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Jinan Shengquan Group Share Holding Co (SHSE:605589) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Jinan Shengquan Group Share Holding Co Net Margin % Related Terms
Jinan Shengquan Group Share Holding Co Net Margin % Historical Data
* 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.
Jinan Shengquan Group Share Holding Co Net Margin % Chart
Jinan Shengquan Group Share Holding Co Annual Data
For the Chemicals subindustry, Jinan Shengquan Group Share Holding Co's Net Margin %, along with its competitors' market caps and Net 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.
Jinan Shengquan Group Share Holding Co Net Margin % vs Chemicals Industry
* 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.
Jinan Shengquan Group Share Holding Co (SHSE:605589) has a Net Margin % of 6.64% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Jinan Shengquan Group Share Holding Co and its competitors. This is 23% below median its historical median of 8.66. Over the past decade, Jinan Shengquan Group Share Holding Co's Net Margin % has ranged from 7.33 to 12.37. According to the industry distribution chart, Jinan Shengquan Group Share Holding Co ranks #455 out of 1583 companies in the Chemicals industry, placing it in the top 28.7%.
Is Jinan Shengquan Group Share Holding Co's Net Margin % too high?
Jinan Shengquan Group Share Holding Co's current Net Margin % of 6.64% is 23% below median its 10-year median of 8.66. Over the past 10 years, this metric has ranged from a low of 7.33 to a high of 12.37. The Chemicals industry median Net Margin % is 4.25. Jinan Shengquan Group Share Holding Co's value of 6.64% is 56.2% above this industry median. Based on the distribution chart, Jinan Shengquan Group Share Holding Co ranks #455 out of 1583 companies in the Chemicals industry, which is above the industry midpoint. Overall, Jinan Shengquan Group Share Holding Co has a GF Score™ of 76/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Jinan Shengquan Group Share Holding Co's Net Margin % compare to DOW?
According to the Chemicals industry distribution chart, Jinan Shengquan Group Share Holding Co ranks #455 out of 1583 companies for Net Margin %. This puts Jinan Shengquan Group Share Holding Co in the upper half of its industry. The industry median Net Margin % is 4.25. Jinan Shengquan Group Share Holding Co's value of 6.64% is 56.2% above this benchmark. Historically, Jinan Shengquan Group Share Holding Co's own Net Margin % has ranged from 7.33 to 12.37 over the past decade. While the company's 10-year median is 8.66 vs. the industry median of 4.25, Jinan Shengquan Group Share Holding Co 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 Net Margin % for a Chemicals company?
The median Net Margin % among Chemicals companies is 4.25, based on 1,583 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Jinan Shengquan Group Share Holding Co's current Net Margin % of 6.64% is 56.2% 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 Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Jinan Shengquan Group Share Holding Co and its competitors. For the Chemicals industry, the median Net Margin % is 4.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Jinan Shengquan Group Share Holding Co's current Net Margin % is 6.64%, which is 23% below median its own 10-year median of 8.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Jinan Shengquan Group Share Holding Co stock overvalued right now?
Based on GuruFocus' analysis, Jinan Shengquan Group Share Holding Co (SHSE:605589) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥27.77, compared to a current price of ¥42.48 — trading 53% above its estimated fair value. The current Net Margin % is 6.64%, which is 23% below median its 10-year median of 8.66 and 56.2% above the Chemicals industry median of 4.25. Jinan Shengquan Group Share Holding Co's overall GF Score™ is 76/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Jinan Shengquan Group Share Holding Co (SHSE:605589), the current Net Margin % is 6.64% 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 Jinan Shengquan Group Share Holding Co (SHSE:605589) Overvalued in 2026?
Based on GuruFocus' analysis, Jinan Shengquan Group Share Holding Co stock appears to be overvalued.
The current stock price of ¥42.48 is trading 53% above its estimated GF Value™ of ¥27.77.
GuruFocus considers Jinan Shengquan Group Share Holding Co to be Significantly Overvalued.
Key valuation signals for SHSE:605589:
Net Margin %: 6.64% (23% below median its 10-year median of 8.66)
GF Value™: ¥27.77 vs. price of ¥42.48 (53% above fair value)
Industry Position: 56.2% above the Chemicals median (#455 of 1583)
No single metric tells the full story. See the SHSE:605589 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Jinan Shengquan Group Share Holding Co Ltd is engaged in the research and development, production and sales of synthetic resin and composite materials, biomass chemical materials and related products.
76GF Score
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Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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