Linkage Software Co (SHSE:688588) 3-Year RORE % : 6.67% (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.

SHSE:688588 Linkage Software Co Ltd SHSE:688588
80 GF Score
Price ¥9.72
GF Value ¥14.90
Valuation Significantly Undervalued
! 6 Warning Signs
View Full Analysis

What is Linkage Software Co 3-Year RORE %?

Linkage Software Co SHSE:688588 +2.32% 80 3-Year RORE % is 6.67 as of Mar. 2026. GuruFocus rates SHSE:688588 with a GF Score™ of 80/100 and a GF Value™ of ¥14.90 (Significantly Undervalued). The stock has 6 warning signs investors should review. Among 2,553 Software companies, Linkage Software Co ranks better than 53.47% 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. Linkage Software Co's 3-Year RORE % for the quarter that ended in Mar. 2026 was 6.67%.

The industry rank for Linkage Software Co's 3-Year RORE % or its related term are showing as below:

SHSE:688588's 3-Year RORE % is ranked better than
53.47% of 2553 companies
in the Software industry
Industry Median: 3.25 vs SHSE:688588: 6.67

Linkage Software Co  (SHSE:688588) 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.


Linkage Software Co 3-Year RORE % Related Terms


Linkage Software Co 3-Year RORE % Historical Data

* Premium members only.

The historical data trend for Linkage Software Co'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.

Linkage Software Co 3-Year RORE % Chart

Linkage Software Co 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 -6.78 -24.88 -43.75 -11.72 26.19

Linkage Software Co 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 40.11 38.44 -5.25 26.19 6.67

SHSE:688588 vs QH, SHOP, UBER: 3-Year RORE % Comparison

For the Software - Application subindustry, Linkage Software Co'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.


Linkage Software Co 3-Year RORE % vs Software Industry

For the Software industry and Technology sector, Linkage Software Co's 3-Year RORE % distribution charts can be found below:

* The bar in red indicates where Linkage Software Co's 3-Year RORE % falls into.


SHSE:688588
80GF Score
Linkage Software Co Ltd SHSE:688588
3-Year RORE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Linkage Software Co 3-Year RORE % Calculation

Linkage Software Co'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 )
=( 0.1-0.093 )/( 0.705-0.6 )
=0.007/0.105
=6.67 %

* 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 6.67 mean?
Linkage Software Co (SHSE:688588) has a 3-Year RORE % of 6.67 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 Linkage Software Co and its competitors. According to the industry distribution chart, Linkage Software Co ranks #1188 out of 2553 companies in the Software industry, placing it in the top 46.5%.
Is Linkage Software Co's 3-Year RORE % too high?
Linkage Software Co's current 3-Year RORE % is 6.67. The Software industry median 3-Year RORE % is 3.25. Linkage Software Co's value of 6.67 is 105.2% above this industry median. Based on the distribution chart, Linkage Software Co ranks #1188 out of 2553 companies in the Software industry, which is above the industry midpoint. Overall, Linkage Software Co has a GF Score™ of 80/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Linkage Software Co's 3-Year RORE % compare to QH and SHOP?
According to the Software industry distribution chart, Linkage Software Co ranks #1188 out of 2553 companies for 3-Year RORE %. This puts Linkage Software Co in the upper half of its industry. The industry median 3-Year RORE % is 3.25. Linkage Software Co's value of 6.67 is 105.2% 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 3-Year RORE % for a Software company?
The median 3-Year RORE % among Software companies is 3.25, based on 2,553 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. Linkage Software Co's current 3-Year RORE % of 6.67 is 105.2% 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 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 Linkage Software Co and its competitors. For the Software industry, the median 3-Year RORE % is 3.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Linkage Software Co's current 3-Year RORE % is 6.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Linkage Software Co stock overvalued right now?
Based on GuruFocus' analysis, Linkage Software Co (SHSE:688588) is currently considered Significantly Undervalued. The stock's GF Value™ is ¥14.90, compared to a current price of ¥9.72 — trading 34.8% below its estimated fair value. The current 3-Year RORE % is 6.67 and 105.2% above the Software industry median of 3.25. Linkage Software Co's overall GF Score™ is 80/100 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 Linkage Software Co (SHSE:688588), the current 3-Year RORE % is 6.67 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 Linkage Software Co (SHSE:688588) Overvalued in 2026?

Based on GuruFocus' analysis, Linkage Software Co stock appears to be undervalued. The current stock price of ¥9.72 is trading 34.8% below its estimated GF Value™ of ¥14.90. GuruFocus considers Linkage Software Co to be Significantly Undervalued.

Key valuation signals for SHSE:688588:

  • 3-Year RORE %: 6.67
  • GF Value™: ¥14.90 vs. price of ¥9.72 (34.8% below fair value)
  • GF Score™: 80/100 with 6 warning signs
  • Industry Position: 105.2% above the Software median (#1188 of 2553)

No single metric tells the full story. See the SHSE:688588 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Linkage Software Co Business Description

Address No. 96, Qitai Road, Suzhou Industrial Park, Lingzhi Building, Jiangsu Province, Suzhou, CHN, 215123
Linkage Software Co Ltd is a financial software solution provider. The company is committed to the application of emerging technologies in the financial industry, providing customers with a full range of software services such as consulting, design, development, and maintenance. It provides software services in the fields of securities, insurance, banking, trust, and asset management. It uses various technologies such as cloud computing, big data, and artificial intelligence.
80GF Score

Get the complete analysis for SHSE:688588

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

¥9.72
Price
¥14.90
GF Value