Howa MachineryTSE:6203 +1.64%64 Net Margin % is 5.17% as of Mar. 2026, which is 74% above its 10-year median of 2.97. GuruFocus rates TSE:6203 with a GF Score™ of 64/100 and a GF Value™ of 円1,026.42 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 3,033 Industrial Products companies, Howa Machinery ranks worse than 58.89% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Howa Machinery's Net Income for the
six
months ended in Mar. 2026 was 円635 Mil. Howa Machinery's Revenue for the
six
months ended in Mar. 2026 was 円12,294 Mil. Therefore, Howa Machinery's net margin for the quarter that ended in Mar. 2026 was 5.17%.
The historical rank and industry rank for Howa Machinery's Net Margin % or its related term are showing as below:
TSE:6203'
s Net Margin % Range Over the Past 10 Years
Min: -4.41 Med: 2.97 Max: 5.39
Current: 3.08
TSE:6203's Net Margin % is ranked worse than 58.89% of 3033
companies
in the Industrial Products industry
Industry Median: 4.54
vs TSE:6203: 3.08
Howa Machinery (TSE:6203) 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.
Howa Machinery Net Margin % Related Terms
Howa Machinery Net Margin % Historical Data
* Premium members only.
The historical data trend for Howa Machinery'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.
For the Specialty Industrial Machinery subindustry, Howa Machinery'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.
Howa Machinery Net Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Howa Machinery's Net Margin % distribution charts can be found below:
* The bar in red indicates where Howa Machinery'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.
Howa Machinery (TSE:6203) has a Net Margin % of 5.17% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Howa Machinery and its competitors. This is 74% above median its historical median of 2.97. According to the industry distribution chart, Howa Machinery ranks #1786 out of 3033 companies in the Industrial Products industry, placing it in the top 58.9%.
Is Howa Machinery's Net Margin % too high?
Howa Machinery's current Net Margin % of 5.17% is 74% above median its 10-year median of 2.97. The Industrial Products industry median Net Margin % is 4.54. Howa Machinery's value of 5.17% is 13.9% above this industry median. Based on the distribution chart, Howa Machinery ranks #1786 out of 3033 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Howa Machinery has a GF Score™ of 64/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Howa Machinery's Net Margin % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Howa Machinery ranks #1786 out of 3033 companies for Net Margin %. This places Howa Machinery in the lower half of its industry. The industry median Net Margin % is 4.54. Howa Machinery's value of 5.17% is 13.9% above this benchmark. While the company's 10-year median is 2.97 vs. the industry median of 4.54, Howa Machinery 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 Industrial Products company?
The median Net Margin % among Industrial Products companies is 4.54, based on 3,033 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. Howa Machinery's current Net Margin % of 5.17% is 13.9% 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 Howa Machinery and its competitors. For the Industrial Products industry, the median Net Margin % is 4.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Howa Machinery's current Net Margin % is 5.17%, which is 74% above median its own 10-year median of 2.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Howa Machinery stock overvalued right now?
Based on GuruFocus' analysis, Howa Machinery (TSE:6203) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,026.42, compared to a current price of 円1,607.00 — trading 56.6% above its estimated fair value. The current Net Margin % is 5.17%, which is 74% above median its 10-year median of 2.97 and 13.9% above the Industrial Products industry median of 4.54. Howa Machinery's overall GF Score™ is 64/100 with 6 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 Howa Machinery (TSE:6203), the current Net Margin % is 5.17% 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 Howa Machinery (TSE:6203) Overvalued in 2026?
Based on GuruFocus' analysis, Howa Machinery stock appears to be overvalued.
The current stock price of 円1,607.00 is trading 56.6% above its estimated GF Value™ of 円1,026.42.
GuruFocus considers Howa Machinery to be Significantly Overvalued.
Key valuation signals for TSE:6203:
Net Margin %: 5.17% (74% above median its 10-year median of 2.97)
GF Value™: 円1,026.42 vs. price of 円1,607.00 (56.6% above fair value)
Industry Position: 13.9% above the Industrial Products median (#1786 of 3033)
No single metric tells the full story. See the TSE:6203 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Howa Machinery Ltd engages in the manufacture and sale of machine tools, pneumatic and hydraulic equipment, electronic machines, firearms, construction materials and construction machinery.
64GF Score
Get the complete analysis for TSE:6203
Net 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
TSE:6203 has been successfully added to your 
