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Lutian Machinery CoSHSE:605259 +0.61%80 3-Year ROIIC % is 16.42 as of Dec. 2025, which is 44% below its 10-year median of 29.09. GuruFocus rates SHSE:605259 with a GF Score™ of 80/100 and a GF Value™ of ¥23.83 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 2,925 Industrial Products companies, Lutian Machinery Co ranks better than 70.53% 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.
Lutian Machinery Co's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 16.42%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Lutian Machinery Co's 3-Year ROIIC % or its related term are showing as below:
SHSE:605259's 3-Year ROIIC % is ranked better than 70.53% of 2925
companies
in the Industrial Products industry
Industry Median: 3.47
vs SHSE:605259: 16.42
Lutian Machinery Co (SHSE:605259) 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.
Lutian Machinery Co 3-Year ROIIC % Related Terms
Lutian Machinery Co 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Lutian Machinery Co'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.
SHSE:605259 vs GEV, ETN, PH: 3-Year ROIIC % Comparison
For the Specialty Industrial Machinery subindustry, Lutian Machinery 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.
Lutian Machinery Co 3-Year ROIIC % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Lutian Machinery Co's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Lutian Machinery Co's 3-Year ROIIC % falls into.
* 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.
Lutian Machinery Co (SHSE:605259) has a 3-Year ROIIC % of 16.42 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 Lutian Machinery Co and its competitors. This is 44% below median its historical median of 29.09. Over the past decade, Lutian Machinery Co's 3-Year ROIIC % has ranged from 13.23 to 61.83. According to the industry distribution chart, Lutian Machinery Co ranks #862 out of 2925 companies in the Industrial Products industry, placing it in the top 29.5%.
Is Lutian Machinery Co's 3-Year ROIIC % too high?
Lutian Machinery Co's current 3-Year ROIIC % of 16.42 is 44% below median its 10-year median of 29.09. Over the past 10 years, this metric has ranged from a low of 13.23 to a high of 61.83. The Industrial Products industry median 3-Year ROIIC % is 3.47. Lutian Machinery Co's value of 16.42 is 373.2% above this industry median. Based on the distribution chart, Lutian Machinery Co ranks #862 out of 2925 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Lutian Machinery Co has a GF Score™ of 80/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lutian Machinery Co's 3-Year ROIIC % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Lutian Machinery Co ranks #862 out of 2925 companies for 3-Year ROIIC %. This puts Lutian Machinery Co in the upper half of its industry. The industry median 3-Year ROIIC % is 3.47. Lutian Machinery Co's value of 16.42 is 373.2% above this benchmark. Historically, Lutian Machinery Co's own 3-Year ROIIC % has ranged from 13.23 to 61.83 over the past decade. While the company's 10-year median is 29.09 vs. the industry median of 3.47, Lutian Machinery Co 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 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. Lutian Machinery Co's current 3-Year ROIIC % of 16.42 is 373.2% 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 Lutian Machinery 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. Lutian Machinery Co's current 3-Year ROIIC % is 16.42, which is 44% below median its own 10-year median of 29.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lutian Machinery Co stock overvalued right now?
Based on GuruFocus' analysis, Lutian Machinery Co (SHSE:605259) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥23.83, compared to a current price of ¥18.27 — trading 23.3% below its estimated fair value. The current 3-Year ROIIC % is 16.42, which is 44% below median its 10-year median of 29.09 and 373.2% above the Industrial Products industry median of 3.47. Lutian Machinery Co's overall GF Score™ is 80/100 with 4 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 Lutian Machinery Co (SHSE:605259), the current 3-Year ROIIC % is 16.42 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 Lutian Machinery Co (SHSE:605259) Overvalued in 2026?
Based on GuruFocus' analysis, Lutian Machinery Co stock appears to be undervalued.
The current stock price of ¥18.27 is trading 23.3% below its estimated GF Value™ of ¥23.83.
GuruFocus considers Lutian Machinery Co to be Modestly Undervalued.
Key valuation signals for SHSE:605259:
3-Year ROIIC %: 16.42 (44% below median its 10-year median of 29.09)
GF Value™: ¥23.83 vs. price of ¥18.27 (23.3% below fair value)
Industry Position: 373.2% above the Industrial Products median (#862 of 2925)
No single metric tells the full story. See the SHSE:605259 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lutian Machinery Co Ltd research and development, production and sales of general power machinery products mainly including generator sets, water pump units and engines and high-pressure cleaner products.
80GF Score
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