Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) 3-Year RORE % : 12.07% (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

KUW:SHIP Heavy Engineering Industries and Shipbuilding Co KSC KUW:SHIP
76 GF Score
Price KWD0.67
GF Value KWD1.05
Valuation Possible Value Trap
! 6 Warning Signs
View Full Analysis

What is Heavy Engineering Industries and Shipbuilding Co KSC 3-Year RORE %?

Heavy Engineering Industries and Shipbuilding Co KSC KUW:SHIP -0.89% 76 3-Year RORE % is 12.07 as of Mar. 2026. GuruFocus rates KUW:SHIP with a GF Score™ of 76/100 and a GF Value™ of KWD1.05 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 1,635 Construction companies, Heavy Engineering Industries and Shipbuilding Co KSC ranks better than 55.66% on this metric.

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. Heavy Engineering Industries and Shipbuilding Co KSC's 3-Year RORE % for the quarter that ended in Mar. 2026 was 12.07%.

The industry rank for Heavy Engineering Industries and Shipbuilding Co KSC's 3-Year RORE % or its related term are showing as below:

KUW:SHIP's 3-Year RORE % is ranked better than
55.66% of 1635 companies
in the Construction industry
Industry Median: 6.77 vs KUW:SHIP: 12.07

Heavy Engineering Industries and Shipbuilding Co KSC  (KUW:SHIP) 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.


Heavy Engineering Industries and Shipbuilding Co KSC 3-Year RORE % Related Terms


Heavy Engineering Industries and Shipbuilding Co KSC 3-Year RORE % Historical Data

* Premium members only.

The historical data trend for Heavy Engineering Industries and Shipbuilding Co KSC'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.

Heavy Engineering Industries and Shipbuilding Co KSC 3-Year RORE % Chart

Heavy Engineering Industries and Shipbuilding Co KSC Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
3-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -38.71 -41.86 11.63 37.50 23.21

Heavy Engineering Industries and Shipbuilding Co KSC Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
3-Year RORE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 40.00 38.64 34.04 23.21 12.07

KUW:SHIP vs PWR, FIX, EME: 3-Year RORE % Comparison

For the Engineering & Construction subindustry, Heavy Engineering Industries and Shipbuilding Co KSC'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.


Heavy Engineering Industries and Shipbuilding Co KSC 3-Year RORE % vs Construction Industry

For the Construction industry and Industrials sector, Heavy Engineering Industries and Shipbuilding Co KSC's 3-Year RORE % distribution charts can be found below:

* The bar in red indicates where Heavy Engineering Industries and Shipbuilding Co KSC's 3-Year RORE % falls into.


KUW:SHIP
76GF Score
Heavy Engineering Industries and Shipbuilding Co KSC KUW:SHIP
3-Year RORE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Heavy Engineering Industries and Shipbuilding Co KSC 3-Year RORE % Calculation

Heavy Engineering Industries and Shipbuilding Co KSC's 3-Year RORE % for the quarter that ended in Mar. 2026 is calculated as:

3-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 3-year -Cumulative Dividends per Share for 3-year )
=( 0.048-0.041 )/( 0.135-0.077 )
=0.007/0.058
=12.07 %

* 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.

Frequently Asked Questions Learn more about 3-Year RORE % →
What does a 3-Year RORE % of 12.07 mean?
Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) has a 3-Year RORE % of 12.07 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 Heavy Engineering Industries and Shipbuilding Co KSC and its competitors. According to the industry distribution chart, Heavy Engineering Industries and Shipbuilding Co KSC ranks #725 out of 1635 companies in the Construction industry, placing it in the top 44.3%.
Is Heavy Engineering Industries and Shipbuilding Co KSC's 3-Year RORE % too high?
Heavy Engineering Industries and Shipbuilding Co KSC's current 3-Year RORE % is 12.07. The Construction industry median 3-Year RORE % is 6.77. Heavy Engineering Industries and Shipbuilding Co KSC's value of 12.07 is 78.3% above this industry median. Based on the distribution chart, Heavy Engineering Industries and Shipbuilding Co KSC ranks #725 out of 1635 companies in the Construction industry, which is above the industry midpoint. Overall, Heavy Engineering Industries and Shipbuilding Co KSC has a GF Score™ of 76/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Heavy Engineering Industries and Shipbuilding Co KSC's 3-Year RORE % compare to PWR and FIX?
According to the Construction industry distribution chart, Heavy Engineering Industries and Shipbuilding Co KSC ranks #725 out of 1635 companies for 3-Year RORE %. This puts Heavy Engineering Industries and Shipbuilding Co KSC in the upper half of its industry. The industry median 3-Year RORE % is 6.77. Heavy Engineering Industries and Shipbuilding Co KSC's value of 12.07 is 78.3% 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 3-Year RORE % for a Construction company?
The median 3-Year RORE % among Construction companies is 6.77, based on 1,635 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. Heavy Engineering Industries and Shipbuilding Co KSC's current 3-Year RORE % of 12.07 is 78.3% 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 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 Heavy Engineering Industries and Shipbuilding Co KSC and its competitors. For the Construction industry, the median 3-Year RORE % is 6.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Heavy Engineering Industries and Shipbuilding Co KSC's current 3-Year RORE % is 12.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Heavy Engineering Industries and Shipbuilding Co KSC stock overvalued right now?
Based on GuruFocus' analysis, Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) is currently considered Possible Value Trap. The stock's GF Value™ is KWD1.05, compared to a current price of KWD0.67 — trading 36.3% below its estimated fair value. The current 3-Year RORE % is 12.07 and 78.3% above the Construction industry median of 6.77. Heavy Engineering Industries and Shipbuilding Co KSC's overall GF Score™ is 76/100 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 RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP), the current 3-Year RORE % is 12.07 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 Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) Overvalued in 2026?

Based on GuruFocus' analysis, Heavy Engineering Industries and Shipbuilding Co KSC stock appears to be undervalued. The current stock price of KWD0.67 is trading 36.3% below its estimated GF Value™ of KWD1.05. GuruFocus considers Heavy Engineering Industries and Shipbuilding Co KSC to be Possible Value Trap.

Key valuation signals for KUW:SHIP:

  • 3-Year RORE %: 12.07
  • GF Value™: KWD1.05 vs. price of KWD0.67 (36.3% below fair value)
  • GF Score™: 76/100 with 6 warning signs
  • Industry Position: 78.3% above the Construction median (#725 of 1635)

No single metric tells the full story. See the KUW:SHIP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Heavy Engineering Industries and Shipbuilding Co KSC Business Description

Address Shuwaik Port, Gate No.7, P.O. Box 21998, Safat, Kuwait, KWT, 13080
Heavy Engineering Industries and Shipbuilding Co KSC is engaged in engineering, procurement, and construction (EPC) contracting, focusing on the shipping and maritime industry in Kuwait. The Company serves sectors including oil and gas, refineries, petrochemicals, power, water distillation and desalination, shipbuilding, ship repair, dredging, and maritime construction. Its activities include industrial and marine works, installation and maintenance services, trading of equipment and spare parts, and contracting and tendering with international companies. It also provides services such as shipyard operations, fabrication, testing and calibration, quality control, scaffolding, galvanizing, onshore and offshore operations, technical manpower supply, and design and engineering services.
76GF Score

Get the complete analysis for KUW:SHIP

3-Year RORE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

KWD0.67
Price
KWD1.05
GF Value