Lung Teh Shipbuilding Co (TPE:6753) ROE %: 22.76% (As of Dec. 2025) — 42% Above Median

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.

TPE:6753 Lung Teh Shipbuilding Co Ltd TPE:6753
93 GF Score
Price NT$140.00
GF Value NT$120.21
Valuation Modestly Overvalued
! 4 Warning Signs
View Full Analysis

What is Lung Teh Shipbuilding Co ROE %?

Lung Teh Shipbuilding Co TPE:6753 +1.08% 93 ROE % is 22.76% as of Dec. 2025, which is 42% above its 10-year median of 16.01. GuruFocus rates TPE:6753 with a GF Score™ of 93/100 and a GF Value™ of NT$120.21 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 350 Aerospace & Defense companies, Lung Teh Shipbuilding Co ranks better than 77.14% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Lung Teh Shipbuilding Co's annualized net income for the quarter that ended in Dec. 2025 was NT$1,039 Mil. Lung Teh Shipbuilding Co's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was NT$4,563 Mil. Therefore, Lung Teh Shipbuilding Co's annualized ROE % for the quarter that ended in Dec. 2025 was 22.76%.

The historical rank and industry rank for Lung Teh Shipbuilding Co's ROE % or its related term are showing as below:

TPE:6753' s ROE % Range Over the Past 10 Years
Min: 10.9   Med: 16.01   Max: 23.19
Current: 16.72

During the past 9 years, Lung Teh Shipbuilding Co's highest ROE % was 23.19%. The lowest was 10.90%. And the median was 16.01%.

TPE:6753's ROE % is ranked better than
77.14% of 350 companies
in the Aerospace & Defense industry
Industry Median: 5.685 vs TPE:6753: 16.72

Lung Teh Shipbuilding Co  (TPE:6753) 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: Dec. 2025 )
=Net Income/Total Stockholders Equity
=1038.644/4562.7715
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(1038.644 / 6806.112)*(6806.112 / 10793.9905)*(10793.9905 / 4562.7715)
=Net Margin %*Asset Turnover*Equity Multiplier
=15.26 %*0.6305*2.3657
=ROA %*Equity Multiplier
=9.62 %*2.3657
=22.76 %

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: Dec. 2025 )
=Net Income/Total Stockholders Equity
=1038.644/4562.7715
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (1038.644 / 1261.228) * (1261.228 / 1075.788) * (1075.788 / 6806.112) * (6806.112 / 10793.9905) * (10793.9905 / 4562.7715)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8235 * 1.1724 * 15.81 % * 0.6305 * 2.3657
=22.76 %

Note: The net income data used here is four times the quarterly (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (Dec. 2025) 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.


Lung Teh Shipbuilding Co ROE % Related Terms


Lung Teh Shipbuilding Co ROE % Historical Data

* Premium members only.

The historical data trend for Lung Teh Shipbuilding 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.

Lung Teh Shipbuilding Co ROE % Chart

Lung Teh Shipbuilding Co Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial Premium Member Only 13.54 16.01 23.19 21.02 16.31

Lung Teh Shipbuilding Co Quarterly Data
Dec20 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
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 15.71 17.77 5.77 19.64 22.76

TPE:6753 vs SPCX, GE, RTX: ROE % Comparison

For the Aerospace & Defense subindustry, Lung Teh Shipbuilding 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.


Lung Teh Shipbuilding Co ROE % vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Lung Teh Shipbuilding Co's ROE % distribution charts can be found below:

* The bar in red indicates where Lung Teh Shipbuilding Co's ROE % falls into.


TPE:6753
93GF Score
Lung Teh Shipbuilding Co Ltd TPE:6753
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Lung Teh Shipbuilding Co ROE % Calculation

Lung Teh Shipbuilding 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 )
=683.741/( (3690.778+4694.013)/ 2 )
=683.741/4192.3955
=16.31 %

Lung Teh Shipbuilding Co's annualized ROE % for the quarter that ended in Dec. 2025 is calculated as

ROE %=Net Income (Q: Dec. 2025 )/( (Total Stockholders Equity (Q: Sep. 2025 )+Total Stockholders Equity (Q: Dec. 2025 ))/ count )
=1038.644/( (4431.53+4694.013)/ 2 )
=1038.644/4562.7715
=22.76 %

