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TongHwaTPE:1418 41 3-Year ROIIC % is 0.25 as of Dec. 2025. GuruFocus rates TPE:1418 with a GF Score™ of 41/100 and a GF Value™ of NT$10.70 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 1,015 Manufacturing - Apparel & Accessories companies, TongHwa ranks worse than 53.3% 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.
TongHwa's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 0.25%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for TongHwa's 3-Year ROIIC % or its related term are showing as below:
TPE:1418's 3-Year ROIIC % is ranked worse than 53.3% of 1015
companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 1.52
vs TPE:1418: 0.25
TongHwa (TPE:1418) 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.
TongHwa 3-Year ROIIC % Related Terms
TongHwa 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for TongHwa'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.
For the Textile Manufacturing subindustry, TongHwa'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.
TongHwa 3-Year ROIIC % vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, TongHwa's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where TongHwa's 3-Year ROIIC % falls into.
TongHwa'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**
=
( -74.812 (Dec. 2025) - -80.11 (Dec. 2022) )
/
( 7619.427 (Dec. 2025) - 5475.745 (Dec. 2022) )
=
5.298
/
2143.682
=
0.25%***
* 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.
TongHwa (TPE:1418) has a 3-Year ROIIC % of 0.25 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 TongHwa and its competitors. According to the industry distribution chart, TongHwa ranks #541 out of 1015 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 53.3%.
Is TongHwa's 3-Year ROIIC % too high?
TongHwa's current 3-Year ROIIC % is 0.25. The Manufacturing - Apparel & Accessories industry median 3-Year ROIIC % is 1.52. TongHwa's value of 0.25 is 83.6% below this industry median. Based on the distribution chart, TongHwa ranks #541 out of 1015 companies in the Manufacturing - Apparel & Accessories industry, which is below the industry midpoint. Overall, TongHwa has a GF Score™ of 41/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does TongHwa's 3-Year ROIIC % compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, TongHwa ranks #541 out of 1015 companies for 3-Year ROIIC %. This places TongHwa in the lower half of its industry. The industry median 3-Year ROIIC % is 1.52. TongHwa's value of 0.25 is 83.6% below 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 a Manufacturing - Apparel & Accessories company?
The median 3-Year ROIIC % among Manufacturing - Apparel & Accessories companies is 1.52, based on 1,015 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. TongHwa's current 3-Year ROIIC % of 0.25 is 83.6% 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 TongHwa and its competitors. For the Manufacturing - Apparel & Accessories industry, the median 3-Year ROIIC % is 1.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TongHwa's current 3-Year ROIIC % is 0.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TongHwa stock overvalued right now?
Based on GuruFocus' analysis, TongHwa (TPE:1418) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$10.70, compared to a current price of NT$18.70 — trading 74.8% above its estimated fair value. The current 3-Year ROIIC % is 0.25 and 83.6% below the Manufacturing - Apparel & Accessories industry median of 1.52. TongHwa's overall GF Score™ is 41/100 with 10 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 TongHwa (TPE:1418), the current 3-Year ROIIC % is 0.25 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 TongHwa (TPE:1418) Overvalued in 2026?
Based on GuruFocus' analysis, TongHwa stock appears to be overvalued.
The current stock price of NT$18.70 is trading 74.8% above its estimated GF Value™ of NT$10.70.
GuruFocus considers TongHwa to be Significantly Overvalued.
Key valuation signals for TPE:1418:
3-Year ROIIC %: 0.25
GF Value™: NT$10.70 vs. price of NT$18.70 (74.8% above fair value)
Industry Position: 83.6% below the Manufacturing - Apparel & Accessories median (#541 of 1015)
No single metric tells the full story. See the TPE:1418 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
TongHwa Corp is a Taiwan-based company. The company manufactures and distributes acrylic fibers. It offers high shrinkage, fine denier, flat type, super soft, and anti-pilling fibers that are used in apparel comprising sweaters, women's wear, and children's wear. Its products include sweaters, flannel, blankets, carpets, sofa fabrics, socks, toys, and interior accessories. The reportable segments of the Group include the purchase and sale of Acrylic Staple and Tow, as well as residential and building development, leasing, and sales.
41GF Score
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