Union Semiconductor (Hefei) Co (SHSE:688403) ROE %: -1.35% (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

SHSE:688403 Union Semiconductor (Hefei) Co Ltd SHSE:688403
45 GF Score
Price ¥29.77
GF Value ¥11.10
Valuation Significantly Overvalued
! 10 Warning Signs
View Full Analysis

What is Union Semiconductor (Hefei) Co ROE %?

Union Semiconductor (Hefei) Co SHSE:688403 -8.62% 45 ROE % is -1.35% as of Mar. 2026. GuruFocus rates SHSE:688403 with a GF Score™ of 45/100 and a GF Value™ of ¥11.10 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 1,001 Semiconductors companies, Union Semiconductor (Hefei) Co ranks worse than 56.14% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Union Semiconductor (Hefei) Co's annualized net income for the quarter that ended in Mar. 2026 was ¥-51 Mil. Union Semiconductor (Hefei) Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ¥3,788 Mil. Therefore, Union Semiconductor (Hefei) Co's annualized ROE % for the quarter that ended in Mar. 2026 was -1.35%.

The historical rank and industry rank for Union Semiconductor (Hefei) Co's ROE % or its related term are showing as below:

SHSE:688403' s ROE % Range Over the Past 10 Years
Min: -77.52   Med: 4.82   Max: 11.07
Current: 2.89

During the past 8 years, Union Semiconductor (Hefei) Co's highest ROE % was 11.07%. The lowest was -77.52%. And the median was 4.82%.

SHSE:688403's ROE % is ranked worse than
56.14% of 1001 companies
in the Semiconductors industry
Industry Median: 4.65 vs SHSE:688403: 2.89

Union Semiconductor (Hefei) Co  (SHSE:688403) 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
=-51.236/3787.582
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-51.236 / 1643.688)*(1643.688 / 4959.834)*(4959.834 / 3787.582)
=Net Margin %*Asset Turnover*Equity Multiplier
=-3.12 %*0.3314*1.3095
=ROA %*Equity Multiplier
=-1.03 %*1.3095
=-1.35 %

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
=-51.236/3787.582
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-51.236 / -58.176) * (-58.176 / 6.892) * (6.892 / 1643.688) * (1643.688 / 4959.834) * (4959.834 / 3787.582)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8807 * -8.4411 * 0.42 % * 0.3314 * 1.3095
=-1.35 %

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.


Union Semiconductor (Hefei) Co ROE % Related Terms


Union Semiconductor (Hefei) Co ROE % Historical Data

* Premium members only.

The historical data trend for Union Semiconductor (Hefei) 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.

Union Semiconductor (Hefei) Co ROE % Chart

Union Semiconductor (Hefei) Co Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial 11.07 8.25 6.49 5.05 4.58

Union Semiconductor (Hefei) 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 5.03 6.85 3.36 3.47 -1.35

SHSE:688403 vs NVDA, AVGO, MU: ROE % Comparison

For the Semiconductors subindustry, Union Semiconductor (Hefei) 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.


Union Semiconductor (Hefei) Co ROE % vs Semiconductors Industry

For the Semiconductors industry and Technology sector, Union Semiconductor (Hefei) Co's ROE % distribution charts can be found below:

* The bar in red indicates where Union Semiconductor (Hefei) Co's ROE % falls into.


SHSE:688403
45GF Score
Union Semiconductor (Hefei) Co Ltd SHSE:688403
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Union Semiconductor (Hefei) Co ROE % Calculation

Union Semiconductor (Hefei) 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 )
=154.731/( (3201.071+3548.995)/ 2 )
=154.731/3375.033
=4.58 %

Union Semiconductor (Hefei) 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 )
=-51.236/( (3548.995+4026.169)/ 2 )
=-51.236/3787.582
=-1.35 %

* 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 -1.35% mean?
Union Semiconductor (Hefei) Co (SHSE:688403) has a ROE % of -1.35% 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 Union Semiconductor (Hefei) Co and its competitors. According to the industry distribution chart, Union Semiconductor (Hefei) Co ranks #562 out of 1001 companies in the Semiconductors industry, placing it in the top 56.1%.
Is Union Semiconductor (Hefei) Co's ROE % too high?
Union Semiconductor (Hefei) Co's current ROE % is -1.35%. Based on the distribution chart, Union Semiconductor (Hefei) Co ranks #562 out of 1001 companies in the Semiconductors industry, which is below the industry midpoint. Overall, Union Semiconductor (Hefei) Co has a GF Score™ of 45/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Union Semiconductor (Hefei) Co's ROE % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Union Semiconductor (Hefei) Co ranks #562 out of 1001 companies for ROE %. This places Union Semiconductor (Hefei) Co in the lower half of its industry. The industry median ROE % is 4.65. 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 Semiconductors company?
The median ROE % among Semiconductors companies is 4.65, based on 1,001 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. 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 Union Semiconductor (Hefei) Co and its competitors. For the Semiconductors industry, the median ROE % is 4.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Union Semiconductor (Hefei) Co's current ROE % is -1.35%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Union Semiconductor (Hefei) Co stock overvalued right now?
Based on GuruFocus' analysis, Union Semiconductor (Hefei) Co (SHSE:688403) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥11.10, compared to a current price of ¥29.77 — trading 168.2% above its estimated fair value. The current ROE % is -1.35%. Union Semiconductor (Hefei) Co's overall GF Score™ is 45/100 with 10 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 Union Semiconductor (Hefei) Co (SHSE:688403), the current ROE % is -1.35% 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 Union Semiconductor (Hefei) Co (SHSE:688403) Overvalued in 2026?

Based on GuruFocus' analysis, Union Semiconductor (Hefei) Co stock appears to be overvalued. The current stock price of ¥29.77 is trading 168.2% above its estimated GF Value™ of ¥11.10. GuruFocus considers Union Semiconductor (Hefei) Co to be Significantly Overvalued.

Key valuation signals for SHSE:688403:

  • ROE %: -1.35%
  • GF Value™: ¥11.10 vs. price of ¥29.77 (168.2% above fair value)
  • GF Score™: 45/100 with 10 warning signs

No single metric tells the full story. See the SHSE:688403 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Union Semiconductor (Hefei) Co Business Description

Address Hefei Comprehensive Bonded Zone, Xinzhan District, Anhui Province, Hefei, CHN, 230012
Union Semiconductor (Hefei) Co Ltd is a high-end packaging and testing service provider for integrated circuits. It focuses on the field of display driver chips. The company's main business is the front-end gold bumping manufacturing as the core, and integrates wafer testing, back-end chip-on-glass, and chip-on-film links to form a full range of display driver chips.
45GF Score

Get the complete analysis for SHSE:688403

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

¥29.77
Price
¥11.10
GF Value