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.
HMS Networks AB's 3-Year RORE % for the quarter that ended in Mar. 2026 was 0.81%.
The industry rank for HMS Networks AB's 3-Year RORE % or its related term are showing as below:
HMNKF's 3-Year RORE % is ranked worse than 58.68% of 2379
companies
in the Hardware industry
Industry Median: 5.26
vs HMNKF: 0.81
HMS Networks AB (OTCPK:HMNKF) 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.
HMS Networks AB 3-Year RORE % Related Terms
HMS Networks AB 3-Year RORE % Historical Data
* Premium members only.
The historical data trend for HMS Networks AB's 3-Year RORE % 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.
HMNKF vs CSCO, CIEN, MSI: 3-Year RORE % Comparison
For the Communication Equipment subindustry, HMS Networks AB'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.
HMS Networks AB 3-Year RORE % vs Hardware Industry
For the Hardware industry and Technology sector, HMS Networks AB's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where HMS Networks AB'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 Mar. 2026 and 3-year before.
HMS Networks AB (HMNKF) has a 3-Year RORE % of 0.81 as of Mar. 2026. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on HMS Networks AB and its competitors. According to the industry distribution chart, HMS Networks AB ranks #1396 out of 2379 companies in the Hardware industry, placing it in the top 58.7%.
Is HMS Networks AB's 3-Year RORE % too high?
HMS Networks AB's current 3-Year RORE % is 0.81. The Hardware industry median 3-Year RORE % is 5.26. HMS Networks AB's value of 0.81 is 84.6% below this industry median. Based on the distribution chart, HMS Networks AB ranks #1396 out of 2379 companies in the Hardware industry, which is below the industry midpoint. Overall, HMS Networks AB has a GF Score™ of 94/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does HMS Networks AB's 3-Year RORE % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, HMS Networks AB ranks #1396 out of 2379 companies for 3-Year RORE %. This places HMS Networks AB in the lower half of its industry. The industry median 3-Year RORE % is 5.26. HMS Networks AB's value of 0.81 is 84.6% 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 RORE % for a Hardware company?
The median 3-Year RORE % among Hardware companies is 5.26, based on 2,379 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. HMS Networks AB's current 3-Year RORE % of 0.81 is 84.6% 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 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 HMS Networks AB and its competitors. For the Hardware industry, the median 3-Year RORE % is 5.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. HMS Networks AB's current 3-Year RORE % is 0.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HMS Networks AB stock overvalued right now?
Based on GuruFocus' analysis, HMS Networks AB (HMNKF) is currently considered Modestly Overvalued. The stock's GF Value™ is $53.05, compared to a current price of $59.75 — trading 12.6% above its estimated fair value. The current 3-Year RORE % is 0.81 and 84.6% below the Hardware industry median of 5.26. HMS Networks AB's overall GF Score™ is 94/100 with 3 warning signs 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 HMS Networks AB (HMNKF), the current 3-Year RORE % is 0.81 as of Mar. 2026. 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 HMS Networks AB (HMNKF) Overvalued in 2026?
Based on GuruFocus' analysis, HMS Networks AB stock appears to be overvalued.
The current stock price of $59.75 is trading 12.6% above its estimated GF Value™ of $53.05.
GuruFocus considers HMS Networks AB to be Modestly Overvalued.
Key valuation signals for HMNKF:
3-Year RORE %: 0.81
GF Value™: $53.05 vs. price of $59.75 (12.6% above fair value)
Industry Position: 84.6% below the Hardware median (#1396 of 2379)
No single metric tells the full story. See the HMNKF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
HMS Networks AB supplies proprietary, patented technology for intelligent industrial communication. It develops and manufactures solutions for connecting industrial products to networks and gateways, thus enabling interconnection between various networks. The group sells products in various countries, including Germany. Its operating segments include Industrial Data Solutions, Industrial Network Technology, and New Industries. The brands of the company are Anybus, Red Lion, N-Tron, Ewon, Intesis, Ixxat, Owasys, and PEAK-System.
94GF Score
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