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.
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.
ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Xingfa Aluminium Holdings's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2025 was 10.69%.
As of today (2026-08-19), Xingfa Aluminium Holdings's WACC % is 4.01%. Xingfa Aluminium Holdings's ROIC % is 8.66% (calculated using TTM income statement data).
Xingfa Aluminium Holdings generates higher returns on investment than it costs the company to raise the capital needed for that investment. It is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases.
ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. The reason book values of debt and equity are used is because the book values are the capital the company received when issuing the debt or receiving the equity investments.
There are four key components to this definition. The first is the use of operating income or EBIT rather than net income in the numerator. The second is the tax adjustment to this operating income or EBIT, computed as a hypothetical tax based on an effective or marginal tax rate. The third is the use of book values for invested capital, rather than market values. The final is the timing difference; the capital invested is from the end of the prior year whereas the operating income or EBIT is the current year's number.
Why is ROIC % important?
Because it costs money to raise capital. A firm that generates higher returns on investment than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.
As of today, Xingfa Aluminium Holdings's WACC % is 4.01%. Xingfa Aluminium Holdings's ROIC % is 8.66% (calculated using TTM income statement data).
Xingfa Aluminium Holdings generates higher returns on investment than it costs the company to raise the capital needed for that investment. It is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases.
Be Aware
Like ROE % and ROA %, ROIC % is calculated with only 12 months of data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
* 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.
For the Aluminum subindustry, Xingfa Aluminium Holdings's ROIC %, along with its competitors' market caps and ROIC % 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.
Xingfa Aluminium Holdings ROIC % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Xingfa Aluminium Holdings's ROIC % distribution charts can be found below:
* The bar in red indicates where Xingfa Aluminium Holdings's ROIC % falls into.
Note:
The Operating Income data used here is two times the semi-annual (Dec. 2025) data.
The tax rate is limited to between 0% and 100%.
* 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.
Xingfa Aluminium Holdings (HKSE:00098) has a ROIC % of 10.69% as of Dec. 2025. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Xingfa Aluminium Holdings and its competitors.
Is Xingfa Aluminium Holdings' ROIC % too high?
Xingfa Aluminium Holdings' current ROIC % is 10.69%. Overall, Xingfa Aluminium Holdings has a GF Score™ of 67/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Xingfa Aluminium Holdings' ROIC % compare to AA and CENX?
Xingfa Aluminium Holdings' ROIC % of 10.69% can be compared against companies in the Metals & Mining industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROIC % for a Metals & Mining company?
A good ROIC % depends on the Metals & Mining industry context. However, ROIC % 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 ROIC % mean?
A high ROIC % can signal that a stock is expensive relative to its fundamentals. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Xingfa Aluminium Holdings and its competitors. Xingfa Aluminium Holdings's current ROIC % is 10.69%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Xingfa Aluminium Holdings stock overvalued right now?
Based on GuruFocus' analysis, Xingfa Aluminium Holdings (HKSE:00098) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$8.72, compared to a current price of HK$6.62 — trading 24.1% below its estimated fair value. The current ROIC % is 10.69%. Xingfa Aluminium Holdings' overall GF Score™ is 67/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROIC % calculated?
ROIC % is calculated from a company's financial statements. For Xingfa Aluminium Holdings (HKSE:00098), the current ROIC % is 10.69% 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 Xingfa Aluminium Holdings (HKSE:00098) Overvalued in 2026?
Based on GuruFocus' analysis, Xingfa Aluminium Holdings stock appears to be undervalued.
The current stock price of HK$6.62 is trading 24.1% below its estimated GF Value™ of HK$8.72.
GuruFocus considers Xingfa Aluminium Holdings to be Modestly Undervalued.
Key valuation signals for HKSE:00098:
ROIC %: 10.69%
GF Value™: HK$8.72 vs. price of HK$6.62 (24.1% below fair value)
No single metric tells the full story. See the HKSE:00098 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Xingfa Aluminium Holdings Ltd is an investment holding company. The principal activities of the company and its subsidiaries are manufacturing and sale of aluminium products and sale of completed properties. The company's reportable segments are: Non-construction aluminium profiles, Construction aluminium profiles, and All other segments. The majority of revenue is derived from the Construction aluminium profiles segment, which manufactures and sells aluminium profiles with surface finishing, including anodic oxidation aluminium profiles, electrophoresis coating aluminium profiles, powder coating aluminium profiles and PVDF coating aluminium profiles. Geographically, the maximum revenue is generated from mainland China.
67GF Score
Get the complete analysis for HKSE:00098
ROIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
HKSE:00098 has been successfully added to your 
