# Goertek (002241.SHE)

Canonical: https://gigainvestors.com/s/002241.SHE

Analysis as of: 2026-10-16T07:35:46.005Z. Financial observations: FY2005–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: CNY 20.23 per share; close as of 2026-10-15.

Estimated value: low CNY 10.56 per share, central CNY 11.22 per share, high CNY 12.10 per share. Buy at or below the central value CNY 11.22 per share. Valuation as of 2026-10-16T07:35:46.005Z; scenarios are not confidence intervals.

Expected annual return: 5.6% at the stated quote. About 5.6% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; CN 10-year bond 1.7% + 4 points).

## Checklist

### understandable: fail

- 3 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 3

- Years with a net loss: 0

- Operating margin variation: 0.60×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.09×

- FY2017: 0.10×

- FY2018: 0.04×

- FY2019: 0.04×

- FY2020: 0.06×

- FY2021: 0.06×

- FY2022: 0.02×

- FY2023: 0.01×

- FY2024: 0.03×

- FY2025: 0.03×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 9.6%

- ROIC, second-lowest year: 4.5%

- Typical minus recent gross margin: 3.8 pp

- Typical gross margin (annual median): 14.5%

- Recent gross margin (lower of latest and 3-year median): 10.7%

- Years with nonpositive capital: 0

- Capital spending / revenue: 9.0%

- ROIC including acquisitions, ten-year median: 8.2%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 11.1%

- FY2017: 12.6%

- FY2018: 4.5%

- FY2019: 6.9%

- FY2020: 13.8%

- FY2021: 18.4%

- FY2022: 6.1%

- FY2023: 3.3%

- FY2024: 11.2%

- FY2025: 8.2%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 0.50×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY 6.9B

- Net income, five-year total: CNY 14B

- Return on incremental invested capital: 6.3%

- Working capital / revenue, annual change: -2.6 pp

- Working capital / revenue, change between three-year averages: -19.1 pp

- Working capital / revenue, final three-year average: 1.2%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.99×

- FY2022: 0.95×

- FY2023: -2.07×

- FY2024: 0.98×

- FY2025: 0.16×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 11.1% vs 8.2%

- Per-share earnings: 0.54 to 0.78 (three-year endpoint medians)

- five-year and ten-year diluted share growth both above threshold

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 1.3%

- Ordinary dilution, 5-year annual growth: 1.4%

- Market cap gain: CNY 60B

- Cumulative retained earnings: CNY 15B

- Diluted shares, 10-year annual growth: 1.3%

- Diluted shares, 5-year annual growth: 1.4%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 4.6%

- Per-share value change: CNY 0.24

- Per-share value, starting three-year median: CNY 0.54

- Per-share value, ending three-year median: CNY 0.78

- Buybacks concentrated in cheaper years (correlation): 0.89

- Average buyback yield: 0.6%

- Buyback history: 6 years

- Debt-funded buybacks: No

- Acquisition spending: CNY 2.8B

- Cumulative net income, 10 years: CNY 23B

- ROIC, first three-year median: 11.1%

- ROIC, last three-year median: 8.2%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 0.54

- FY2017: CNY 0.67

- FY2018: CNY 0.27

- FY2019: CNY 0.39

- FY2020: CNY 0.88

- FY2021: CNY 1.28

- FY2022: CNY 0.52

- FY2023: CNY 0.32

- FY2024: CNY 0.78

- FY2025: CNY 1.13

### accounting: pass

- Sloan accruals: -3.2%

- Receivables to sales index (DSRI): 0.77×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.74×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.09×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -2.7%

- FY2017: -5.2%

- FY2018: -4.7%

- FY2019: -12.0%

- FY2020: -9.8%

- FY2021: -7.1%

- FY2022: -8.5%

- FY2023: -9.6%

- FY2024: -4.3%

- FY2025: -3.2%

## Holders

## Price story

Down 63% since Dec 2021 · sales -4.4%

Story as of 2026-10-16T10:00:06.007Z; price observation 2026-10-15.

Price needs cash profits to grow 13.2% a year for ten years

### Sales · FY2024–2025

sales -4.4%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 19B 

- FY2017: CNY 26B 

- FY2018: CNY 24B 

- FY2019: CNY 35B 

- FY2020: CNY 58B 

- FY2021: CNY 78B 

- FY2022: CNY 105B 

- FY2023: CNY 99B 

- FY2024: CNY 101B 

- FY2025: CNY 97B 

### Gross margin · FY2025

gross margin 11.8%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 22.2% 

- FY2017: 21.9% 

- FY2018: 18.5% 

- FY2019: 15.1% 

- FY2020: 15.8% 

- FY2021: 13.8% 

- FY2022: 10.0% 

- FY2023: 8.6% 

- FY2024: 10.7% 

- FY2025: 11.8% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in consumer electronics; annual sales are CNY 96.6 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2025: revenue 96550169615.26; grossProfit 11394820278.87; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 002241.SHE: Goertek Inc. engages in the provision of micro electro-acoustic components, optical components, electronic accessories, and related products worldwide. It offers smart wearable products, such as smart watches and bracelets/rings; smart viewable products, including VR/MR HMD and AR/AI glasses; hearables comprising TWS earphones, audio glasses, and headphones; voice-controlled speaker, and robotics products. Goertek Inc. was founded in 2001 and is based in Weifang, the People's Republic of China.

