Hangzhou Huawang New Material Technology Co (SHSE:605377) ROE %: 6.61% (As of Mar. 2026) — 57% Below Median

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SHSE:605377 Hangzhou Huawang New Material Technology Co Ltd SHSE:605377
88 GF Score
Price ¥9.40
GF Value ¥9.25
Valuation Fairly Valued
! 12 Warning Signs
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What is Hangzhou Huawang New Material Technology Co ROE %?

Hangzhou Huawang New Material Technology Co SHSE:605377 -1.78% 88 ROE % is 6.61% as of Mar. 2026, which is 57% below its 10-year median of 15.48. GuruFocus rates SHSE:605377 with a GF Score™ of 88/100 and a GF Value™ of ¥9.25 (Fairly Valued). The stock has 12 warning signs investors should review. Among 280 Forest Products companies, Hangzhou Huawang New Material Technology Co ranks better than 74.64% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Hangzhou Huawang New Material Technology Co's annualized net income for the quarter that ended in Mar. 2026 was ¥260 Mil. Hangzhou Huawang New Material Technology Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ¥3,938 Mil. Therefore, Hangzhou Huawang New Material Technology Co's annualized ROE % for the quarter that ended in Mar. 2026 was 6.61%.

The historical rank and industry rank for Hangzhou Huawang New Material Technology Co's ROE % or its related term are showing as below:

SHSE:605377' s ROE % Range Over the Past 10 Years
Min: 6.48   Med: 15.48   Max: 25.97
Current: 6.48

During the past 13 years, Hangzhou Huawang New Material Technology Co's highest ROE % was 25.97%. The lowest was 6.48%. And the median was 15.48%.

SHSE:605377's ROE % is ranked better than
74.64% of 280 companies
in the Forest Products industry
Industry Median: 2.17 vs SHSE:605377: 6.48

Hangzhou Huawang New Material Technology Co  (SHSE:605377) 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
=260.284/3938.389
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(260.284 / 2904.324)*(2904.324 / 5996.266)*(5996.266 / 3938.389)
=Net Margin %*Asset Turnover*Equity Multiplier
=8.96 %*0.4844*1.5225
=ROA %*Equity Multiplier
=4.34 %*1.5225
=6.61 %

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
=260.284/3938.389
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (260.284 / 300.708) * (300.708 / 374.796) * (374.796 / 2904.324) * (2904.324 / 5996.266) * (5996.266 / 3938.389)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8656 * 0.8023 * 12.9 % * 0.4844 * 1.5225
=6.61 %

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.


Hangzhou Huawang New Material Technology Co ROE % Related Terms


Hangzhou Huawang New Material Technology Co ROE % Historical Data

* Premium members only.

The historical data trend for Hangzhou Huawang New Material Technology 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.

Hangzhou Huawang New Material Technology Co ROE % Chart

Hangzhou Huawang New Material Technology 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 18.82 15.18 14.86 11.76 6.88

Hangzhou Huawang New Material Technology 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 8.06 7.53 5.23 6.65 6.61

Hangzhou Huawang New Material Technology Co ROE % Competitor Comparison

For the Paper & Paper Products subindustry, Hangzhou Huawang New Material Technology 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.


Hangzhou Huawang New Material Technology Co ROE % vs Forest Products Industry

For the Forest Products industry and Basic Materials sector, Hangzhou Huawang New Material Technology Co's ROE % distribution charts can be found below:

* The bar in red indicates where Hangzhou Huawang New Material Technology Co's ROE % falls into.


