Modern Living Investments Holdings (HKSE:08426) ROIC %: 21.77% (As of Jun. 2026)

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HKSE:08426 Modern Living Investments Holdings Ltd HKSE:08426
61 GF Score
Price HK$0.27
GF Value HK$0.30
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Modern Living Investments Holdings ROIC %?

Modern Living Investments Holdings HKSE:08426 +12.50% 61 ROIC % is 21.77% as of Jun. 2026. GuruFocus rates HKSE:08426 with a GF Score™ of 61/100 and a GF Value™ of HK$0.30 (Modestly Undervalued). The stock has 3 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 %. Modern Living Investments Holdings's annualized return on invested capital (ROIC %) for the quarter that ended in Jun. 2026 was 21.77%.

As of today (2026-09-21), Modern Living Investments Holdings's WACC % is 1.51%. Modern Living Investments Holdings's ROIC % is 21.84% (calculated using TTM income statement data). Modern Living Investments 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.


Modern Living Investments Holdings  (HKSE:08426) 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, Modern Living Investments Holdings's WACC % is 1.51%. Modern Living Investments Holdings's ROIC % is 21.84% (calculated using TTM income statement data). Modern Living Investments 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.


Modern Living Investments Holdings ROIC % Related Terms


Modern Living Investments Holdings ROIC % Historical Data

* Premium members only.

The historical data trend for Modern Living Investments Holdings'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.

Modern Living Investments Holdings ROIC % Chart

Modern Living Investments Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 20.78 12.56 12.60 20.05 37.66

Modern Living Investments Holdings Semi-Annual Data
Jun17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25 Jun26
ROIC % 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 24.23 31.63 34.87 37.98 21.77

HKSE:08426 vs CBRE, BEKE, JLL: ROIC % Comparison

For the Real Estate Services subindustry, Modern Living Investments 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.


Modern Living Investments Holdings ROIC % vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Modern Living Investments Holdings's ROIC % distribution charts can be found below:

* The bar in red indicates where Modern Living Investments Holdings's ROIC % falls into.


HKSE:08426
61GF Score
Modern Living Investments Holdings Ltd HKSE:08426
ROIC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Modern Living Investments Holdings ROIC % Calculation

Modern Living Investments Holdings'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 )
=21.505 * ( 1 - 13.063% )/( (22.103 + 77.187)/ 2 )
=18.69580185/49.645
=37.66 %

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))
=220.109 - 63.889 - ( 134.117 - max(0, 64.778 - 212.156+134.117))
=22.103

Modern Living Investments Holdings's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Jun. 2026 is calculated as:

ROIC % (Q: Jun. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Jun. 2026 ))/ count )
=21.996 * ( 1 - 16.181% )/( (77.187 + 92.179)/ 2 )
=18.43682724/84.683
=21.77 %

where

Note: The Operating Income data used here is two times the semi-annual (Jun. 2026) 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 21.77% mean?
Modern Living Investments Holdings (HKSE:08426) has a ROIC % of 21.77% as of Jun. 2026. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Modern Living Investments Holdings and its competitors.
Is Modern Living Investments Holdings' ROIC % too high?
Modern Living Investments Holdings' current ROIC % is 21.77%. The Real Estate industry median ROIC % is 2.05. Modern Living Investments Holdings' value of 21.77% is 962% above this industry median. Overall, Modern Living Investments Holdings has a GF Score™ of 61/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Modern Living Investments Holdings' ROIC % compare to CBRE and BEKE?
Modern Living Investments Holdings' ROIC % of 21.77% can be compared against companies in the Real Estate industry. The industry median ROIC % is 2.05. Modern Living Investments Holdings' value of 21.77% is 962% 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 Real Estate company?
The median ROIC % among Real Estate companies is 2.05, based on 1,761 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. Modern Living Investments Holdings's current ROIC % of 21.77% is 962% 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 Modern Living Investments Holdings and its competitors. For the Real Estate industry, the median ROIC % is 2.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Modern Living Investments Holdings's current ROIC % is 21.77%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Modern Living Investments Holdings stock overvalued right now?
Based on GuruFocus' analysis, Modern Living Investments Holdings (HKSE:08426) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$0.30, compared to a current price of HK$0.27 — trading 10% below its estimated fair value. The current ROIC % is 21.77% and 962% above the Real Estate industry median of 2.05. Modern Living Investments Holdings' overall GF Score™ is 61/100 with 3 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 Modern Living Investments Holdings (HKSE:08426), the current ROIC % is 21.77% as of Jun. 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 Modern Living Investments Holdings (HKSE:08426) Overvalued in 2026?

Based on GuruFocus' analysis, Modern Living Investments Holdings stock appears to be undervalued. The current stock price of HK$0.27 is trading 10% below its estimated GF Value™ of HK$0.30. GuruFocus considers Modern Living Investments Holdings to be Modestly Undervalued.

Key valuation signals for HKSE:08426:

  • ROIC %: 21.77%
  • GF Value™: HK$0.30 vs. price of HK$0.27 (10% below fair value)
  • GF Score™: 61/100 with 3 warning signs
  • Industry Position: 962% above the Real Estate median

No single metric tells the full story. See the HKSE:08426 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Modern Living Investments Holdings Business Description

Address No. 3 On Yiu Street, Units 1102-1103, 11th Floor, Delta House, Sha Tin, New Territories, Hong Kong, HKG
Modern Living Investments Holdings Ltd is an investment holding company. Along with its subsidiaries, it is principally engaged in the provision of property management services with a primary focus on public housing in Hong Kong. Its property management services include estate management services (entailing general management, tenancy management, financial management, repair and maintenance), security services, and cleaning services. Geographically, the company derives all of its revenue from its customers in Hong Kong.
61GF Score

Get the complete analysis for HKSE:08426

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

HK$0.27
Price
HK$0.30
GF Value