NetEaseNETTF -0.98%94 5-Year RORE % is 18.55 as of Mar. 2026. GuruFocus rates NETTF with a GF Score™ of 94/100 and a GF Value™ of $24.76 (Fairly Valued). Among 486 Interactive Media companies, NetEase ranks better than 66.46% 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.
NetEase's 5-Year RORE % for the quarter that ended in Mar. 2026 was 18.55%.
The industry rank for NetEase's 5-Year RORE % or its related term are showing as below:
NETTF's 5-Year RORE % is ranked better than 66.46% of 486
companies
in the Interactive Media industry
Industry Median: 2.915
vs NETTF: 18.55
NetEase (OTCPK:NETTF) 5-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, 5-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.
NetEase 5-Year RORE % Related Terms
NetEase 5-Year RORE % Historical Data
* Premium members only.
The historical data trend for NetEase's 5-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.
For the Electronic Gaming & Multimedia subindustry, NetEase's 5-Year RORE %, along with its competitors' market caps and 5-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.
NetEase 5-Year RORE % vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, NetEase's 5-Year RORE % distribution charts can be found below:
* The bar in red indicates where NetEase's 5-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 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 5-year before.
NetEase (NETTF) has a 5-Year RORE % of 18.55 as of Mar. 2026. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on NetEase and its competitors. According to the industry distribution chart, NetEase ranks #163 out of 486 companies in the Interactive Media industry, placing it in the top 33.5%.
Is NetEase's 5-Year RORE % too high?
NetEase's current 5-Year RORE % is 18.55. The Interactive Media industry median 5-Year RORE % is 2.92. NetEase's value of 18.55 is 536.4% above this industry median. Based on the distribution chart, NetEase ranks #163 out of 486 companies in the Interactive Media industry, which is above the industry midpoint. Overall, NetEase has a GF Score™ of 94/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does NetEase's 5-Year RORE % compare to EA and TTWO?
According to the Interactive Media industry distribution chart, NetEase ranks #163 out of 486 companies for 5-Year RORE %. This puts NetEase in the upper half of its industry. The industry median 5-Year RORE % is 2.92. NetEase's value of 18.55 is 536.4% 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 5-Year RORE % for an Interactive Media company?
The median 5-Year RORE % among Interactive Media companies is 2.92, based on 486 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. NetEase's current 5-Year RORE % of 18.55 is 536.4% 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 5-Year RORE % mean?
A high 5-Year RORE % can signal that a stock is expensive relative to its fundamentals. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on NetEase and its competitors. For the Interactive Media industry, the median 5-Year RORE % is 2.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NetEase's current 5-Year RORE % is 18.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NetEase stock overvalued right now?
Based on GuruFocus' analysis, NetEase (NETTF) is currently considered Fairly Valued. The stock's GF Value™ is $24.76, compared to a current price of $24.26 — trading 2% below its estimated fair value. The current 5-Year RORE % is 18.55 and 536.4% above the Interactive Media industry median of 2.92. NetEase's overall GF Score™ is 94/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year RORE % calculated?
5-Year RORE % is calculated from a company's financial statements. For NetEase (NETTF), the current 5-Year RORE % is 18.55 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 NetEase (NETTF) Overvalued in 2026?
Based on GuruFocus' analysis, NetEase stock appears to be undervalued.
The current stock price of $24.26 is trading 2% below its estimated GF Value™ of $24.76.
GuruFocus considers NetEase to be Fairly Valued.
Key valuation signals for NETTF:
5-Year RORE %: 18.55
GF Value™: $24.76 vs. price of $24.26 (2% below fair value)
Industry Position: 536.4% above the Interactive Media median (#163 of 486)
No single metric tells the full story. See the NETTF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in the late 1990s as an internet portal, NetEase has evolved into China's second-largest online gaming company. Its early success was anchored by the massively multiplayer online role-playing game Fantasy Westward Journey, which laid the foundation for a durable franchise strategy. Over the past decade, the company has expanded its portfolio with successful titles such as Justice, Identity V, Naraka: Bladepoint, and Eggy Party, all of which continue to maintain sizable and engaged player bases.In addition to its in-house development capabilities, NetEase partners with global IP holders such as Microsoft and Marvel to develop and publish titles based on established franchises, including World of Warcraft, Diablo Immortal, and Marvel Rivals, further strengthening its global presence.
94GF Score
Get the complete analysis for NETTF
5-Year RORE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
NETTF has been successfully added to your 
