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ESPECTSE:6859 -2.45%90 Net Margin % is 11.15% as of Mar. 2026, which is 57% above its 10-year median of 7.08. GuruFocus rates TSE:6859 with a GF Score™ of 90/100 and a GF Value™ of 円3,177.58 (Modestly Overvalued). The stock has 1 warning sign investors should review. Among 2,478 Hardware companies, ESPEC ranks better than 75.75% on this metric.
Net margin is calculated as Net Income divided by its Revenue. ESPEC's Net Income for the
three
months ended in Mar. 2026 was 円2,558 Mil. ESPEC's Revenue for the
three
months ended in Mar. 2026 was 円22,933 Mil. Therefore, ESPEC's net margin for the quarter that ended in Mar. 2026 was 11.15%.
The historical rank and industry rank for ESPEC's Net Margin % or its related term are showing as below:
TSE:6859'
s Net Margin % Range Over the Past 10 Years
Min: 4.55 Med: 7.08 Max: 8.92
Current: 8.39
TSE:6859's Net Margin % is ranked better than 75.75% of 2478
companies
in the Hardware industry
Industry Median: 2.695
vs TSE:6859: 8.39
ESPEC (TSE:6859) 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.
ESPEC Net Margin % Related Terms
ESPEC Net Margin % Historical Data
* Premium members only.
The historical data trend for ESPEC'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:6859 vs COHR, KEYS, GRMN: Net Margin % Comparison
For the Scientific & Technical Instruments subindustry, ESPEC'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.
ESPEC Net Margin % vs Hardware Industry
For the Hardware industry and Technology sector, ESPEC's Net Margin % distribution charts can be found below:
* The bar in red indicates where ESPEC'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.
ESPEC (TSE:6859) has a Net Margin % of 11.15% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on ESPEC and its competitors. This is 57% above median its historical median of 7.08. Over the past decade, ESPEC's Net Margin % has ranged from 4.55 to 8.92. According to the industry distribution chart, ESPEC ranks #601 out of 2478 companies in the Hardware industry, placing it in the top 24.3%.
Is ESPEC's Net Margin % too high?
ESPEC's current Net Margin % of 11.15% is 57% above median its 10-year median of 7.08. Over the past 10 years, this metric has ranged from a low of 4.55 to a high of 8.92. The Hardware industry median Net Margin % is 2.70. ESPEC's value of 11.15% is 313.7% above this industry median. Based on the distribution chart, ESPEC ranks #601 out of 2478 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, ESPEC has a GF Score™ of 90/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ESPEC's Net Margin % compare to COHR and KEYS?
According to the Hardware industry distribution chart, ESPEC ranks #601 out of 2478 companies for Net Margin %. This places ESPEC in the top 24% of its industry — outperforming the majority of peers. The industry median Net Margin % is 2.70. ESPEC's value of 11.15% is 313.7% above this benchmark. Historically, ESPEC's own Net Margin % has ranged from 4.55 to 8.92 over the past decade. While the company's 10-year median is 7.08 vs. the industry median of 2.70, ESPEC 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 Hardware company?
The median Net Margin % among Hardware companies is 2.70, based on 2,478 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. ESPEC's current Net Margin % of 11.15% is 313.7% 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 ESPEC and its competitors. For the Hardware industry, the median Net Margin % is 2.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ESPEC's current Net Margin % is 11.15%, which is 57% above median its own 10-year median of 7.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ESPEC stock overvalued right now?
Based on GuruFocus' analysis, ESPEC (TSE:6859) is currently considered Modestly Overvalued. The stock's GF Value™ is 円3,177.58, compared to a current price of 円3,980.00 — trading 25.3% above its estimated fair value. The current Net Margin % is 11.15%, which is 57% above median its 10-year median of 7.08 and 313.7% above the Hardware industry median of 2.70. ESPEC's overall GF Score™ is 90/100 with 1 warning sign 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 ESPEC (TSE:6859), the current Net Margin % is 11.15% 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 ESPEC (TSE:6859) Overvalued in 2026?
Based on GuruFocus' analysis, ESPEC stock appears to be overvalued.
The current stock price of 円3,980.00 is trading 25.3% above its estimated GF Value™ of 円3,177.58.
GuruFocus considers ESPEC to be Modestly Overvalued.
Key valuation signals for TSE:6859:
Net Margin %: 11.15% (57% above median its 10-year median of 7.08)
GF Value™: 円3,177.58 vs. price of 円3,980.00 (25.3% above fair value)
Industry Position: 313.7% above the Hardware median (#601 of 2478)
No single metric tells the full story. See the TSE:6859 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ESPEC Corp is a Japanese manufacturer of environmental test chambers. It is engaged in the business divisions of Equipment business, Service business and Other business. In the Equipment business, the company offers environmental test chambers, secondary battery-related equipment, measurement and evaluation systems and semiconductor-related equipment. In the Service business, the entity offers after-sales service and engineering, laboratory testing services and other services. The organization offers its products in Japan and other countries.
90GF Score
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