Shenzhen Sine Electric Co (SHSE:688395) ROE %: 6.09% (As of Mar. 2026) — 54% Below Median

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SHSE:688395 Shenzhen Sine Electric Co Ltd SHSE:688395
71 GF Score
Price ¥19.82
GF Value ¥31.80
Valuation Possible Value Trap
! 4 Warning Signs
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What is Shenzhen Sine Electric Co ROE %?

Shenzhen Sine Electric Co SHSE:688395 +2.69% 71 ROE % is 6.09% as of Mar. 2026, which is 54% below its 10-year median of 13.31. GuruFocus rates SHSE:688395 with a GF Score™ of 71/100 and a GF Value™ of ¥31.80 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 3,005 Industrial Products companies, Shenzhen Sine Electric Co ranks worse than 51.81% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Shenzhen Sine Electric Co's annualized net income for the quarter that ended in Mar. 2026 was ¥48.0 Mil. Shenzhen Sine Electric Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ¥788.0 Mil. Therefore, Shenzhen Sine Electric Co's annualized ROE % for the quarter that ended in Mar. 2026 was 6.09%.

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

SHSE:688395' s ROE % Range Over the Past 10 Years
Min: 5.09   Med: 13.31   Max: 26.6
Current: 5.51

During the past 13 years, Shenzhen Sine Electric Co's highest ROE % was 26.60%. The lowest was 5.09%. And the median was 13.31%.

SHSE:688395's ROE % is ranked worse than
51.81% of 3005 companies
in the Industrial Products industry
Industry Median: 5.88 vs SHSE:688395: 5.51

Shenzhen Sine Electric Co  (SHSE:688395) 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
=47.952/788.025
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(47.952 / 483.492)*(483.492 / 995.0095)*(995.0095 / 788.025)
=Net Margin %*Asset Turnover*Equity Multiplier
=9.92 %*0.4859*1.2627
=ROA %*Equity Multiplier
=4.82 %*1.2627
=6.09 %

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
=47.952/788.025
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (47.952 / 52.22) * (52.22 / 60.116) * (60.116 / 483.492) * (483.492 / 995.0095) * (995.0095 / 788.025)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.9183 * 0.8687 * 12.43 % * 0.4859 * 1.2627
=6.09 %

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.


Shenzhen Sine Electric Co ROE % Related Terms


Shenzhen Sine Electric Co ROE % Historical Data

* Premium members only.

The historical data trend for Shenzhen Sine Electric 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.

Shenzhen Sine Electric Co ROE % Chart

Shenzhen Sine Electric 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 15.18 6.83 7.25 5.09 5.20

Shenzhen Sine Electric 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 4.79 6.60 3.94 5.41 6.09

SHSE:688395 vs VRT, BE: ROE % Comparison

For the Electrical Equipment & Parts subindustry, Shenzhen Sine Electric 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.


Shenzhen Sine Electric Co ROE % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Shenzhen Sine Electric Co's ROE % distribution charts can be found below:

* The bar in red indicates where Shenzhen Sine Electric Co's ROE % falls into.


SHSE:688395
71GF Score
Shenzhen Sine Electric Co Ltd SHSE:688395
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Shenzhen Sine Electric Co ROE % Calculation

Shenzhen Sine Electric 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 )
=40.071/( (760.206+782.031)/ 2 )
=40.071/771.1185
=5.20 %

Shenzhen Sine Electric 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 )
=47.952/( (782.031+794.019)/ 2 )
=47.952/788.025
=6.09 %

* 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 6.09% mean?
Shenzhen Sine Electric Co (SHSE:688395) has a ROE % of 6.09% 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 Shenzhen Sine Electric Co and its competitors. This is 54% below median its historical median of 13.31. Over the past decade, Shenzhen Sine Electric Co's ROE % has ranged from 5.09 to 26.60. According to the industry distribution chart, Shenzhen Sine Electric Co ranks #1557 out of 3005 companies in the Industrial Products industry, placing it in the top 51.8%.
Is Shenzhen Sine Electric Co's ROE % too high?
Shenzhen Sine Electric Co's current ROE % of 6.09% is 54% below median its 10-year median of 13.31. Over the past 10 years, this metric has ranged from a low of 5.09 to a high of 26.60. The Industrial Products industry median ROE % is 5.88. Shenzhen Sine Electric Co's value of 6.09% is 3.6% above this industry median. Based on the distribution chart, Shenzhen Sine Electric Co ranks #1557 out of 3005 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Shenzhen Sine Electric Co has a GF Score™ of 71/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Shenzhen Sine Electric Co's ROE % compare to VRT and BE?
According to the Industrial Products industry distribution chart, Shenzhen Sine Electric Co ranks #1557 out of 3005 companies for ROE %. This places Shenzhen Sine Electric Co in the lower half of its industry. The industry median ROE % is 5.88. Shenzhen Sine Electric Co's value of 6.09% is 3.6% above this benchmark. Historically, Shenzhen Sine Electric Co's own ROE % has ranged from 5.09 to 26.60 over the past decade. While the company's 10-year median is 13.31 vs. the industry median of 5.88, Shenzhen Sine Electric 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 an Industrial Products company?
The median ROE % among Industrial Products companies is 5.88, based on 3,005 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. Shenzhen Sine Electric Co's current ROE % of 6.09% is 3.6% 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 Shenzhen Sine Electric Co and its competitors. For the Industrial Products industry, the median ROE % is 5.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shenzhen Sine Electric Co's current ROE % is 6.09%, which is 54% below median its own 10-year median of 13.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shenzhen Sine Electric Co stock overvalued right now?
Based on GuruFocus' analysis, Shenzhen Sine Electric Co (SHSE:688395) is currently considered Possible Value Trap. The stock's GF Value™ is ¥31.80, compared to a current price of ¥19.82 — trading 37.7% below its estimated fair value. The current ROE % is 6.09%, which is 54% below median its 10-year median of 13.31 and 3.6% above the Industrial Products industry median of 5.88. Shenzhen Sine Electric Co's overall GF Score™ is 71/100 with 4 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 Shenzhen Sine Electric Co (SHSE:688395), the current ROE % is 6.09% 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 Shenzhen Sine Electric Co (SHSE:688395) Overvalued in 2026?

Based on GuruFocus' analysis, Shenzhen Sine Electric Co stock appears to be undervalued. The current stock price of ¥19.82 is trading 37.7% below its estimated GF Value™ of ¥31.80. GuruFocus considers Shenzhen Sine Electric Co to be Possible Value Trap.

Key valuation signals for SHSE:688395:

  • ROE %: 6.09% (54% below median its 10-year median of 13.31)
  • GF Value™: ¥31.80 vs. price of ¥19.82 (37.7% below fair value)
  • GF Score™: 71/100 with 4 warning signs
  • Industry Position: 3.6% above the Industrial Products median (#1557 of 3005)

No single metric tells the full story. See the SHSE:688395 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shenzhen Sine Electric Co Business Description

Address Shajing Street, No.7, 5th Floor, Factory Building, Antuoshan High-tech Industrial Park, Shaer Community, Baoan District, Guangdong, Shenzhen, CHN, 518104
Shenzhen Sine Electric Co Ltd is engaged in the research and development, production, and sales of motor drive and control system products in the field of industrial automation. It mainly provides inverters, integrated special machines, servo system products, and system solutions for mechanical equipment manufacturers and electronic control system integrators. Along with its domestic market business, the company also exports its products to Southeast Asia, the Middle East, Eastern Europe, South America, Africa, and other regions.
71GF Score

Get the complete analysis for SHSE:688395

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

¥19.82
Price
¥31.80
GF Value