### Why customers stay

Margins ranged from 8.6% to 11.8% during 2023–25; it earns 9.6% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2023: grossProfit / revenue = 8.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2024: grossProfit / revenue = 10.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2025: grossProfit / revenue = 11.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); 10-year return on capital observations [[2016,0.11067474613832885],[2017,0.1256240823795838],[2018,0.04468974237909518],[2019,0.06871447386219384],[2020,0.13829362376531568],[2021,0.18368371671631137],[2022,0.061345127518803236],[2023,0.033371061697295375],[2024,0.11184696594249127],[2025,0.08215050206981497]]; median 0.09641262410407192. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2016: growth capex 2452460284; upkeep 887742605; owner earnings 1651496626. Growth capex / owner earnings = 1.4849926093642531.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2017: growth capex 2286515820; upkeep 1259812509; owner earnings 2139226170. Growth capex / owner earnings = 1.068851836269374.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2019: growth capex 1224582482; upkeep 1952884343; owner earnings 1280542217. Growth capex / owner earnings = 0.9562999686717865.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2020: growth capex 3462356637; upkeep 2136912840; owner earnings 2848007279. Growth capex / owner earnings = 1.2157120041546075.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2021: growth capex 4255285996; upkeep 2706321749; owner earnings 4232661016.92. Growth capex / owner earnings = 1.0053453321656416.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2022: growth capex 4664592987; upkeep 3425514319; owner earnings 1655040236.45. Growth capex / owner earnings = 2.818416667020361.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2024: growth capex 0; upkeep 3634412755; owner earnings 2620778690.868. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); FY2025: growth capex 0; upkeep 7129436142.38; owner earnings 640561692.9119997. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); Dividend observations: [[2016,345600758],[2017,418425708],[2018,521612615],[2019,595455422],[2020,317049793],[2021,668645848],[2022,953234131],[2023,340516294],[2024,850462393],[2025,1507334606.38]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 33.3% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 002241.SHE SharesStats.PercentInsiders = 33.253 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 13.2% yearly over ten years; actual growth was 4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:46.005Z); Ten-year compound average after fade. Initial solved rate 0.1774773316631474. Price 20.23; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.12456391314136424 → FY2025 0.18369977924851616. Closing-price date 2026-10-15.

