LHSW (Lianhe Sowell International Group) 3-Year ROIIC % : 27.47% (As of Mar. 2025) — Near Median


LHSW Lianhe Sowell International Group Ltd LHSW
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What is Lianhe Sowell International Group 3-Year ROIIC %?

Lianhe Sowell International Group LHSW -18.63% 20 3-Year ROIIC % is 27.47 as of Mar. 2025, which is at its 10-year median of 27.47. GuruFocus rates LHSW with a GF Score™ of 20/100. The stock has 5 warning signs investors should review. Among 2,621 Software companies, Lianhe Sowell International Group ranks better than 73.25% on this metric.

3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year. Lianhe Sowell International Group's 3-Year ROIIC % for the quarter that ended in Mar. 2025 was 27.47%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Lianhe Sowell International Group's 3-Year ROIIC % or its related term are showing as below:

LHSW's 3-Year ROIIC % is ranked better than
73.25% of 2621 companies
in the Software industry
Industry Median: 5.24 vs LHSW: 27.47

Lianhe Sowell International Group  (NAS:LHSW) 3-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Lianhe Sowell International Group 3-Year ROIIC % Related Terms


Lianhe Sowell International Group 3-Year ROIIC % Historical Data

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The historical data trend for Lianhe Sowell International Group's 3-Year ROIIC % 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.

Lianhe Sowell International Group 3-Year ROIIC % Chart

Lianhe Sowell International Group Annual Data
Trend Mar22 Mar23 Mar24 Mar25
3-Year ROIIC %
0.00 0.00 0.00 27.47

Lianhe Sowell International Group Semi-Annual Data
Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25
3-Year ROIIC % Get a 7-Day Free Trial 0.00 0.00 0.00 27.47 0.00

LHSW vs HUBC, TGCB, OLB: 3-Year ROIIC % Comparison

For the Software - Infrastructure subindustry, Lianhe Sowell International Group's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % 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.


Lianhe Sowell International Group 3-Year ROIIC % vs Software Industry

For the Software industry and Technology sector, Lianhe Sowell International Group's 3-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Lianhe Sowell International Group's 3-Year ROIIC % falls into.


LHSW
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Lianhe Sowell International Group Ltd LHSW
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Lianhe Sowell International Group 3-Year ROIIC % Calculation

Lianhe Sowell International Group's 3-Year ROIIC % for the quarter that ended in Mar. 2025 is calculated as:

3-Year ROIIC %=3-Year Incremental Net Operating Profit After Taxes (NOPAT)**/3-Year Incremental Invested Capital**
=( 3.079 (Mar. 2025) - -0.347634 (Mar. 2022) )/( 14.694 (Mar. 2025) - 2.221 (Mar. 2022) )
=3.426634/12.473
=27.47%***

* 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.

** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.

Frequently Asked Questions Learn more about 3-Year ROIIC % →
What does a 3-Year ROIIC % of 27.47 mean?
Lianhe Sowell International Group (LHSW) has a 3-Year ROIIC % of 27.47 as of Mar. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Lianhe Sowell International Group and its competitors. This is near median its historical median of 27.47. Over the past decade, Lianhe Sowell International Group's 3-Year ROIIC % has ranged from 27.47 to 27.47. According to the industry distribution chart, Lianhe Sowell International Group ranks #701 out of 2621 companies in the Software industry, placing it in the top 26.7%.
Is Lianhe Sowell International Group's 3-Year ROIIC % too high?
Lianhe Sowell International Group's current 3-Year ROIIC % of 27.47 is near median its 10-year median of 27.47. Over the past 10 years, this metric has ranged from a low of 27.47 to a high of 27.47. The Software industry median 3-Year ROIIC % is 5.24. Lianhe Sowell International Group's value of 27.47 is 424.2% above this industry median. Based on the distribution chart, Lianhe Sowell International Group ranks #701 out of 2621 companies in the Software industry, which is above the industry midpoint. Overall, Lianhe Sowell International Group has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Lianhe Sowell International Group's 3-Year ROIIC % compare to HUBC and TGCB?
According to the Software industry distribution chart, Lianhe Sowell International Group ranks #701 out of 2621 companies for 3-Year ROIIC %. This puts Lianhe Sowell International Group in the upper half of its industry. The industry median 3-Year ROIIC % is 5.24. Lianhe Sowell International Group's value of 27.47 is 424.2% above this benchmark. Historically, Lianhe Sowell International Group's own 3-Year ROIIC % has ranged from 27.47 to 27.47 over the past decade. While the company's 10-year median is 27.47 vs. the industry median of 5.24, Lianhe Sowell International Group 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 3-Year ROIIC % for a Software company?
The median 3-Year ROIIC % among Software companies is 5.24, based on 2,621 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lianhe Sowell International Group's current 3-Year ROIIC % of 27.47 is 424.2% 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 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Lianhe Sowell International Group and its competitors. For the Software industry, the median 3-Year ROIIC % is 5.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lianhe Sowell International Group's current 3-Year ROIIC % is 27.47, which is near median its own 10-year median of 27.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lianhe Sowell International Group stock overvalued right now?
Lianhe Sowell International Group (LHSW) has a current 3-Year ROIIC % of 27.47. The current 3-Year ROIIC % is 27.47, which is near median its 10-year median of 27.47 and 424.2% above the Software industry median of 5.24. Lianhe Sowell International Group's overall GF Score™ is 20/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For Lianhe Sowell International Group (LHSW), the current 3-Year ROIIC % is 27.47 as of Mar. 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.

Lianhe Sowell International Group Business Description

Address No. 3388 Binhai Avenue, 15th Floor, Sannuo Smart Building, Binhai Community, Nanshan District, Shenzhen, CHN
Lianhe Sowell International Group Ltd is a holding company and operates its business through its subsidiary. It is a provider of machine vision products and solutions in China that invent and integrate technologies and solutions that address some of the critical manufacturing and distribution challenges, such as precision and accuracy required in manufacturing of electronic products. The company categorize machine vision products in four categories based on their application settings: Industrial Machine Vision, Artificial Intelligence (Face Recognition and AI Behavior Analysis), Intelligent Weak Current (Building Intelligence and Intelligent Transportation) and Electronic Customs Clearance.
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