Shanghai Material Trading Co (SHSE:600822) ROE %: 1.90% (As of Mar. 2026) — 72% Below Median


SHSE:600822 Shanghai Material Trading Co Ltd SHSE:600822
55 GF Score
Price ¥8.03
GF Value ¥5.90
Valuation Significantly Overvalued
! 1 Warning Sign
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What is Shanghai Material Trading Co ROE %?

Shanghai Material Trading Co SHSE:600822 +2.16% 55 ROE % is 1.90% as of Mar. 2026, which is 72% below its 10-year median of 6.81. GuruFocus rates SHSE:600822 with a GF Score™ of 55/100 and a GF Value™ of ¥5.90 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 560 Conglomerates companies, Shanghai Material Trading Co ranks worse than 67.5% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Shanghai Material Trading Co's annualized net income for the quarter that ended in Mar. 2026 was ¥24 Mil. Shanghai Material Trading Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ¥1,238 Mil. Therefore, Shanghai Material Trading Co's annualized ROE % for the quarter that ended in Mar. 2026 was 1.90%.

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

SHSE:600822' s ROE % Range Over the Past 10 Years
Min: 2.31   Med: 6.81   Max: 16.9
Current: 2.31

During the past 13 years, Shanghai Material Trading Co's highest ROE % was 16.90%. The lowest was 2.31%. And the median was 6.81%.

SHSE:600822's ROE % is ranked worse than
67.5% of 560 companies
in the Conglomerates industry
Industry Median: 6.21 vs SHSE:600822: 2.31

Shanghai Material Trading Co  (SHSE:600822) 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
=23.516/1238.4175
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(23.516 / 1431.988)*(1431.988 / 1707.996)*(1707.996 / 1238.4175)
=Net Margin %*Asset Turnover*Equity Multiplier
=1.64 %*0.8384*1.3792
=ROA %*Equity Multiplier
=1.37 %*1.3792
=1.90 %

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
=23.516/1238.4175
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (23.516 / 32.308) * (32.308 / 4.2) * (4.2 / 1431.988) * (1431.988 / 1707.996) * (1707.996 / 1238.4175)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7279 * 7.6924 * 0.29 % * 0.8384 * 1.3792
=1.90 %

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.


Shanghai Material Trading Co ROE % Related Terms


Shanghai Material Trading Co ROE % Historical Data

* Premium members only.

The historical data trend for Shanghai Material Trading 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.

Shanghai Material Trading Co ROE % Chart

Shanghai Material Trading 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 16.90 6.07 12.89 4.28 2.39

Shanghai Material Trading 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 2.23 2.67 1.59 3.06 1.90

SHSE:600822 vs HON, MMM: ROE % Comparison

For the Conglomerates subindustry, Shanghai Material Trading 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.


Shanghai Material Trading Co ROE % vs Conglomerates Industry

For the Conglomerates industry and Industrials sector, Shanghai Material Trading Co's ROE % distribution charts can be found below:

* The bar in red indicates where Shanghai Material Trading Co's ROE % falls into.


SHSE:600822
55GF Score
Shanghai Material Trading Co Ltd SHSE:600822
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Shanghai Material Trading Co ROE % Calculation

Shanghai Material Trading 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 )
=29.151/( (1205.759+1235.95)/ 2 )
=29.151/1220.8545
=2.39 %

Shanghai Material Trading 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 )
=23.516/( (1235.95+1240.885)/ 2 )
=23.516/1238.4175
=1.90 %

* 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 1.90% mean?
Shanghai Material Trading Co (SHSE:600822) has a ROE % of 1.90% 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 Shanghai Material Trading Co and its competitors. This is 72% below median its historical median of 6.81. Over the past decade, Shanghai Material Trading Co's ROE % has ranged from 2.31 to 16.90. According to the industry distribution chart, Shanghai Material Trading Co ranks #378 out of 560 companies in the Conglomerates industry, placing it in the top 67.5%.
Is Shanghai Material Trading Co's ROE % too high?
Shanghai Material Trading Co's current ROE % of 1.90% is 72% below median its 10-year median of 6.81. Over the past 10 years, this metric has ranged from a low of 2.31 to a high of 16.90. The Conglomerates industry median ROE % is 6.21. Shanghai Material Trading Co's value of 1.90% is 69.4% below this industry median. Based on the distribution chart, Shanghai Material Trading Co ranks #378 out of 560 companies in the Conglomerates industry, which is below the industry midpoint. Overall, Shanghai Material Trading Co has a GF Score™ of 55/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shanghai Material Trading Co's ROE % compare to HON and MMM?
According to the Conglomerates industry distribution chart, Shanghai Material Trading Co ranks #378 out of 560 companies for ROE %. This places Shanghai Material Trading Co in the lower half of its industry. The industry median ROE % is 6.21. Shanghai Material Trading Co's value of 1.90% is 69.4% below this benchmark. Historically, Shanghai Material Trading Co's own ROE % has ranged from 2.31 to 16.90 over the past decade. While the company's 10-year median is 6.81 vs. the industry median of 6.21, Shanghai Material Trading 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 Conglomerates company?
The median ROE % among Conglomerates companies is 6.21, based on 560 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. Shanghai Material Trading Co's current ROE % of 1.90% is 69.4% 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 Shanghai Material Trading Co and its competitors. For the Conglomerates industry, the median ROE % is 6.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shanghai Material Trading Co's current ROE % is 1.90%, which is 72% below median its own 10-year median of 6.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanghai Material Trading Co stock overvalued right now?
Based on GuruFocus' analysis, Shanghai Material Trading Co (SHSE:600822) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥5.90, compared to a current price of ¥8.03 — trading 36.1% above its estimated fair value. The current ROE % is 1.90%, which is 72% below median its 10-year median of 6.81 and 69.4% below the Conglomerates industry median of 6.21. Shanghai Material Trading Co's overall GF Score™ is 55/100 with 1 warning sign 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 Shanghai Material Trading Co (SHSE:600822), the current ROE % is 1.90% 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 Material Trading Co (SHSE:600822) Overvalued in 2026?

Based on GuruFocus' analysis, Shanghai Material Trading Co stock appears to be overvalued. The current stock price of ¥8.03 is trading 36.1% above its estimated GF Value™ of ¥5.90. GuruFocus considers Shanghai Material Trading Co to be Significantly Overvalued.

Key valuation signals for SHSE:600822:

  • ROE %: 1.90% (72% below median its 10-year median of 6.81)
  • GF Value™: ¥5.90 vs. price of ¥8.03 (36.1% above fair value)
  • GF Score™: 55/100 with 1 warning sign
  • Industry Position: 69.4% below the Conglomerates median (#378 of 560)

No single metric tells the full story. See the SHSE:600822 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shanghai Material Trading Co Business Description

Other Exchanges 900927:China
Address No. 325 South Suzhou Road, 4th Floor, Shanghai, Shanghai, CHN, 200002
Shanghai Material Trading Co Ltd is principally engaged in the trading of metal, oil products and automobiles. The company operates its businesses in domestic and overseas markets. Its scopr of business include metal materials, mineral products, light chemical raw materials, building materials, wood, automobiles and accessories, mechanical and electrical equipment, fuel, hardware and electricity, textile Import and export trade business; warehousing, information consulting and technical services.
55GF Score

Get the complete analysis for SHSE:600822

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

¥8.03
Price
¥5.90
GF Value