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Kwong Fong IndustriesTPE:1416 -0.46%63 3-Year ROIIC % is 2.83 as of Dec. 2025, which is 15% above its 10-year median of 2.47. GuruFocus rates TPE:1416 with a GF Score™ of 63/100 and a GF Value™ of NT$15.96 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 2,623 Software companies, Kwong Fong Industries ranks worse than 54.48% 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.
Kwong Fong Industries's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 2.83%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Kwong Fong Industries's 3-Year ROIIC % or its related term are showing as below:
TPE:1416's 3-Year ROIIC % is ranked worse than 54.48% of 2623
companies
in the Software industry
Industry Median: 5.33
vs TPE:1416: 2.83
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.
Kwong Fong Industries 3-Year ROIIC % Related Terms
Kwong Fong Industries 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Kwong Fong Industries'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.
TPE:1416 vs IBM, ACN, FISV: 3-Year ROIIC % Comparison
For the Information Technology Services subindustry, Kwong Fong Industries'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.
Kwong Fong Industries 3-Year ROIIC % vs Software Industry
For the Software industry and Technology sector, Kwong Fong Industries's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Kwong Fong Industries'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.
Kwong Fong Industries (TPE:1416) has a 3-Year ROIIC % of 2.83 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 Kwong Fong Industries and its competitors. This is 15% above median its historical median of 2.47. According to the industry distribution chart, Kwong Fong Industries ranks #1429 out of 2623 companies in the Software industry, placing it in the top 54.5%.
Is Kwong Fong Industries' 3-Year ROIIC % too high?
Kwong Fong Industries' current 3-Year ROIIC % of 2.83 is 15% above median its 10-year median of 2.47. The Software industry median 3-Year ROIIC % is 5.33. Kwong Fong Industries' value of 2.83 is 46.9% below this industry median. Based on the distribution chart, Kwong Fong Industries ranks #1429 out of 2623 companies in the Software industry, which is below the industry midpoint. Overall, Kwong Fong Industries has a GF Score™ of 63/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Kwong Fong Industries' 3-Year ROIIC % compare to IBM and ACN?
According to the Software industry distribution chart, Kwong Fong Industries ranks #1429 out of 2623 companies for 3-Year ROIIC %. This places Kwong Fong Industries in the lower half of its industry. The industry median 3-Year ROIIC % is 5.33. Kwong Fong Industries' value of 2.83 is 46.9% below this benchmark. While the company's 10-year median is 2.47 vs. the industry median of 5.33, Kwong Fong Industries has consistently been below 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 5.33, based on 2,623 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. Kwong Fong Industries's current 3-Year ROIIC % of 2.83 is 46.9% below 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 Kwong Fong Industries and its competitors. For the Software industry, the median 3-Year ROIIC % is 5.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kwong Fong Industries's current 3-Year ROIIC % is 2.83, which is 15% above median its own 10-year median of 2.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kwong Fong Industries stock overvalued right now?
Based on GuruFocus' analysis, Kwong Fong Industries (TPE:1416) is currently considered Possible Value Trap. The stock's GF Value™ is NT$15.96, compared to a current price of NT$10.75 — trading 32.6% below its estimated fair value. The current 3-Year ROIIC % is 2.83, which is 15% above median its 10-year median of 2.47 and 46.9% below the Software industry median of 5.33. Kwong Fong Industries' overall GF Score™ is 63/100 with 6 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 Kwong Fong Industries (TPE:1416), the current 3-Year ROIIC % is 2.83 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 Kwong Fong Industries (TPE:1416) Overvalued in 2026?
Based on GuruFocus' analysis, Kwong Fong Industries stock appears to be undervalued.
The current stock price of NT$10.75 is trading 32.6% below its estimated GF Value™ of NT$15.96.
GuruFocus considers Kwong Fong Industries to be Possible Value Trap.
Key valuation signals for TPE:1416:
3-Year ROIIC %: 2.83 (15% above median its 10-year median of 2.47)
GF Value™: NT$15.96 vs. price of NT$10.75 (32.6% below fair value)
Industry Position: 46.9% below the Software median (#1429 of 2623)
No single metric tells the full story. See the TPE:1416 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kwong Fong Industries Corp main business items include housing and building development and rental, real estate business, mall management, information software services, and electronic information supply services. The company's segment includes the Kwong Fong Department, the Pao Fong Asset Management Department, the Kwong Fong Holdings Department, and the Digital Technology Department. The company generates the majority of its revenue from the Digital Technology Department, which is engaged in Information Software Services. The company generates all of its revenue from Taiwan. The company's revenue is derived from information services, software sales, and real estate sales.
63GF Score
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