China LiteratureCHLLF 71 5-Year ROIIC % is 28.00 as of Dec. 2025. GuruFocus rates CHLLF with a GF Score™ of 71/100 and a GF Value™ of $4.28 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 482 Interactive Media companies, China Literature ranks better than 72.2% on this metric.
5-Year Return on Invested Incremental Capital (5-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 5-year.
China Literature's 5-Year ROIIC % for the quarter that ended in Dec. 2025 was 28.00%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for China Literature's 5-Year ROIIC % or its related term are showing as below:
CHLLF's 5-Year ROIIC % is ranked better than 72.2% of 482
companies
in the Interactive Media industry
Industry Median: 2.405
vs CHLLF: 28.00
China Literature (OTCPK:CHLLF) 5-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.
China Literature 5-Year ROIIC % Related Terms
China Literature 5-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for China Literature's 5-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.
CHLLF vs GOOGL, META, SPOT: 5-Year ROIIC % Comparison
For the Internet Content & Information subindustry, China Literature's 5-Year ROIIC %, along with its competitors' market caps and 5-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.
China Literature 5-Year ROIIC % vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, China Literature's 5-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where China Literature's 5-Year ROIIC % falls into.
China Literature's 5-Year ROIIC % for the quarter that ended in Dec. 2025 is calculated as:
5-Year ROIIC %
=
5-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
5-Year Incremental Invested Capital**
=
( 48.782 (Dec. 2025) - 126.7900455 (Dec. 2020) )
/
( 1666.234 (Dec. 2025) - 1950.379 (Dec. 2020) )
=
-78.0080455
/
-284.145
=
27.45%***
* 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 5-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.
China Literature (CHLLF) has a 5-Year ROIIC % of 28.00 as of Dec. 2025. 5-Year ROIIC % measures the change in earnings as a percentage of change in investment over 5-year. View historical data on China Literature and its competitors. According to the industry distribution chart, China Literature ranks #134 out of 482 companies in the Interactive Media industry, placing it in the top 27.8%.
Is China Literature's 5-Year ROIIC % too high?
China Literature's current 5-Year ROIIC % is 28.00. The Interactive Media industry median 5-Year ROIIC % is 2.41. China Literature's value of 28.00 is 1064.2% above this industry median. Based on the distribution chart, China Literature ranks #134 out of 482 companies in the Interactive Media industry, which is above the industry midpoint. Overall, China Literature has a GF Score™ of 71/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does China Literature's 5-Year ROIIC % compare to GOOGL and META?
According to the Interactive Media industry distribution chart, China Literature ranks #134 out of 482 companies for 5-Year ROIIC %. This puts China Literature in the upper half of its industry. The industry median 5-Year ROIIC % is 2.41. China Literature's value of 28.00 is 1064.2% 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 5-Year ROIIC % for an Interactive Media company?
The median 5-Year ROIIC % among Interactive Media companies is 2.41, based on 482 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. China Literature's current 5-Year ROIIC % of 28.00 is 1064.2% 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 5-Year ROIIC % mean?
A high 5-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 5-Year ROIIC % measures the change in earnings as a percentage of change in investment over 5-year. View historical data on China Literature and its competitors. For the Interactive Media industry, the median 5-Year ROIIC % is 2.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Literature's current 5-Year ROIIC % is 28.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Literature stock overvalued right now?
Based on GuruFocus' analysis, China Literature (CHLLF) is currently considered Possible Value Trap. The stock's GF Value™ is $4.28, compared to a current price of $2.55 — trading 40.4% below its estimated fair value. The current 5-Year ROIIC % is 28.00 and 1064.2% above the Interactive Media industry median of 2.41. China Literature's overall GF Score™ is 71/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year ROIIC % calculated?
5-Year ROIIC % is calculated from a company's financial statements. For China Literature (CHLLF), the current 5-Year ROIIC % is 28.00 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 China Literature (CHLLF) Overvalued in 2026?
Based on GuruFocus' analysis, China Literature stock appears to be undervalued.
The current stock price of $2.55 is trading 40.4% below its estimated GF Value™ of $4.28.
GuruFocus considers China Literature to be Possible Value Trap.
Key valuation signals for CHLLF:
5-Year ROIIC %: 28.00
GF Value™: $4.28 vs. price of $2.55 (40.4% below fair value)
Industry Position: 1064.2% above the Interactive Media median (#134 of 482)
No single metric tells the full story. See the CHLLF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Literature Ltd is an investment holding company. The company, along with its subsidiaries, provides online reading services, copyright commercialization, writer cultivation and brokerage, and operation of text work reading. It generates its revenue from Online reading through self-owned platform products. It operates in two segments: Online business, Intellectual property operations, and others. The Online business segment that derives the majority of revenue comprises online paid reading, online advertising, and game publishing. The Intellectual property operations and other segment include licensing and distribution of film and television properties, copyrights licensing, sales of adaptation rights and scripts, sales of physical books, and in-house online games operations.
71GF Score
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