2025.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Altech Digital Co's annualized net income for the quarter that ended in Mar. 2025 was $1.12 Mil. Altech Digital Co's average Total Stockholders Equity over the quarter that ended in Mar. 2025 was $0.43 Mil. Therefore, Altech Digital Co's annualized ROE % for the quarter that ended in Mar. 2025 was 259.60%.

The historical rank and industry rank for Altech Digital Co's ROE % or its related term are showing as below:

ALD's ROE % is not ranked *
in the Software industry.
Industry Median: 4.71
* Ranked among companies with meaningful ROE % only.

Altech Digital Co  (NAS:ALD) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Mar. 2025 )
=Net Income/Total Stockholders Equity
=1.115/0.4295
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(1.115 / 3.491)*(3.491 / 1.4375)*(1.4375 / 0.4295)
=Net Margin %*Asset Turnover*Equity Multiplier
=31.94 %*2.4285*3.3469
=ROA %*Equity Multiplier
=77.57 %*3.3469
=259.60 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2025 )
=Net Income/Total Stockholders Equity
=1.115/0.4295
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (1.115 / 1.287) * (1.287 / 1.212) * (1.212 / 3.491) * (3.491 / 1.4375) * (1.4375 / 0.4295)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8664 * 1.0619 * 34.72 % * 2.4285 * 3.3469
=259.60 %

Note: The net income data used here is one times the annual (Mar. 2025) net income data. The Revenue data used here is one times the annual (Mar. 2025) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.

Altech Digital Co ROE % Related Terms

Altech Digital Co ROE % Historical Data

* Premium members only.

The historical data trend for Altech Digital Co's ROE % 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.

Altech Digital Co ROE % Chart

Altech Digital Co Annual Data
Trend Mar24 Mar25
ROE %
Negative Equity 259.60

Altech Digital Co Semi-Annual Data
Mar24 Mar25
ROE % Negative Equity 259.60

ALD vs : ROE % Comparison

For the Information Technology Services subindustry, Altech Digital Co's ROE %, along with its competitors' market caps and ROE % 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.

Altech Digital Co ROE % vs Software Industry

For the Software industry and Technology sector, Altech Digital Co's ROE % distribution charts can be found below:

* The bar in red indicates where Altech Digital Co's ROE % falls into.


Altech Digital Co ROE % Calculation

Altech Digital Co's annualized ROE % for the fiscal year that ended in Mar. 2025 is calculated as

ROE %=Net Income (A: Mar. 2025 )/( (Total Stockholders Equity (A: Mar. 2024 )+Total Stockholders Equity (A: Mar. 2025 ))/ count )
=1.115/( (-0.096+0.955)/ 2 )
=1.115/0.4295
=259.60 %

Altech Digital Co's annualized ROE % for the quarter that ended in Mar. 2025 is calculated as

ROE %=Net Income (Q: Mar. 2025 )/( (Total Stockholders Equity (Q: Mar. 2024 )+Total Stockholders Equity (Q: Mar. 2025 ))/ count )
=1.115/( (-0.096+0.955)/ 2 )
=1.115/0.4295
=259.60 %

* 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 ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is one times the annual (Mar. 2025) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 259.60% mean?
Altech Digital Co (ALD) has a ROE % of 259.60% as of Mar. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Altech Digital Co and its competitors.
Is Altech Digital Co's ROE % too high?
Altech Digital Co's current ROE % is 259.60%. The Software industry median ROE % is 4.71. Altech Digital Co's value of 259.60% is 5411.7% above this industry median.
How does Altech Digital Co's ROE % compare to ?
Altech Digital Co's ROE % of 259.60% can be compared against companies in the Software industry. The industry median ROE % is 4.71. Altech Digital Co's value of 259.60% is 5411.7% 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 ROE % for a Software company?
The median ROE % among Software companies is 4.71, based on 2,681 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Altech Digital Co's current ROE % of 259.60% is 5411.7% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Altech Digital Co and its competitors. For the Software industry, the median ROE % is 4.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Altech Digital Co's current ROE % is 259.60%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Altech Digital Co stock overvalued right now?
Altech Digital Co (ALD) has a current ROE % of 259.60%. The current ROE % is 259.60% and 5411.7% above the Software industry median of 4.71. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Altech Digital Co (ALD), the current ROE % is 259.60% as of Mar. 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.

Altech Digital Co Business Description

Comparable Companies
Address 100 Cyberport Road, Units 608-61, Level 6, Core C, Cyberport 3, Pok Fu Lam, Hong Kong, HKG
Altech Digital Co Ltd is an IT solutions service provider and it operates its business in Hong Kong through its indirect wholly-owned Operating Subsidiary. The company focuses on providing comprehensive and inventive solutions designed to optimize business performance of its customers, meet various industry-specific operational challenges and create new business opportunities for them. It offers services to customers from a variety of industries including multinational financial services, property development and business solutions services. Its IT solutions services can be categorized into (i) system development services; and (ii) system maintenance and consultancy services.