Mechema Chemicals International (ROCO:4721) ROE %: 20.84% (As of Dec. 2025) — 16% Above Median


ROCO:4721 Mechema Chemicals International Corp ROCO:4721
70 GF Score
Price NT$91.20
GF Value NT$85.08
Valuation Fairly Valued
! 3 Warning Signs
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What is Mechema Chemicals International ROE %?

Mechema Chemicals International ROCO:4721 +1.33% 70 ROE % is 20.84% as of Dec. 2025, which is 16% above its 10-year median of 17.98. GuruFocus rates ROCO:4721 with a GF Score™ of 70/100 and a GF Value™ of NT$85.08 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,585 Chemicals companies, Mechema Chemicals International ranks better than 89.91% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Mechema Chemicals International's annualized net income for the quarter that ended in Dec. 2025 was NT$272 Mil. Mechema Chemicals International's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was NT$1,303 Mil. Therefore, Mechema Chemicals International's annualized ROE % for the quarter that ended in Dec. 2025 was 20.84%.

The historical rank and industry rank for Mechema Chemicals International's ROE % or its related term are showing as below:

ROCO:4721' s ROE % Range Over the Past 10 Years
Min: -1.87   Med: 17.98   Max: 28.33
Current: 17.42

During the past 13 years, Mechema Chemicals International's highest ROE % was 28.33%. The lowest was -1.87%. And the median was 17.98%.

ROCO:4721's ROE % is ranked better than
89.91% of 1585 companies
in the Chemicals industry
Industry Median: 5.2 vs ROCO:4721: 17.42

Mechema Chemicals International  (ROCO:4721) 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: Dec. 2025 )
=Net Income/Total Stockholders Equity
=271.588/1303.1525
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(271.588 / 2072.472)*(2072.472 / 2153.8875)*(2153.8875 / 1303.1525)
=Net Margin %*Asset Turnover*Equity Multiplier
=13.1 %*0.9622*1.6528
=ROA %*Equity Multiplier
=12.6 %*1.6528
=20.84 %

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: Dec. 2025 )
=Net Income/Total Stockholders Equity
=271.588/1303.1525
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (271.588 / 353.464) * (353.464 / 373.16) * (373.16 / 2072.472) * (2072.472 / 2153.8875) * (2153.8875 / 1303.1525)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7684 * 0.9472 * 18.01 % * 0.9622 * 1.6528
=20.84 %

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. 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.


Mechema Chemicals International ROE % Related Terms


Mechema Chemicals International ROE % Historical Data

* Premium members only.

The historical data trend for Mechema Chemicals International'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.

Mechema Chemicals International ROE % Chart

Mechema Chemicals International Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 28.33 26.46 -1.87 20.71 16.92

Mechema Chemicals International Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
ROE % 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 16.51 16.66 18.78 13.69 20.84

ROCO:4721 vs LIN, SHW, ECL: ROE % Comparison

For the Specialty Chemicals subindustry, Mechema Chemicals International'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.


Mechema Chemicals International ROE % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Mechema Chemicals International's ROE % distribution charts can be found below:

* The bar in red indicates where Mechema Chemicals International's ROE % falls into.


ROCO:4721
70GF Score
Mechema Chemicals International Corp ROCO:4721
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Mechema Chemicals International ROE % Calculation

Mechema Chemicals International's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=225.723/( (1311.399+1355.937)/ 2 )
=225.723/1333.668
=16.92 %

Mechema Chemicals International's annualized ROE % for the quarter that ended in Dec. 2025 is calculated as

ROE %=Net Income (Q: Dec. 2025 )/( (Total Stockholders Equity (Q: Sep. 2025 )+Total Stockholders Equity (Q: Dec. 2025 ))/ count )
=271.588/( (1250.368+1355.937)/ 2 )
=271.588/1303.1525
=20.84 %

* 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 (Dec. 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 20.84% mean?
Mechema Chemicals International (ROCO:4721) has a ROE % of 20.84% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Mechema Chemicals International and its competitors. This is 16% above median its historical median of 17.98. According to the industry distribution chart, Mechema Chemicals International ranks #160 out of 1585 companies in the Chemicals industry, placing it in the top 10.1%.
Is Mechema Chemicals International's ROE % too high?
Mechema Chemicals International's current ROE % of 20.84% is 16% above median its 10-year median of 17.98. The Chemicals industry median ROE % is 5.20. Mechema Chemicals International's value of 20.84% is 300.8% above this industry median. Based on the distribution chart, Mechema Chemicals International ranks #160 out of 1585 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Mechema Chemicals International has a GF Score™ of 70/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Mechema Chemicals International's ROE % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Mechema Chemicals International ranks #160 out of 1585 companies for ROE %. This places Mechema Chemicals International in the top 10% of its industry — outperforming the majority of peers. The industry median ROE % is 5.20. Mechema Chemicals International's value of 20.84% is 300.8% above this benchmark. While the company's 10-year median is 17.98 vs. the industry median of 5.20, Mechema Chemicals International 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 Chemicals company?
The median ROE % among Chemicals companies is 5.20, based on 1,585 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. Mechema Chemicals International's current ROE % of 20.84% is 300.8% 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 Mechema Chemicals International and its competitors. For the Chemicals industry, the median ROE % is 5.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mechema Chemicals International's current ROE % is 20.84%, which is 16% above median its own 10-year median of 17.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mechema Chemicals International stock overvalued right now?
Based on GuruFocus' analysis, Mechema Chemicals International (ROCO:4721) is currently considered Fairly Valued. The stock's GF Value™ is NT$85.08, compared to a current price of NT$91.20 — trading 7.2% above its estimated fair value. The current ROE % is 20.84%, which is 16% above median its 10-year median of 17.98 and 300.8% above the Chemicals industry median of 5.20. Mechema Chemicals International's overall GF Score™ is 70/100 with 3 warning signs to review. 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 Mechema Chemicals International (ROCO:4721), the current ROE % is 20.84% 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 Mechema Chemicals International (ROCO:4721) Overvalued in 2026?

Based on GuruFocus' analysis, Mechema Chemicals International stock appears to be overvalued. The current stock price of NT$91.20 is trading 7.2% above its estimated GF Value™ of NT$85.08. GuruFocus considers Mechema Chemicals International to be Fairly Valued.

Key valuation signals for ROCO:4721:

  • ROE %: 20.84% (16% above median its 10-year median of 17.98)
  • GF Value™: NT$85.08 vs. price of NT$91.20 (7.2% above fair value)
  • GF Score™: 70/100 with 3 warning signs
  • Industry Position: 300.8% above the Chemicals median (#160 of 1585)

No single metric tells the full story. See the ROCO:4721 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Mechema Chemicals International Business Description

Address No. 1, Datong 1st Road, Guanyin District, Taoyuan, TWN, 32849
Mechema Chemicals International Corp is engaged in the manufacturing, distribution, sales, import, and export of cobalt and its compounds and manganese and its compounds. The segments of the company are the oxidation catalysts and the battery material department. Maximum revenue is derives from Battery Material Department. Geographically, it has a presence in Taiwan, China, Korea, Thailand, Malaysia, Indonesia, Japan, and Other regions.
70GF Score

Get the complete analysis for ROCO:4721

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

NT$91.20
Price
NT$85.08
GF Value