China Security Co (SHSE:600654) ROE %: 7.00% (As of Mar. 2026) — 469% Above Median

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SHSE:600654 China Security Co Ltd SHSE:600654
58 GF Score
Price ¥2.53
GF Value ¥2.86
Valuation Modestly Undervalued
! 2 Warning Signs
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What is China Security Co ROE %?

China Security Co SHSE:600654 -5.24% 58 ROE % is 7.00% as of Mar. 2026, which is 469% above its 10-year median of 1.23. GuruFocus rates SHSE:600654 with a GF Score™ of 58/100 and a GF Value™ of ¥2.86 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,059 Business Services companies, China Security Co ranks worse than 62.51% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. China Security Co's annualized net income for the quarter that ended in Mar. 2026 was ¥113 Mil. China Security Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ¥1,621 Mil. Therefore, China Security Co's annualized ROE % for the quarter that ended in Mar. 2026 was 7.00%.

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

SHSE:600654' s ROE % Range Over the Past 10 Years
Min: -5064.26   Med: 1.23   Max: 25.25
Current: 4.37

During the past 13 years, China Security Co's highest ROE % was 25.25%. The lowest was -5,064.26%. And the median was 1.23%.

SHSE:600654's ROE % is ranked worse than
62.51% of 1059 companies
in the Business Services industry
Industry Median: 8.1 vs SHSE:600654: 4.37

China Security Co  (SHSE:600654) 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. 2026 )
=Net Income/Total Stockholders Equity
=113.48/1621.44
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(113.48 / 2608.324)*(2608.324 / 3505.1915)*(3505.1915 / 1621.44)
=Net Margin %*Asset Turnover*Equity Multiplier
=4.35 %*0.7441*2.1618
=ROA %*Equity Multiplier
=3.24 %*2.1618
=7.00 %

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. 2026 )
=Net Income/Total Stockholders Equity
=113.48/1621.44
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (113.48 / 153.788) * (153.788 / 55.216) * (55.216 / 2608.324) * (2608.324 / 3505.1915) * (3505.1915 / 1621.44)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7379 * 2.7852 * 2.12 % * 0.7441 * 2.1618
=7.00 %

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.


China Security Co ROE % Related Terms


China Security Co ROE % Historical Data

* Premium members only.

The historical data trend for China Security 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.

China Security Co ROE % Chart

China Security Co 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 0.00 -5,064.26 5.91 1.23 3.29

China Security Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 2.06 -1.44 45.70 -35.22 7.00

SHSE:600654 vs ALLE, MSA, ADT: ROE % Comparison

For the Security & Protection Services subindustry, China Security 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.


China Security Co ROE % vs Business Services Industry

For the Business Services industry and Industrials sector, China Security Co's ROE % distribution charts can be found below:

* The bar in red indicates where China Security Co's ROE % falls into.


SHSE:600654
58GF Score
China Security Co Ltd SHSE:600654
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

China Security Co ROE % Calculation

China Security Co'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 )
=52.96/( (1657.653+1557.512)/ 2 )
=52.96/1607.5825
=3.29 %

China Security Co's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Dec. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=113.48/( (1557.512+1685.368)/ 2 )
=113.48/1621.44
=7.00 %

* 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.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 7.00% mean?
China Security Co (SHSE:600654) has a ROE % of 7.00% 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 China Security Co and its competitors. This is 469% above median its historical median of 1.23. According to the industry distribution chart, China Security Co ranks #662 out of 1059 companies in the Business Services industry, placing it in the top 62.5%.
Is China Security Co's ROE % too high?
China Security Co's current ROE % of 7.00% is 469% above median its 10-year median of 1.23. The Business Services industry median ROE % is 8.10. China Security Co's value of 7.00% is 13.6% below this industry median. Based on the distribution chart, China Security Co ranks #662 out of 1059 companies in the Business Services industry, which is below the industry midpoint. Overall, China Security Co has a GF Score™ of 58/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does China Security Co's ROE % compare to ALLE and MSA?
According to the Business Services industry distribution chart, China Security Co ranks #662 out of 1059 companies for ROE %. This places China Security Co in the lower half of its industry. The industry median ROE % is 8.10. China Security Co's value of 7.00% is 13.6% below this benchmark. While the company's 10-year median is 1.23 vs. the industry median of 8.10, China Security Co has consistently been below 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 Business Services company?
The median ROE % among Business Services companies is 8.10, based on 1,059 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. China Security Co's current ROE % of 7.00% is 13.6% 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 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 China Security Co and its competitors. For the Business Services industry, the median ROE % is 8.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Security Co's current ROE % is 7.00%, which is 469% above median its own 10-year median of 1.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Security Co stock overvalued right now?
Based on GuruFocus' analysis, China Security Co (SHSE:600654) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥2.86, compared to a current price of ¥2.53 — trading 11.5% below its estimated fair value. The current ROE % is 7.00%, which is 469% above median its 10-year median of 1.23 and 13.6% below the Business Services industry median of 8.10. China Security Co's overall GF Score™ is 58/100 with 2 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 China Security Co (SHSE:600654), the current ROE % is 7.00% 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 Security Co (SHSE:600654) Overvalued in 2026?

Based on GuruFocus' analysis, China Security Co stock appears to be undervalued. The current stock price of ¥2.53 is trading 11.5% below its estimated GF Value™ of ¥2.86. GuruFocus considers China Security Co to be Modestly Undervalued.

Key valuation signals for SHSE:600654:

  • ROE %: 7.00% (469% above median its 10-year median of 1.23)
  • GF Value™: ¥2.86 vs. price of ¥2.53 (11.5% below fair value)
  • GF Score™: 58/100 with 2 warning signs
  • Industry Position: 13.6% below the Business Services median (#662 of 1059)

No single metric tells the full story. See the SHSE:600654 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China Security Co Business Description

Address No.2, South Road, 17th Floor, Block C, Rongke Information Center, Haidian District, Beijing, CHN, 100190
China Security Co Ltd is a professional smart city system integrator and comprehensive security service provider in China. It is involved in system integration and product manufacture. Its domestic business includes Public Safety, Smart Living, Smart Industry, and Smart Integration. Its international business includes Cash Logistics Management, Property Security Service, Electronic Security Service, Guard Security Services, Facility Management Service, and Extended Security Services.
58GF Score

Get the complete analysis for SHSE:600654

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

¥2.53
Price
¥2.86
GF Value