Deswell IndustriesFRA:DW2 -4.85%62 EBITDA Margin % is 9.32% as of Sep. 2025, which is 66% above its 10-year median of 5.61. GuruFocus rates FRA:DW2 with a GF Score™ of 62/100 and a GF Value™ of €1.95 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 2,472 Hardware companies, Deswell Industries ranks worse than 59.34% on this metric.
EBITDA Margin % is calculated as EBITDA divided by its Revenue. Deswell Industries's EBITDA for the
six
months ended in Sep. 2025 was €2.64 Mil. Deswell Industries's Revenue for the
six
months ended in Sep. 2025 was €28.31 Mil. Therefore, Deswell Industries's EBITDA margin for the quarter that ended in Sep. 2025 was 9.32%.
EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.
Deswell Industries EBITDA Margin % Related Terms
Deswell Industries EBITDA Margin % Historical Data
* Premium members only.
The historical data trend for Deswell Industries's EBITDA Margin % 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.
FRA:DW2 vs WBX, HOLO, IEHC: EBITDA Margin % Comparison
For the Electronic Components subindustry, Deswell Industries's EBITDA Margin %, along with its competitors' market caps and EBITDA Margin % 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.
Deswell Industries EBITDA Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Deswell Industries's EBITDA Margin % distribution charts can be found below:
* The bar in red indicates where Deswell Industries's EBITDA Margin % 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.
Deswell Industries (FRA:DW2) has a EBITDA Margin % of 9.32% as of Sep. 2025. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Deswell Industries and its competitors. This is 66% above median its historical median of 5.61. Over the past decade, Deswell Industries' EBITDA Margin % has ranged from 0.80 to 6.99. According to the industry distribution chart, Deswell Industries ranks #1467 out of 2472 companies in the Hardware industry, placing it in the top 59.3%.
Is Deswell Industries' EBITDA Margin % too high?
Deswell Industries' current EBITDA Margin % of 9.32% is 66% above median its 10-year median of 5.61. Over the past 10 years, this metric has ranged from a low of 0.80 to a high of 6.99. The Hardware industry median EBITDA Margin % is 7.00. Deswell Industries' value of 9.32% is 33.1% above this industry median. Based on the distribution chart, Deswell Industries ranks #1467 out of 2472 companies in the Hardware industry, which is below the industry midpoint. Overall, Deswell Industries has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Deswell Industries' EBITDA Margin % compare to WBX and HOLO?
According to the Hardware industry distribution chart, Deswell Industries ranks #1467 out of 2472 companies for EBITDA Margin %. This places Deswell Industries in the lower half of its industry. The industry median EBITDA Margin % is 7.00. Deswell Industries' value of 9.32% is 33.1% above this benchmark. Historically, Deswell Industries' own EBITDA Margin % has ranged from 0.80 to 6.99 over the past decade. While the company's 10-year median is 5.61 vs. the industry median of 7.00, Deswell Industries has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBITDA Margin % for a Hardware company?
The median EBITDA Margin % among Hardware companies is 7.00, based on 2,472 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Deswell Industries's current EBITDA Margin % of 9.32% is 33.1% 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 EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Deswell Industries and its competitors. For the Hardware industry, the median EBITDA Margin % is 7.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Deswell Industries's current EBITDA Margin % is 9.32%, which is 66% above median its own 10-year median of 5.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Deswell Industries stock overvalued right now?
Based on GuruFocus' analysis, Deswell Industries (FRA:DW2) is currently considered Significantly Overvalued. The stock's GF Value™ is €1.95, compared to a current price of €3.14 — trading 61% above its estimated fair value. The current EBITDA Margin % is 9.32%, which is 66% above median its 10-year median of 5.61 and 33.1% above the Hardware industry median of 7.00. Deswell Industries' overall GF Score™ is 62/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For Deswell Industries (FRA:DW2), the current EBITDA Margin % is 9.32% as of Sep. 2025. 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 Deswell Industries (FRA:DW2) Overvalued in 2026?
Based on GuruFocus' analysis, Deswell Industries stock appears to be overvalued.
The current stock price of €3.14 is trading 61% above its estimated GF Value™ of €1.95.
GuruFocus considers Deswell Industries to be Significantly Overvalued.
Key valuation signals for FRA:DW2:
EBITDA Margin %: 9.32% (66% above median its 10-year median of 5.61)
GF Value™: €1.95 vs. price of €3.14 (61% above fair value)
Industry Position: 33.1% above the Hardware median (#1467 of 2472)
No single metric tells the full story. See the FRA:DW2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Deswell Industries Inc is engaged in the manufacturing and selling of injection-molded plastic parts and components. In addition, it also offers manufacturing services for electronic products and subassemblies and manufactures metallic molds and accessory parts for original equipment manufacturers and contract manufacturers. The company conducts all of its manufacturing activities at separate plastics, electronics and metallic operation factories located in the People's Republic of China. It operates through the Plastic Injection Molding and Electronic Products Assembling segments. The firm offers products such as automobile components, medical testing equipment, parts for audio equipment, av receivers, active subwoofers, digital system key sets, communication products and others.
62GF Score
Get the complete analysis for FRA:DW2
EBITDA Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:DW2 has been successfully added to your 