* 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 (Dec. 2025) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 22.76% mean?
Lung Teh Shipbuilding Co (TPE:6753) has a ROE % of 22.76% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Lung Teh Shipbuilding Co and its competitors. This is 42% above median its historical median of 16.01. Over the past decade, Lung Teh Shipbuilding Co's ROE % has ranged from 10.90 to 23.19. According to the industry distribution chart, Lung Teh Shipbuilding Co ranks #80 out of 350 companies in the Aerospace & Defense industry, placing it in the top 22.9%.
Is Lung Teh Shipbuilding Co's ROE % too high?
Lung Teh Shipbuilding Co's current ROE % of 22.76% is 42% above median its 10-year median of 16.01. Over the past 10 years, this metric has ranged from a low of 10.90 to a high of 23.19. The Aerospace & Defense industry median ROE % is 5.69. Lung Teh Shipbuilding Co's value of 22.76% is 300.4% above this industry median. Based on the distribution chart, Lung Teh Shipbuilding Co ranks #80 out of 350 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Lung Teh Shipbuilding Co has a GF Score™ of 93/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lung Teh Shipbuilding Co's ROE % compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Lung Teh Shipbuilding Co ranks #80 out of 350 companies for ROE %. This places Lung Teh Shipbuilding Co in the top 23% of its industry — outperforming the majority of peers. The industry median ROE % is 5.69. Lung Teh Shipbuilding Co's value of 22.76% is 300.4% above this benchmark. Historically, Lung Teh Shipbuilding Co's own ROE % has ranged from 10.90 to 23.19 over the past decade. While the company's 10-year median is 16.01 vs. the industry median of 5.69, Lung Teh Shipbuilding 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 Aerospace & Defense company?
The median ROE % among Aerospace & Defense companies is 5.69, based on 350 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. Lung Teh Shipbuilding Co's current ROE % of 22.76% is 300.4% 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 Lung Teh Shipbuilding Co and its competitors. For the Aerospace & Defense industry, the median ROE % is 5.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lung Teh Shipbuilding Co's current ROE % is 22.76%, which is 42% above median its own 10-year median of 16.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lung Teh Shipbuilding Co stock overvalued right now?
Based on GuruFocus' analysis, Lung Teh Shipbuilding Co (TPE:6753) is currently considered Modestly Overvalued. The stock's GF Value™ is NT$120.21, compared to a current price of NT$140.00 — trading 16.5% above its estimated fair value. The current ROE % is 22.76%, which is 42% above median its 10-year median of 16.01 and 300.4% above the Aerospace & Defense industry median of 5.69. Lung Teh Shipbuilding Co's overall GF Score™ is 93/100 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 Lung Teh Shipbuilding Co (TPE:6753), the current ROE % is 22.76% as of Dec. 2025. 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 Lung Teh Shipbuilding Co (TPE:6753) Overvalued in 2026?

Based on GuruFocus' analysis, Lung Teh Shipbuilding Co stock appears to be overvalued. The current stock price of NT$140.00 is trading 16.5% above its estimated GF Value™ of NT$120.21. GuruFocus considers Lung Teh Shipbuilding Co to be Modestly Overvalued.

Key valuation signals for TPE:6753:

  • ROE %: 22.76% (42% above median its 10-year median of 16.01)
  • GF Value™: NT$120.21 vs. price of NT$140.00 (16.5% above fair value)
  • GF Score™: 93/100 with 4 warning signs
  • Industry Position: 300.4% above the Aerospace & Defense median (#80 of 350)

No single metric tells the full story. See the TPE:6753 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Lung Teh Shipbuilding Co Business Description

Address No. 15, Dexing 5th Road, Dongshan Township, Yilan County, TWN, 269
Lung Teh Shipbuilding Co Ltd is engaged in shipbuilding, vessel design, and construction. The company manufactures, maintains, and sells high-performance fast boats. The Company operates in two geographical areas: Taiwan and Singapore. It generates maximum revenue from Taiwan.
93GF Score

Get the complete analysis for TPE:6753

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

NT$140.00
Price
NT$120.21
GF Value