ZTO Express (Cayman)MEX:ZTO N 84 ROE % is 13.35% as of Mar. 2026, which is 8% below its 10-year median of 14.48. GuruFocus rates MEX:ZTO N with a GF Score™ of 84/100 and a GF Value™ of MXN546.16. Among 991 Transportation companies, ZTO Express (Cayman) ranks better than 75.98% on this metric.
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:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) 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.
* 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 Integrated Freight & Logistics subindustry, ZTO Express (Cayman)'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.
ZTO Express (Cayman) ROE % vs Transportation Industry
For the Transportation industry and Industrials sector, ZTO Express (Cayman)'s ROE % distribution charts can be found below:
* The bar in red indicates where ZTO Express (Cayman)'s ROE % 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 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 four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
ZTO Express (Cayman) (MEX:ZTO N) has a ROE % of 13.35% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on ZTO Express (Cayman) and its competitors. This is near median its historical median of 14.48. Over the past decade, ZTO Express (Cayman)'s ROE % has ranged from 9.87 to 15.70. According to the industry distribution chart, ZTO Express (Cayman) ranks #238 out of 991 companies in the Transportation industry, placing it in the top 24%.
Is ZTO Express (Cayman)'s ROE % too high?
ZTO Express (Cayman)'s current ROE % of 13.35% is near median its 10-year median of 14.48. Over the past 10 years, this metric has ranged from a low of 9.87 to a high of 15.70. The Transportation industry median ROE % is 7.62. ZTO Express (Cayman)'s value of 13.35% is 75.2% above this industry median. Based on the distribution chart, ZTO Express (Cayman) ranks #238 out of 991 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, ZTO Express (Cayman) has a GF Score™ of 84/100, reflecting its overall financial health beyond just this single metric.
How does ZTO Express (Cayman)'s ROE % compare to EXPD and CHRW?
According to the Transportation industry distribution chart, ZTO Express (Cayman) ranks #238 out of 991 companies for ROE %. This places ZTO Express (Cayman) in the top 24% of its industry — outperforming the majority of peers. The industry median ROE % is 7.62. ZTO Express (Cayman)'s value of 13.35% is 75.2% above this benchmark. Historically, ZTO Express (Cayman)'s own ROE % has ranged from 9.87 to 15.70 over the past decade. While the company's 10-year median is 14.48 vs. the industry median of 7.62, ZTO Express (Cayman) 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 ROE % for a Transportation company?
The median ROE % among Transportation companies is 7.62, based on 991 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. ZTO Express (Cayman)'s current ROE % of 13.35% is 75.2% 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 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 ZTO Express (Cayman) and its competitors. For the Transportation industry, the median ROE % is 7.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ZTO Express (Cayman)'s current ROE % is 13.35%, which is near median its own 10-year median of 14.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ZTO Express (Cayman) stock overvalued right now?
ZTO Express (Cayman) (MEX:ZTO N) has a current ROE % of 13.35%. The stock's GF Value™ is MXN546.16, compared to a current price of MXN426.00 — trading 22% below its estimated fair value. The current ROE % is 13.35%, which is near median its 10-year median of 14.48 and 75.2% above the Transportation industry median of 7.62. ZTO Express (Cayman)'s overall GF Score™ is 84/100. 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 ZTO Express (Cayman) (MEX:ZTO N), the current ROE % is 13.35% 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 ZTO Express (Cayman) (MEX:ZTO N) Overvalued in 2026?
Based on GuruFocus' analysis, ZTO Express (Cayman) stock appears to be undervalued.
The current stock price of MXN426.00 is trading 22% below its estimated GF Value™ of MXN546.16.
Key valuation signals for MEX:ZTO N:
ROE %: 13.35% (near median its 10-year median of 14.48)
GF Value™: MXN546.16 vs. price of MXN426.00 (22% below fair value)
Industry Position: 75.2% above the Transportation median (#238 of 991)
No single metric tells the full story. See the MEX:ZTO N stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ZTO Express is China's largest express delivery company by parcel volume, with a volume share of 19.4% in 2024. It operates a network partner model where it provides line-haul transportation and sorting services, while its local network partners provide first-mile pickup and last-mile delivery services under the ZTO brand name. Headquartered in Shanghai, the company was founded in 2002 by Meisong Lai, who remains chair, CEO, and its major shareholder with 78% voting rights as of March 31, 2025. ZTO's strategic shareholder is leading China e-commerce company Alibaba Group with around an 8.9% interest.
84GF Score
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