Zenhoren CoTSE:5845 +0.20%41 Net Margin % is 5.13% as of Mar. 2026, which is 19% below its 10-year median of 6.32. GuruFocus rates TSE:5845 with a GF Score™ of 41/100 and a GF Value™ of 円886.33 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 1,074 Business Services companies, Zenhoren Co ranks better than 63.69% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Zenhoren Co's Net Income for the
six
months ended in Mar. 2026 was 円676 Mil. Zenhoren Co's Revenue for the
six
months ended in Mar. 2026 was 円13,182 Mil. Therefore, Zenhoren Co's net margin for the quarter that ended in Mar. 2026 was 5.13%.
The historical rank and industry rank for Zenhoren Co's Net Margin % or its related term are showing as below:
TSE:5845'
s Net Margin % Range Over the Past 10 Years
Min: 3.24 Med: 6.32 Max: 6.6
Current: 6.6
TSE:5845's Net Margin % is ranked better than 63.69% of 1074
companies
in the Business Services industry
Industry Median: 3.83
vs TSE:5845: 6.60
Zenhoren Co (TSE:5845) 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.
Zenhoren Co Net Margin % Related Terms
Zenhoren Co Net Margin % Historical Data
* Premium members only.
The historical data trend for Zenhoren Co'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.
TSE:5845 vs CTAS, CPRT, GPN: Net Margin % Comparison
For the Specialty Business Services subindustry, Zenhoren 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.
Zenhoren Co Net Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Zenhoren Co's Net Margin % distribution charts can be found below:
* The bar in red indicates where Zenhoren Co's Net 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.
Zenhoren Co (TSE:5845) has a Net Margin % of 5.13% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Zenhoren Co and its competitors. This is 19% below median its historical median of 6.32. Over the past decade, Zenhoren Co's Net Margin % has ranged from 3.24 to 6.60. According to the industry distribution chart, Zenhoren Co ranks #390 out of 1074 companies in the Business Services industry, placing it in the top 36.3%.
Is Zenhoren Co's Net Margin % too high?
Zenhoren Co's current Net Margin % of 5.13% is 19% below median its 10-year median of 6.32. Over the past 10 years, this metric has ranged from a low of 3.24 to a high of 6.60. The Business Services industry median Net Margin % is 3.83. Zenhoren Co's value of 5.13% is 33.9% above this industry median. Based on the distribution chart, Zenhoren Co ranks #390 out of 1074 companies in the Business Services industry, which is above the industry midpoint. Overall, Zenhoren Co has a GF Score™ of 41/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Zenhoren Co's Net Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Zenhoren Co ranks #390 out of 1074 companies for Net Margin %. This puts Zenhoren Co in the upper half of its industry. The industry median Net Margin % is 3.83. Zenhoren Co's value of 5.13% is 33.9% above this benchmark. Historically, Zenhoren Co's own Net Margin % has ranged from 3.24 to 6.60 over the past decade. While the company's 10-year median is 6.32 vs. the industry median of 3.83, Zenhoren 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 Business Services company?
The median Net Margin % among Business Services companies is 3.83, based on 1,074 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. Zenhoren Co's current Net Margin % of 5.13% is 33.9% 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 Zenhoren Co and its competitors. For the Business Services industry, the median Net Margin % is 3.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zenhoren Co's current Net Margin % is 5.13%, which is 19% below median its own 10-year median of 6.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zenhoren Co stock overvalued right now?
Based on GuruFocus' analysis, Zenhoren Co (TSE:5845) is currently considered Modestly Overvalued. The stock's GF Value™ is 円886.33, compared to a current price of 円996.00 — trading 12.4% above its estimated fair value. The current Net Margin % is 5.13%, which is 19% below median its 10-year median of 6.32 and 33.9% above the Business Services industry median of 3.83. Zenhoren Co's overall GF Score™ is 41/100 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 Zenhoren Co (TSE:5845), the current Net Margin % is 5.13% 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 Zenhoren Co (TSE:5845) Overvalued in 2026?
Based on GuruFocus' analysis, Zenhoren Co stock appears to be overvalued.
The current stock price of 円996.00 is trading 12.4% above its estimated GF Value™ of 円886.33.
GuruFocus considers Zenhoren Co to be Modestly Overvalued.
Key valuation signals for TSE:5845:
Net Margin %: 5.13% (19% below median its 10-year median of 6.32)
GF Value™: 円886.33 vs. price of 円996.00 (12.4% above fair value)
Industry Position: 33.9% above the Business Services median (#390 of 1074)
No single metric tells the full story. See the TSE:5845 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zenhoren Co Ltd is engaged in the rent liability guarantee business, providing rent guarantee services for residential properties with coverage of up to 24 months rent, including monthly rent, moving-out settlement fees, and tenant accident expense insurance. For business use, the Z-Business NEO service covers stores and offices with guarantees up to 24 months rent. The company also offers guarantees for parking lots and trunk rooms, the Z-value service for combined rent guarantee and fire insurance via smartphone, and Z-WEB/Z-WEB2.0 for centralized management by real estate companies. In addition, Zenhoren provides Z-College Support (tuition guarantee), enabling vocational schools and students to pay tuition fees in installments.
41GF Score
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