DAIPF (Daihen) Degree of Operating Leverage : 4.37 (As of Mar. 2026)

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DAIPF Daihen Corp DAIPF
89 GF Score
Price $51.55
GF Value $36.13
! 4 Warning Signs
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What is Daihen Degree of Operating Leverage?

Daihen DAIPF 89 Degree of Operating Leverage is 4.37 as of Mar. 2026. GuruFocus rates DAIPF with a GF Score™ of 89/100 and a GF Value™ of $36.13. The stock has 4 warning signs investors should review. Among 2,981 Industrial Products companies, Daihen ranks worse than 76.28% on this metric.

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Daihen's Degree of Operating Leverage for the quarter that ended in Mar. 2026 was 4.37. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Daihen's Degree of Operating Leverage or its related term are showing as below:

DAIPF's Degree of Operating Leverage is ranked worse than
76.28% of 2981 companies
in the Industrial Products industry
Industry Median: 1 vs DAIPF: 4.37

Daihen  (OTCPK:DAIPF) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Daihen Degree of Operating Leverage Related Terms


Daihen Degree of Operating Leverage Historical Data

* Premium members only.

The historical data trend for Daihen's Degree of Operating Leverage 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.

Daihen Degree of Operating Leverage Chart

Daihen Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.70 1.02 10.87 -0.68 4.37

Daihen Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Degree of Operating Leverage 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 -0.21 -0.56 0.00 4.37 0.00

DAIPF vs GEV, ETN, PH: Degree of Operating Leverage Comparison

For the Specialty Industrial Machinery subindustry, Daihen's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating Leverage 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.


Daihen Degree of Operating Leverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Daihen's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Daihen's Degree of Operating Leverage falls into.


DAIPF
89GF Score
Daihen Corp DAIPF
Degree of Operating Leverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Daihen Degree of Operating Leverage Calculation

Daihen's Degree of Operating Leverage for the quarter that ended in Mar. 2026 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 143.992 (Mar. 2026) / 125.703 (Mar. 2025) - 1 )/( 1498.16 (Mar. 2026) / 1518.708 (Mar. 2025) - 1 )
=0.1455/-0.0135
=-10.75***

* 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.

** TTM data of EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.

What does a Degree of Operating Leverage of 4.37 mean?
Daihen (DAIPF) has a Degree of Operating Leverage of 4.37 as of Mar. 2026. Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. View historical data for Daihen and its competitors. According to the industry distribution chart, Daihen ranks #2274 out of 2981 companies in the Industrial Products industry, placing it in the top 76.3%.
Is Daihen's Degree of Operating Leverage too high?
Daihen's current Degree of Operating Leverage is 4.37. The Industrial Products industry median Degree of Operating Leverage is 1.00. Daihen's value of 4.37 is 337% above this industry median. Based on the distribution chart, Daihen ranks #2274 out of 2981 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Daihen has a GF Score™ of 89/100, reflecting its overall financial health beyond just this single metric.
How does Daihen's Degree of Operating Leverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Daihen ranks #2274 out of 2981 companies for Degree of Operating Leverage. This places Daihen in the lower half of its industry. The industry median Degree of Operating Leverage is 1.00. Daihen's value of 4.37 is 337% 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 Degree of Operating Leverage for an Industrial Products company?
The median Degree of Operating Leverage among Industrial Products companies is 1.00, based on 2,981 companies in the industry. Companies in the top quartile (top 25%) have a Degree of Operating Leverage significantly above this median, while those in the bottom quartile fall well below. However, Degree of Operating Leverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Daihen's current Degree of Operating Leverage of 4.37 is 337% 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 Degree of Operating Leverage mean?
A high Degree of Operating Leverage can signal that a stock is expensive relative to its fundamentals. Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. View historical data for Daihen and its competitors. For the Industrial Products industry, the median Degree of Operating Leverage is 1.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Daihen's current Degree of Operating Leverage is 4.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Daihen stock overvalued right now?
Daihen (DAIPF) has a current Degree of Operating Leverage of 4.37. The stock's GF Value™ is $36.13, compared to a current price of $51.55 — trading 42.7% above its estimated fair value. The current Degree of Operating Leverage is 4.37 and 337% above the Industrial Products industry median of 1.00. Daihen's overall GF Score™ is 89/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Degree of Operating Leverage calculated?
Degree of Operating Leverage is calculated from a company's financial statements. For Daihen (DAIPF), the current Degree of Operating Leverage is 4.37 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 Daihen (DAIPF) Overvalued in 2026?

Based on GuruFocus' analysis, Daihen stock appears to be overvalued. The current stock price of $51.55 is trading 42.7% above its estimated GF Value™ of $36.13.

Key valuation signals for DAIPF:

  • Degree of Operating Leverage: 4.37
  • GF Value™: $36.13 vs. price of $51.55 (42.7% above fair value)
  • GF Score™: 89/100 with 4 warning signs
  • Industry Position: 337% above the Industrial Products median (#2274 of 2981)

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


Daihen Business Description

Other Exchanges 6622:Japan6NV:Germany
Address 2-1-11 Tagawa, Yodogawa-ku, Osaka, JPN, 532-8512
Daihen Corp manufactures and sales power products, welding machines, industrial robot, generators and automatic matching units for plasma applications, clean transfer robot, and wireless power transfer system. The company's subsidiaries are also engaged in manufacturing and sales of power transformers.
89GF Score

Get the complete analysis for DAIPF

Degree of Operating Leverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$51.55
Price
$36.13
GF Value