DKE Holding Co (HKSE:01770) ROIC %: 10.65% (As of Dec. 2025)

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.

HKSE:01770 DKE Holding Co Ltd HKSE:01770
16 GF Score
Price HK$82.20
! 2 Warning Signs
View Full Analysis

What is DKE Holding Co ROIC %?

DKE Holding Co HKSE:01770 +13.46% 16 ROIC % is 10.65% as of Dec. 2025. GuruFocus rates HKSE:01770 with a GF Score™ of 16/100. The stock has 2 warning signs investors should review.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. DKE Holding Co's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2025 was 10.65%.

As of today (2026-09-11), DKE Holding Co's WACC % is 10.12%. DKE Holding Co's ROIC % is 10.65% (calculated using TTM income statement data). DKE Holding Co 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.


DKE Holding Co  (HKSE:01770) ROIC % Explanation

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, DKE Holding Co's WACC % is 10.12%. DKE Holding Co's ROIC % is 10.65% (calculated using TTM income statement data). DKE Holding Co 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.


DKE Holding Co ROIC % Related Terms


DKE Holding Co ROIC % Historical Data

* Premium members only.

The historical data trend for DKE Holding Co's ROIC % 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.

DKE Holding Co ROIC % Chart

DKE Holding Co Annual Data
Trend Dec23 Dec24 Dec25
ROIC %
5.70 6.34 10.65

DKE Holding Co Semi-Annual Data
Dec23 Dec24 Dec25
ROIC % 5.70 6.34 10.65

HKSE:01770 vs APH, GLW, TEL: ROIC % Comparison

For the Electronic Components subindustry, DKE Holding Co'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.


DKE Holding Co ROIC % vs Hardware Industry

For the Hardware industry and Technology sector, DKE Holding Co's ROIC % distribution charts can be found below:

* The bar in red indicates where DKE Holding Co's ROIC % falls into.


HKSE:01770
16GF Score
DKE Holding Co Ltd HKSE:01770
ROIC % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

DKE Holding Co ROIC % Calculation

DKE Holding Co's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2025 is calculated as:

ROIC % (A: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2024 ) + Invested Capital (A: Dec. 2025 ))/ count )
=145.017 * ( 1 - 17.37% )/( (908.034 + 1341.252)/ 2 )
=119.8275471/1124.643
=10.65 %

where

Invested Capital(A: Dec. 2024 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1395.656 - 287.934 - ( 199.688 - max(0, 426.24 - 899.144+199.688))
=908.034

Invested Capital(A: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1915.306 - 383.435 - ( 190.619 - max(0, 815.938 - 1222.155+190.619))
=1341.252

DKE Holding Co's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Dec. 2025 is calculated as:

ROIC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2024 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=145.017 * ( 1 - 17.37% )/( (908.034 + 1341.252)/ 2 )
=119.8275471/1124.643
=10.65 %

where

Invested Capital(Q: Dec. 2024 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1395.656 - 287.934 - ( 199.688 - max(0, 426.24 - 899.144+199.688))
=908.034

Invested Capital(Q: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1915.306 - 383.435 - ( 190.619 - max(0, 815.938 - 1222.155+190.619))
=1341.252

Note: The Operating Income data used here is one times the 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.

Frequently Asked Questions Learn more about ROIC % →
What does a ROIC % of 10.65% mean?
DKE Holding Co (HKSE:01770) has a ROIC % of 10.65% 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 DKE Holding Co and its competitors.
Is DKE Holding Co's ROIC % too high?
DKE Holding Co's current ROIC % is 10.65%. The Hardware industry median ROIC % is 4.41. DKE Holding Co's value of 10.65% is 141.5% above this industry median. Overall, DKE Holding Co has a GF Score™ of 16/100, reflecting its overall financial health beyond just this single metric.
How does DKE Holding Co's ROIC % compare to APH and GLW?
DKE Holding Co's ROIC % of 10.65% can be compared against companies in the Hardware industry. The industry median ROIC % is 4.41. DKE Holding Co's value of 10.65% is 141.5% above this benchmark. 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 Hardware company?
The median ROIC % among Hardware companies is 4.41, based on 2,434 companies in the industry. Companies in the top quartile (top 25%) have a ROIC % significantly above this median, while those in the bottom quartile fall well below. However, ROIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. DKE Holding Co's current ROIC % of 10.65% is 141.5% 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 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 DKE Holding Co and its competitors. For the Hardware industry, the median ROIC % is 4.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DKE Holding Co's current ROIC % is 10.65%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DKE Holding Co stock overvalued right now?
DKE Holding Co (HKSE:01770) has a current ROIC % of 10.65%. The current ROIC % is 10.65% and 141.5% above the Hardware industry median of 4.41. DKE Holding Co's overall GF Score™ is 16/100 with 2 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 DKE Holding Co (HKSE:01770), the current ROIC % is 10.65% 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.

DKE Holding Co Business Description

Address No. 1999 Xihan Road, Xitang Town, Jiashan County, Zhejiang, Jiaxing, CHN
DKE Holding Co Ltd is principally engaged in the research & development, design, production, and sales of electronic paper display modules. Its products are used across applications including smart retail, smart offices, smart education, smart logistics, smart transportation, e-readers, and other emerging applications. The company offers electronic paper display products, including full-color, large-size display products and flexible display products. Geographically, the majority of revenue is derived from the Chinese mainland.
16GF Score

Get the complete analysis for HKSE:01770

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

HK$82.20
Price