Formosa Petrochemical (TPE:6505) Net Margin %: 3.55% (As of Dec. 2025) — 19% Below Median


TPE:6505 Formosa Petrochemical Corp TPE:6505
89 GF Score
Price NT$55.90
GF Value NT$57.54
Valuation Fairly Valued
! 4 Warning Signs
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What is Formosa Petrochemical Net Margin %?

Formosa Petrochemical TPE:6505 +1.27% 89 Net Margin % is 3.55% as of Dec. 2025, which is 19% below its 10-year median of 4.39. GuruFocus rates TPE:6505 with a GF Score™ of 89/100 and a GF Value™ of NT$57.54 (Fairly Valued). The stock has 4 warning signs investors should review. Among 916 Oil & Gas companies, Formosa Petrochemical ranks worse than 58.84% on this metric.

Net margin is calculated as Net Income divided by its Revenue. Formosa Petrochemical's Net Income for the three months ended in Dec. 2025 was NT$5,111 Mil. Formosa Petrochemical's Revenue for the three months ended in Dec. 2025 was NT$143,815 Mil. Therefore, Formosa Petrochemical's net margin for the quarter that ended in Dec. 2025 was 3.55%.

The historical rank and industry rank for Formosa Petrochemical's Net Margin % or its related term are showing as below:

TPE:6505' s Net Margin % Range Over the Past 10 Years
Min: 0.9   Med: 4.39   Max: 13.87
Current: 1.58


TPE:6505's Net Margin % is ranked worse than
58.84% of 916 companies
in the Oil & Gas industry
Industry Median: 3.435 vs TPE:6505: 1.58

Formosa Petrochemical  (TPE:6505) 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.


Formosa Petrochemical Net Margin % Related Terms


Formosa Petrochemical Net Margin % Historical Data

* Premium members only.

The historical data trend for Formosa Petrochemical's Net 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.

Formosa Petrochemical Net Margin % Chart

Formosa Petrochemical Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Net Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.97 1.70 3.07 0.90 1.58

Formosa Petrochemical Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
Net Margin % 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 0.87 2.13 -5.16 5.25 3.55

TPE:6505 vs VLO, MPC, PSX: Net Margin % Comparison

For the Oil & Gas Refining & Marketing subindustry, Formosa Petrochemical'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.


Formosa Petrochemical Net Margin % vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Formosa Petrochemical's Net Margin % distribution charts can be found below:

* The bar in red indicates where Formosa Petrochemical's Net Margin % falls into.


TPE:6505
89GF Score
Formosa Petrochemical Corp TPE:6505
Net Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Formosa Petrochemical Net Margin % Calculation

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

Formosa Petrochemical's Net Margin for the fiscal year that ended in Dec. 2025 is calculated as

Net Margin=Net Income (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=9875.335/626159.096
=1.58 %

Formosa Petrochemical's Net Margin for the quarter that ended in Dec. 2025 is calculated as

Net Margin=Net Income (Q: Dec. 2025 )/Revenue (Q: Dec. 2025 )
=5110.99/143815.065
=3.55 %

* 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.

Frequently Asked Questions Learn more about Net Margin % →
What does a Net Margin % of 3.55% mean?
Formosa Petrochemical (TPE:6505) has a Net Margin % of 3.55% as of Dec. 2025. Net margin is the ratio of total net income to net sales. View historical data on Formosa Petrochemical and its competitors. This is 19% below median its historical median of 4.39. Over the past decade, Formosa Petrochemical's Net Margin % has ranged from 0.90 to 13.87. According to the industry distribution chart, Formosa Petrochemical ranks #539 out of 916 companies in the Oil & Gas industry, placing it in the top 58.8%.
Is Formosa Petrochemical's Net Margin % too high?
Formosa Petrochemical's current Net Margin % of 3.55% is 19% below median its 10-year median of 4.39. Over the past 10 years, this metric has ranged from a low of 0.90 to a high of 13.87. The Oil & Gas industry median Net Margin % is 3.44. Formosa Petrochemical's value of 3.55% is 3.3% above this industry median. Based on the distribution chart, Formosa Petrochemical ranks #539 out of 916 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, Formosa Petrochemical has a GF Score™ of 89/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Formosa Petrochemical's Net Margin % compare to VLO and MPC?
According to the Oil & Gas industry distribution chart, Formosa Petrochemical ranks #539 out of 916 companies for Net Margin %. This places Formosa Petrochemical in the lower half of its industry. The industry median Net Margin % is 3.44. Formosa Petrochemical's value of 3.55% is 3.3% above this benchmark. Historically, Formosa Petrochemical's own Net Margin % has ranged from 0.90 to 13.87 over the past decade. While the company's 10-year median is 4.39 vs. the industry median of 3.44, Formosa Petrochemical 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 an Oil & Gas company?
The median Net Margin % among Oil & Gas companies is 3.44, based on 916 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. Formosa Petrochemical's current Net Margin % of 3.55% is 3.3% 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 Formosa Petrochemical and its competitors. For the Oil & Gas industry, the median Net Margin % is 3.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Formosa Petrochemical's current Net Margin % is 3.55%, which is 19% below median its own 10-year median of 4.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Formosa Petrochemical stock overvalued right now?
Based on GuruFocus' analysis, Formosa Petrochemical (TPE:6505) is currently considered Fairly Valued. The stock's GF Value™ is NT$57.54, compared to a current price of NT$55.90 — trading 2.9% below its estimated fair value. The current Net Margin % is 3.55%, which is 19% below median its 10-year median of 4.39 and 3.3% above the Oil & Gas industry median of 3.44. Formosa Petrochemical'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 Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Formosa Petrochemical (TPE:6505), the current Net Margin % is 3.55% as of Dec. 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 Formosa Petrochemical (TPE:6505) Overvalued in 2026?

Based on GuruFocus' analysis, Formosa Petrochemical stock appears to be undervalued. The current stock price of NT$55.90 is trading 2.9% below its estimated GF Value™ of NT$57.54. GuruFocus considers Formosa Petrochemical to be Fairly Valued.

Key valuation signals for TPE:6505:

  • Net Margin %: 3.55% (19% below median its 10-year median of 4.39)
  • GF Value™: NT$57.54 vs. price of NT$55.90 (2.9% below fair value)
  • GF Score™: 89/100 with 4 warning signs
  • Industry Position: 3.3% above the Oil & Gas median (#539 of 916)

No single metric tells the full story. See the TPE:6505 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Formosa Petrochemical Business Description

Industry EnergyOil & Gas
Address No. 1-1, Formosa Plastics Industrial Park, Zhongxing Village, Mailiao Township, Yunlin County, Taipei, TWN, 638
Formosa Petrochemical Corp engages in the Operation of refinery of petroleum and integrated manufacture of hydrocarbon. The firm operates in two segments. The Petrochemical segment that derives majority revenue engages in producing and selling petroleum, and petrochemical products. The Public utility segment engages in producing and selling water, electricity, and steam. Its product offerings comprise gasoline, jet fuel, kerosene, fuel oil, asphalt, sulfur, lubricant, diesel, naphtha, and liquid petroleum gas.
89GF Score

Get the complete analysis for TPE:6505

Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

NT$55.90
Price
NT$57.54
GF Value