Watta Holding Bhd (XKLS:7226) 3-Year RORE % : -17.54% (As of Mar. 2026)

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Director of Data and Quant Analytics at GuruFocus
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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.

XKLS:7226 Watta Holding Bhd XKLS:7226
37 GF Score
Price RM0.41
GF Value RM0.25
Valuation Significantly Overvalued
! 3 Warning Signs
View Full Analysis

What is Watta Holding Bhd 3-Year RORE %?

Watta Holding Bhd XKLS:7226 +13.89% 37 3-Year RORE % is -17.54 as of Mar. 2026. GuruFocus rates XKLS:7226 with a GF Score™ of 37/100 and a GF Value™ of RM0.25 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 2,381 Hardware companies, Watta Holding Bhd ranks worse than 66.69% 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. Watta Holding Bhd's 3-Year RORE % for the quarter that ended in Mar. 2026 was -17.54%.

The industry rank for Watta Holding Bhd's 3-Year RORE % or its related term are showing as below:

XKLS:7226's 3-Year RORE % is ranked worse than
66.69% of 2381 companies
in the Hardware industry
Industry Median: 5.31 vs XKLS:7226: -17.54

Watta Holding Bhd  (XKLS:7226) 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.


Watta Holding Bhd 3-Year RORE % Related Terms


Watta Holding Bhd 3-Year RORE % Historical Data

* Premium members only.

The historical data trend for Watta Holding Bhd'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.

Watta Holding Bhd 3-Year RORE % Chart

Watta Holding Bhd Annual Data
Trend Sep15 Sep16 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
3-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 462.50 -14.29 20.41 11.54 -14.04

Watta Holding Bhd 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 7.27 0.00 -6.78 -14.04 -17.54

XKLS:7226 vs CSCO, CIEN, MSI: 3-Year RORE % Comparison

For the Communication Equipment subindustry, Watta Holding Bhd'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.


Watta Holding Bhd 3-Year RORE % vs Hardware Industry

For the Hardware industry and Technology sector, Watta Holding Bhd's 3-Year RORE % distribution charts can be found below:

* The bar in red indicates where Watta Holding Bhd's 3-Year RORE % falls into.


XKLS:7226
37GF Score
Watta Holding Bhd XKLS:7226
3-Year RORE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Watta Holding Bhd 3-Year RORE % Calculation

Watta Holding Bhd'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 )
=( -0.015--0.025 )/( -0.057-0 )
=0.01/-0.057
=-17.54 %

* 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 -17.54 mean?
Watta Holding Bhd (XKLS:7226) has a 3-Year RORE % of -17.54 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 Watta Holding Bhd and its competitors. According to the industry distribution chart, Watta Holding Bhd ranks #1588 out of 2381 companies in the Hardware industry, placing it in the top 66.7%.
Is Watta Holding Bhd's 3-Year RORE % too high?
Watta Holding Bhd's current 3-Year RORE % is -17.54. Based on the distribution chart, Watta Holding Bhd ranks #1588 out of 2381 companies in the Hardware industry, which is below the industry midpoint. Overall, Watta Holding Bhd has a GF Score™ of 37/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Watta Holding Bhd's 3-Year RORE % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, Watta Holding Bhd ranks #1588 out of 2381 companies for 3-Year RORE %. This places Watta Holding Bhd in the lower half of its industry. The industry median 3-Year RORE % is 5.31. 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 5.31, based on 2,381 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 Watta Holding Bhd and its competitors. For the Hardware industry, the median 3-Year RORE % is 5.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Watta Holding Bhd's current 3-Year RORE % is -17.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Watta Holding Bhd stock overvalued right now?
Based on GuruFocus' analysis, Watta Holding Bhd (XKLS:7226) is currently considered Significantly Overvalued. The stock's GF Value™ is RM0.25, compared to a current price of RM0.41 — trading 64% above its estimated fair value. The current 3-Year RORE % is -17.54. Watta Holding Bhd's overall GF Score™ is 37/100 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 Watta Holding Bhd (XKLS:7226), the current 3-Year RORE % is -17.54 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 Watta Holding Bhd (XKLS:7226) Overvalued in 2026?

Based on GuruFocus' analysis, Watta Holding Bhd stock appears to be overvalued. The current stock price of RM0.41 is trading 64% above its estimated GF Value™ of RM0.25. GuruFocus considers Watta Holding Bhd to be Significantly Overvalued.

Key valuation signals for XKLS:7226:

  • 3-Year RORE %: -17.54
  • GF Value™: RM0.25 vs. price of RM0.41 (64% above fair value)
  • GF Score™: 37/100 with 3 warning signs

No single metric tells the full story. See the XKLS:7226 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Watta Holding Bhd Business Description

Address Jalan Imbi, 12th Floor, Menara Cosway, Plaza Berjaya, Wilayah Persekutuan, Kuala Lumpur, MYS, 55100
Watta Holding Bhd is a company whose principal activities include investment holding and management services. Along with its subsidiaries, the company has two reportable operating segments, Services and Investment holding and others. The majority of its revenue is generated from the Services segment, which is involved in the servicing of telecommunication equipment and related products. Geographically, the group predominantly operates in Malaysia.
37GF Score

Get the complete analysis for XKLS:7226

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

RM0.41
Price
RM0.25
GF Value