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.
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.
Cheng Fwa Industrial Co's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 37.10%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Cheng Fwa Industrial Co's 3-Year ROIIC % or its related term are showing as below:
ROCO:5426's 3-Year ROIIC % is ranked better than 82.97% of 2925
companies
in the Industrial Products industry
Industry Median: 3.47
vs ROCO:5426: 37.10
Cheng Fwa Industrial Co (ROCO:5426) 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.
Cheng Fwa Industrial Co 3-Year ROIIC % Related Terms
Cheng Fwa Industrial Co 3-Year ROIIC % Historical Data
* 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.
ROCO:5426 vs CRS, ATI, MLI: 3-Year ROIIC % Comparison
For the Metal Fabrication subindustry, Cheng Fwa Industrial Co'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.
Cheng Fwa Industrial Co 3-Year ROIIC % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Cheng Fwa Industrial Co's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Cheng Fwa Industrial Co's 3-Year ROIIC % falls into.
Cheng Fwa Industrial Co 3-Year ROIIC % Calculation
Cheng Fwa Industrial Co's 3-Year ROIIC % for the quarter that ended in Dec. 2025 is calculated as:
3-Year ROIIC %
=
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( 52.046632 (Dec. 2025) - 72.853425 (Dec. 2022) )
/
( 1748.088 (Dec. 2025) - 1804.165 (Dec. 2022) )
=
-20.806793
/
-56.077
=
37.10%***
* 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.
Cheng Fwa Industrial Co (ROCO:5426) has a 3-Year ROIIC % of 37.10 as of Dec. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Cheng Fwa Industrial Co and its competitors. According to the industry distribution chart, Cheng Fwa Industrial Co ranks #498 out of 2925 companies in the Industrial Products industry, placing it in the top 17%.
Is Cheng Fwa Industrial Co's 3-Year ROIIC % too high?
Cheng Fwa Industrial Co's current 3-Year ROIIC % is 37.10. The Industrial Products industry median 3-Year ROIIC % is 3.47. Cheng Fwa Industrial Co's value of 37.10 is 969.2% above this industry median. Based on the distribution chart, Cheng Fwa Industrial Co ranks #498 out of 2925 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Cheng Fwa Industrial Co has a GF Score™ of 56/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Cheng Fwa Industrial Co's 3-Year ROIIC % compare to CRS and ATI?
According to the Industrial Products industry distribution chart, Cheng Fwa Industrial Co ranks #498 out of 2925 companies for 3-Year ROIIC %. This places Cheng Fwa Industrial Co in the top 17% of its industry — outperforming the majority of peers. The industry median 3-Year ROIIC % is 3.47. Cheng Fwa Industrial Co's value of 37.10 is 969.2% 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 3-Year ROIIC % for an Industrial Products company?
The median 3-Year ROIIC % among Industrial Products companies is 3.47, based on 2,925 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. Cheng Fwa Industrial Co's current 3-Year ROIIC % of 37.10 is 969.2% 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 Cheng Fwa Industrial Co and its competitors. For the Industrial Products industry, the median 3-Year ROIIC % is 3.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cheng Fwa Industrial Co's current 3-Year ROIIC % is 37.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cheng Fwa Industrial Co stock overvalued right now?
Based on GuruFocus' analysis, Cheng Fwa Industrial Co (ROCO:5426) is currently considered Modestly Overvalued. The stock's GF Value™ is NT$25.05, compared to a current price of NT$28.00 — trading 11.8% above its estimated fair value. The current 3-Year ROIIC % is 37.10 and 969.2% above the Industrial Products industry median of 3.47. Cheng Fwa Industrial Co's overall GF Score™ is 56/100 with 3 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 Cheng Fwa Industrial Co (ROCO:5426), the current 3-Year ROIIC % is 37.10 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 Cheng Fwa Industrial Co (ROCO:5426) Overvalued in 2026?
Based on GuruFocus' analysis, Cheng Fwa Industrial Co stock appears to be overvalued.
The current stock price of NT$28.00 is trading 11.8% above its estimated GF Value™ of NT$25.05.
GuruFocus considers Cheng Fwa Industrial Co to be Modestly Overvalued.
Key valuation signals for ROCO:5426:
3-Year ROIIC %: 37.10
GF Value™: NT$25.05 vs. price of NT$28.00 (11.8% above fair value)
Industry Position: 969.2% above the Industrial Products median (#498 of 2925)
No single metric tells the full story. See the ROCO:5426 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cheng Fwa Industrial Co Ltd manufactures and supplies precision-stamped metal parts for the computer, telecommunication, networking, and electronic industries. Its products include computer casings and related components, precision stampings, server-side rails, and plastic injection molding solutions, among others. Their core services comprise the following main areas: design and engineering, rapid prototyping, tooling development, precision metal stamping, finishing processing, and plastic injection. Geographically, the Group generates maximum revenue from America, followed by Taiwan, Asia, and other regions.
56GF Score
Get the complete analysis for ROCO:5426
3-Year ROIIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ROCO:5426 has been successfully added to your 
