Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Hearts And Minds Investments's 3-Year RORE % for the quarter that ended in Dec. 2025 was -6.64%.
ASX:HM1's 3-Year RORE % is ranked worse than 63.04% of 1537
companies
in the Asset Management industry
Industry Median: 12.56
vs ASX:HM1: -6.64
Hearts And Minds Investments (ASX:HM1) 3-Year RORE % Explanation
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Hearts And Minds Investments 3-Year RORE % Related Terms
Hearts And Minds Investments 3-Year RORE % 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.
For the Asset Management subindustry, Hearts And Minds Investments's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % 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.
Hearts And Minds Investments 3-Year RORE % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Hearts And Minds Investments's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where Hearts And Minds Investments's 3-Year RORE % 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.
In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Dec. 2025 and 3-year before.
Hearts And Minds Investments (ASX:HM1) has a 3-Year RORE % of -6.64 as of Dec. 2025. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Hearts And Minds Investments and its competitors. According to the industry distribution chart, Hearts And Minds Investments ranks #969 out of 1537 companies in the Asset Management industry, placing it in the top 63%.
Is Hearts And Minds Investments' 3-Year RORE % too high?
Hearts And Minds Investments' current 3-Year RORE % is -6.64. Based on the distribution chart, Hearts And Minds Investments ranks #969 out of 1537 companies in the Asset Management industry, which is below the industry midpoint. Overall, Hearts And Minds Investments has a GF Score™ of 49/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hearts And Minds Investments' 3-Year RORE % compare to BLK and BX?
According to the Asset Management industry distribution chart, Hearts And Minds Investments ranks #969 out of 1537 companies for 3-Year RORE %. This places Hearts And Minds Investments in the lower half of its industry. The industry median 3-Year RORE % is 12.56. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year RORE % for an Asset Management company?
The median 3-Year RORE % among Asset Management companies is 12.56, based on 1,537 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year RORE % mean?
A high 3-Year RORE % can signal that a stock is expensive relative to its fundamentals. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Hearts And Minds Investments and its competitors. For the Asset Management industry, the median 3-Year RORE % is 12.56 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hearts And Minds Investments's current 3-Year RORE % is -6.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hearts And Minds Investments stock overvalued right now?
Based on GuruFocus' analysis, Hearts And Minds Investments (ASX:HM1) is currently considered Significantly Overvalued. The stock's GF Value™ is A$1.51, compared to a current price of A$2.99 — trading 98% above its estimated fair value. The current 3-Year RORE % is -6.64. Hearts And Minds Investments' overall GF Score™ is 49/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For Hearts And Minds Investments (ASX:HM1), the current 3-Year RORE % is -6.64 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 Hearts And Minds Investments (ASX:HM1) Overvalued in 2026?
Based on GuruFocus' analysis, Hearts And Minds Investments stock appears to be overvalued.
The current stock price of A$2.99 is trading 98% above its estimated GF Value™ of A$1.51.
GuruFocus considers Hearts And Minds Investments to be Significantly Overvalued.
Key valuation signals for ASX:HM1:
3-Year RORE %: -6.64
GF Value™: A$1.51 vs. price of A$2.99 (98% above fair value)
No single metric tells the full story. See the ASX:HM1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hearts And Minds Investments Ltd is a listed investment company. The company strives to deliver attractive equity investment returns for shareholders while providing funding for Australian medical research. It derives revenue from dividend income, interest income, and the sale of its investments. Geographically, the company has investments in the United States, Australia, Hong Kong, Germany, Canada, and the United Kingdom.
49GF Score
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