## Monthly share-price history (CNY per share)

- 2016-10: CNY 15.36 per share

- 2016-11: CNY 14.16 per share

- 2016-12: CNY 13.26 per share

- 2017-01: CNY 13.86 per share

- 2017-02: CNY 14.89 per share

- 2017-03: CNY 17.02 per share

- 2017-04: CNY 17.37 per share

- 2017-05: CNY 17.00 per share

- 2017-06: CNY 19.28 per share

- 2017-07: CNY 19.23 per share

- 2017-08: CNY 21.60 per share

- 2017-09: CNY 20.24 per share

- 2017-10: CNY 22.14 per share

- 2017-11: CNY 18.93 per share

- 2017-12: CNY 17.35 per share

- 2018-01: CNY 14.00 per share

- 2018-02: CNY 15.56 per share

- 2018-03: CNY 13.42 per share

- 2018-04: CNY 11.31 per share

- 2018-05: CNY 11.29 per share

- 2018-06: CNY 10.19 per share

- 2018-07: CNY 9.62 per share

- 2018-08: CNY 8.88 per share

- 2018-09: CNY 8.30 per share

- 2018-10: CNY 7.27 per share

- 2018-11: CNY 7.19 per share

- 2018-12: CNY 6.88 per share

- 2019-01: CNY 6.63 per share

- 2019-02: CNY 8.88 per share

- 2019-03: CNY 10.50 per share

- 2019-04: CNY 10.95 per share

- 2019-05: CNY 7.91 per share

- 2019-06: CNY 8.89 per share

- 2019-07: CNY 11.67 per share

- 2019-08: CNY 13.16 per share

- 2019-09: CNY 17.58 per share

- 2019-10: CNY 18.58 per share

- 2019-11: CNY 19.39 per share

- 2019-12: CNY 19.92 per share

- 2020-01: CNY 23.61 per share

- 2020-02: CNY 22.27 per share

- 2020-03: CNY 16.40 per share

- 2020-04: CNY 19.30 per share

- 2020-05: CNY 21.20 per share

- 2020-06: CNY 29.35 per share

- 2020-07: CNY 42.49 per share

- 2020-08: CNY 41.41 per share

- 2020-09: CNY 40.42 per share

- 2020-10: CNY 45.35 per share

- 2020-11: CNY 37.97 per share

- 2020-12: CNY 37.32 per share

- 2021-01: CNY 33.20 per share

- 2021-02: CNY 32.00 per share

- 2021-03: CNY 27.15 per share

- 2021-04: CNY 37.70 per share

- 2021-05: CNY 38.95 per share

- 2021-06: CNY 42.74 per share

- 2021-07: CNY 38.11 per share

- 2021-08: CNY 46.54 per share

- 2021-09: CNY 43.10 per share

- 2021-10: CNY 43.54 per share

- 2021-11: CNY 52.08 per share

- 2021-12: CNY 54.10 per share

- 2022-01: CNY 47.07 per share

- 2022-02: CNY 43.78 per share

- 2022-03: CNY 34.40 per share

- 2022-04: CNY 35.05 per share

- 2022-05: CNY 40.73 per share

- 2022-06: CNY 33.60 per share

- 2022-07: CNY 31.80 per share

- 2022-08: CNY 32.48 per share

- 2022-09: CNY 26.50 per share

- 2022-10: CNY 21.68 per share

- 2022-11: CNY 18.14 per share

- 2022-12: CNY 16.83 per share

- 2023-01: CNY 20.68 per share

- 2023-02: CNY 21.55 per share

- 2023-03: CNY 21.40 per share

- 2023-04: CNY 17.74 per share

- 2023-05: CNY 18.38 per share

- 2023-06: CNY 17.75 per share

- 2023-07: CNY 17.90 per share

- 2023-08: CNY 15.32 per share

- 2023-09: CNY 15.78 per share

- 2023-10: CNY 18.03 per share

- 2023-11: CNY 18.00 per share

- 2023-12: CNY 21.01 per share

- 2024-01: CNY 15.25 per share

- 2024-02: CNY 16.64 per share

- 2024-03: CNY 15.98 per share

- 2024-04: CNY 15.80 per share

- 2024-05: CNY 17.19 per share

- 2024-06: CNY 19.51 per share

- 2024-07: CNY 21.52 per share

- 2024-08: CNY 21.24 per share

- 2024-09: CNY 22.67 per share

- 2024-10: CNY 23.45 per share

- 2024-11: CNY 25.48 per share

- 2024-12: CNY 25.81 per share

- 2025-01: CNY 27.76 per share

- 2025-02: CNY 28.41 per share

- 2025-03: CNY 26.14 per share

- 2025-04: CNY 21.18 per share

- 2025-05: CNY 20.91 per share

- 2025-06: CNY 23.32 per share

- 2025-07: CNY 23.02 per share

- 2025-08: CNY 36.72 per share

- 2025-09: CNY 37.50 per share

- 2025-10: CNY 32.85 per share

- 2025-11: CNY 30.03 per share

- 2025-12: CNY 28.73 per share

- 2026-01: CNY 26.00 per share

- 2026-02: CNY 27.18 per share

- 2026-03: CNY 22.36 per share

- 2026-04: CNY 24.50 per share

- 2026-05: CNY 26.83 per share

- 2026-06: CNY 22.53 per share

- 2026-07: CNY 23.10 per share

- 2026-08: CNY 24.25 per share

- 2026-09: CNY 22.79 per share

- 2026-10: CNY 20.63 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 11.28 per share, central CNY 15.68 per share, high CNY 18.25 per share

- FY2017: low CNY 10.30 per share, central CNY 14.31 per share, high CNY 16.65 per share

- FY2018: low CNY 8.93 per share, central CNY 12.09 per share, high CNY 14.07 per share

- FY2019: low CNY 6.18 per share, central CNY 8.45 per share, high CNY 9.77 per share

- FY2020: low CNY 14.02 per share, central CNY 19.13 per share, high CNY 22.10 per share

- FY2021: low CNY 18.29 per share, central CNY 25.03 per share, high CNY 28.95 per share

- FY2022: low CNY 16.82 per share, central CNY 20.20 per share, high CNY 23.03 per share

- FY2023: low CNY 15.47 per share, central CNY 17.06 per share, high CNY 19.18 per share

- FY2024: low CNY 14.03 per share, central CNY 16.35 per share, high CNY 18.27 per share

- FY2025: low CNY 10.35 per share, central CNY 11.01 per share, high CNY 11.89 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:41:30.664Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.