Faraday Technology (TPE:3035) ROE %: 3.12% (As of Mar. 2026) — 61% Below Median

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TPE:3035 Faraday Technology Corp TPE:3035
95 GF Score
Price NT$207.00
GF Value NT$268.93
Valuation Modestly Undervalued
! 9 Warning Signs
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What is Faraday Technology ROE %?

Faraday Technology TPE:3035 95 ROE % is 3.12% as of Mar. 2026, which is 61% below its 10-year median of 8.09. GuruFocus rates TPE:3035 with a GF Score™ of 95/100 and a GF Value™ of NT$268.93 (Modestly Undervalued). The stock has 9 warning signs investors should review. Among 1,002 Semiconductors companies, Faraday Technology ranks worse than 53.09% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Faraday Technology's annualized net income for the quarter that ended in Mar. 2026 was NT$417 Mil. Faraday Technology's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was NT$13,356 Mil. Therefore, Faraday Technology's annualized ROE % for the quarter that ended in Mar. 2026 was 3.12%.

The historical rank and industry rank for Faraday Technology's ROE % or its related term are showing as below:

TPE:3035' s ROE % Range Over the Past 10 Years
Min: 3.77   Med: 8.09   Max: 29.86
Current: 3.77

During the past 13 years, Faraday Technology's highest ROE % was 29.86%. The lowest was 3.77%. And the median was 8.09%.

TPE:3035's ROE % is ranked worse than
53.09% of 1002 companies
in the Semiconductors industry
Industry Median: 4.625 vs TPE:3035: 3.77

Faraday Technology  (TPE:3035) 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
=417.052/13355.7165
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(417.052 / 10354.008)*(10354.008 / 19913.887)*(19913.887 / 13355.7165)
=Net Margin %*Asset Turnover*Equity Multiplier
=4.03 %*0.5199*1.491
=ROA %*Equity Multiplier
=2.1 %*1.491
=3.12 %

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
=417.052/13355.7165
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (417.052 / 716.872) * (716.872 / 408.74) * (408.74 / 10354.008) * (10354.008 / 19913.887) * (19913.887 / 13355.7165)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.5818 * 1.7539 * 3.95 % * 0.5199 * 1.491
=3.12 %

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.


Faraday Technology ROE % Related Terms


Faraday Technology ROE % Historical Data

* Premium members only.

The historical data trend for Faraday Technology'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.

Faraday Technology ROE % Chart

Faraday Technology 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 16.36 29.86 17.53 9.21 5.60

Faraday Technology 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 10.52 0.81 4.86 6.45 3.12

TPE:3035 vs AMAT, LRCX, KLAC: ROE % Comparison

For the Semiconductor Equipment & Materials subindustry, Faraday Technology'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.


Faraday Technology ROE % vs Semiconductors Industry

For the Semiconductors industry and Technology sector, Faraday Technology's ROE % distribution charts can be found below:

* The bar in red indicates where Faraday Technology's ROE % falls into.


TPE:3035
95GF Score
Faraday Technology Corp TPE:3035
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Faraday Technology ROE % Calculation

Faraday Technology'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 )
=731.331/( (13074.685+13056.36)/ 2 )
=731.331/13065.5225
=5.60 %

Faraday Technology'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 )
=417.052/( (13056.36+13655.073)/ 2 )
=417.052/13355.7165
=3.12 %

* 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 3.12% mean?
Faraday Technology (TPE:3035) has a ROE % of 3.12% 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 Faraday Technology and its competitors. This is 61% below median its historical median of 8.09. Over the past decade, Faraday Technology's ROE % has ranged from 3.77 to 29.86. According to the industry distribution chart, Faraday Technology ranks #532 out of 1002 companies in the Semiconductors industry, placing it in the top 53.1%.
Is Faraday Technology's ROE % too high?
Faraday Technology's current ROE % of 3.12% is 61% below median its 10-year median of 8.09. Over the past 10 years, this metric has ranged from a low of 3.77 to a high of 29.86. The Semiconductors industry median ROE % is 4.63. Faraday Technology's value of 3.12% is 32.5% below this industry median. Based on the distribution chart, Faraday Technology ranks #532 out of 1002 companies in the Semiconductors industry, which is below the industry midpoint. Overall, Faraday Technology has a GF Score™ of 95/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Faraday Technology's ROE % compare to AMAT and LRCX?
According to the Semiconductors industry distribution chart, Faraday Technology ranks #532 out of 1002 companies for ROE %. This places Faraday Technology in the lower half of its industry. The industry median ROE % is 4.63. Faraday Technology's value of 3.12% is 32.5% below this benchmark. Historically, Faraday Technology's own ROE % has ranged from 3.77 to 29.86 over the past decade. While the company's 10-year median is 8.09 vs. the industry median of 4.63, Faraday Technology 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 Semiconductors company?
The median ROE % among Semiconductors companies is 4.63, based on 1,002 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. Faraday Technology's current ROE % of 3.12% is 32.5% 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 Faraday Technology and its competitors. For the Semiconductors industry, the median ROE % is 4.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Faraday Technology's current ROE % is 3.12%, which is 61% below median its own 10-year median of 8.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Faraday Technology stock overvalued right now?
Based on GuruFocus' analysis, Faraday Technology (TPE:3035) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$268.93, compared to a current price of NT$207.00 — trading 23% below its estimated fair value. The current ROE % is 3.12%, which is 61% below median its 10-year median of 8.09 and 32.5% below the Semiconductors industry median of 4.63. Faraday Technology's overall GF Score™ is 95/100 with 9 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 Faraday Technology (TPE:3035), the current ROE % is 3.12% 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 Faraday Technology (TPE:3035) Overvalued in 2026?

Based on GuruFocus' analysis, Faraday Technology stock appears to be undervalued. The current stock price of NT$207.00 is trading 23% below its estimated GF Value™ of NT$268.93. GuruFocus considers Faraday Technology to be Modestly Undervalued.

Key valuation signals for TPE:3035:

  • ROE %: 3.12% (61% below median its 10-year median of 8.09)
  • GF Value™: NT$268.93 vs. price of NT$207.00 (23% below fair value)
  • GF Score™: 95/100 with 9 warning signs
  • Industry Position: 32.5% below the Semiconductors median (#532 of 1002)

No single metric tells the full story. See the TPE:3035 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Faraday Technology Business Description

Address Li-Hsin Road III, No. 5, Hsinchu Science Park, Hsinchu, TWN, 30078
Faraday Technology Corp is a fabless ASIC vendor and silicon intellectual property and system platform provider. It offers a comprehensive range of ASIC solutions, including total 3DIC packaging, Neoverse CSS design, FPGA-Go-ASIC, and design implementation services. Furthermore, its silicon IP portfolio encompasses a wide array of offerings, such as I/O, Cell Library, Memory Compiler, ARM-compliant CPUs, USB 3.1/2.0, 10/100 Ethernet, Giga Ethernet, SATA3/2, etc. Faraday generates revenue from the sale of goods, the rendering of services, and silicon intellectual property licenses. Geographically, the company generates maximum revenue from Taiwan, and the rest from China, Singapore, the United States, Japan, and other markets.
95GF Score

Get the complete analysis for TPE:3035

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

NT$207.00
Price
NT$268.93
GF Value