SHSE:605377
88GF Score
Hangzhou Huawang New Material Technology Co Ltd SHSE:605377
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Hangzhou Huawang New Material Technology Co ROE % Calculation

Hangzhou Huawang New Material Technology 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 )
=270.885/( (3964.207+3905.471)/ 2 )
=270.885/3934.839
=6.88 %

Hangzhou Huawang New Material Technology 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 )
=260.284/( (3905.471+3971.307)/ 2 )
=260.284/3938.389
=6.61 %

* 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 6.61% mean?
Hangzhou Huawang New Material Technology Co (SHSE:605377) has a ROE % of 6.61% 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 Hangzhou Huawang New Material Technology Co and its competitors. This is 57% below median its historical median of 15.48. Over the past decade, Hangzhou Huawang New Material Technology Co's ROE % has ranged from 6.48 to 25.97. According to the industry distribution chart, Hangzhou Huawang New Material Technology Co ranks #71 out of 280 companies in the Forest Products industry, placing it in the top 25.4%.
Is Hangzhou Huawang New Material Technology Co's ROE % too high?
Hangzhou Huawang New Material Technology Co's current ROE % of 6.61% is 57% below median its 10-year median of 15.48. Over the past 10 years, this metric has ranged from a low of 6.48 to a high of 25.97. The Forest Products industry median ROE % is 2.17. Hangzhou Huawang New Material Technology Co's value of 6.61% is 204.6% above this industry median. Based on the distribution chart, Hangzhou Huawang New Material Technology Co ranks #71 out of 280 companies in the Forest Products industry, which is above the industry midpoint. Overall, Hangzhou Huawang New Material Technology Co has a GF Score™ of 88/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hangzhou Huawang New Material Technology Co's ROE % compare to competitors?
According to the Forest Products industry distribution chart, Hangzhou Huawang New Material Technology Co ranks #71 out of 280 companies for ROE %. This puts Hangzhou Huawang New Material Technology Co in the upper half of its industry. The industry median ROE % is 2.17. Hangzhou Huawang New Material Technology Co's value of 6.61% is 204.6% above this benchmark. Historically, Hangzhou Huawang New Material Technology Co's own ROE % has ranged from 6.48 to 25.97 over the past decade. While the company's 10-year median is 15.48 vs. the industry median of 2.17, Hangzhou Huawang New Material Technology Co 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 Forest Products company?
The median ROE % among Forest Products companies is 2.17, based on 280 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. Hangzhou Huawang New Material Technology Co's current ROE % of 6.61% is 204.6% 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 Hangzhou Huawang New Material Technology Co and its competitors. For the Forest Products industry, the median ROE % is 2.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hangzhou Huawang New Material Technology Co's current ROE % is 6.61%, which is 57% below median its own 10-year median of 15.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hangzhou Huawang New Material Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Hangzhou Huawang New Material Technology Co (SHSE:605377) is currently considered Fairly Valued. The stock's GF Value™ is ¥9.25, compared to a current price of ¥9.40 — trading 1.6% above its estimated fair value. The current ROE % is 6.61%, which is 57% below median its 10-year median of 15.48 and 204.6% above the Forest Products industry median of 2.17. Hangzhou Huawang New Material Technology Co's overall GF Score™ is 88/100 with 12 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 Hangzhou Huawang New Material Technology Co (SHSE:605377), the current ROE % is 6.61% 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 Hangzhou Huawang New Material Technology Co (SHSE:605377) Overvalued in 2026?

Based on GuruFocus' analysis, Hangzhou Huawang New Material Technology Co stock appears to be overvalued. The current stock price of ¥9.40 is trading 1.6% above its estimated GF Value™ of ¥9.25. GuruFocus considers Hangzhou Huawang New Material Technology Co to be Fairly Valued.

Key valuation signals for SHSE:605377:

  • ROE %: 6.61% (57% below median its 10-year median of 15.48)
  • GF Value™: ¥9.25 vs. price of ¥9.40 (1.6% above fair value)
  • GF Score™: 88/100 with 12 warning signs
  • Industry Position: 204.6% above the Forest Products median (#71 of 280)

No single metric tells the full story. See the SHSE:605377 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hangzhou Huawang New Material Technology Co Business Description

Address No. 18, Binhe North Road, Qingshanhu Street, Lin\'an District, Zhejiang Province, Hangzhou, CHN, 311305
Hangzhou Huawang New Material Technology Co Ltd is engaged in the production and sales of printable decorative base paper and plain decorative base paper, as well as wood pulp trading business.
88GF Score

Get the complete analysis for SHSE:605377

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

¥9.40
Price
¥9.25
GF Value