Globaltec Formation BhdXKLS:5220 +1.18%40 Net Margin % is 1.98% as of Mar. 2026, which is 26% below its 10-year median of 2.68. GuruFocus rates XKLS:5220 with a GF Score™ of 40/100 and a GF Value™ of RM0.40 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 1,326 Vehicles & Parts companies, Globaltec Formation Bhd ranks better than 66.67% on this metric.
The historical rank and industry rank for Globaltec Formation Bhd's Net Margin % or its related term are showing as below:
XKLS:5220'
s Net Margin % Range Over the Past 10 Years
Min: -10.45 Med: 2.68 Max: 12.66
Current: 5.4
XKLS:5220's Net Margin % is ranked better than 66.67% of 1326
companies
in the Vehicles & Parts industry
Industry Median: 3.205
vs XKLS:5220: 5.40
Globaltec Formation Bhd (XKLS:5220) 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.
Globaltec Formation Bhd Net Margin % Related Terms
Globaltec Formation Bhd 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.
For the Auto Parts subindustry, Globaltec Formation Bhd'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.
Globaltec Formation Bhd Net Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Globaltec Formation Bhd's Net Margin % distribution charts can be found below:
* The bar in red indicates where Globaltec Formation Bhd'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.
Globaltec Formation Bhd (XKLS:5220) has a Net Margin % of 1.98% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Globaltec Formation Bhd and its competitors. This is 26% below median its historical median of 2.68. According to the industry distribution chart, Globaltec Formation Bhd ranks #442 out of 1326 companies in the Vehicles & Parts industry, placing it in the top 33.3%.
Is Globaltec Formation Bhd's Net Margin % too high?
Globaltec Formation Bhd's current Net Margin % of 1.98% is 26% below median its 10-year median of 2.68. The Vehicles & Parts industry median Net Margin % is 3.21. Globaltec Formation Bhd's value of 1.98% is 38.2% below this industry median. Based on the distribution chart, Globaltec Formation Bhd ranks #442 out of 1326 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, Globaltec Formation Bhd has a GF Score™ of 40/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Globaltec Formation Bhd's Net Margin % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Globaltec Formation Bhd ranks #442 out of 1326 companies for Net Margin %. This puts Globaltec Formation Bhd in the upper half of its industry. The industry median Net Margin % is 3.21. Globaltec Formation Bhd's value of 1.98% is 38.2% below this benchmark. While the company's 10-year median is 2.68 vs. the industry median of 3.21, Globaltec Formation Bhd has consistently been below 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 Vehicles & Parts company?
The median Net Margin % among Vehicles & Parts companies is 3.21, based on 1,326 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. Globaltec Formation Bhd's current Net Margin % of 1.98% is 38.2% below 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 Globaltec Formation Bhd and its competitors. For the Vehicles & Parts industry, the median Net Margin % is 3.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Globaltec Formation Bhd's current Net Margin % is 1.98%, which is 26% below median its own 10-year median of 2.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Globaltec Formation Bhd stock overvalued right now?
Based on GuruFocus' analysis, Globaltec Formation Bhd (XKLS:5220) is currently considered Significantly Overvalued. The stock's GF Value™ is RM0.40, compared to a current price of RM0.86 — trading 115% above its estimated fair value. The current Net Margin % is 1.98%, which is 26% below median its 10-year median of 2.68 and 38.2% below the Vehicles & Parts industry median of 3.21. Globaltec Formation Bhd's overall GF Score™ is 40/100 with 5 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 Globaltec Formation Bhd (XKLS:5220), the current Net Margin % is 1.98% 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 Globaltec Formation Bhd (XKLS:5220) Overvalued in 2026?
Based on GuruFocus' analysis, Globaltec Formation Bhd stock appears to be overvalued.
The current stock price of RM0.86 is trading 115% above its estimated GF Value™ of RM0.40.
GuruFocus considers Globaltec Formation Bhd to be Significantly Overvalued.
Key valuation signals for XKLS:5220:
Net Margin %: 1.98% (26% below median its 10-year median of 2.68)
GF Value™: RM0.40 vs. price of RM0.86 (115% above fair value)
Industry Position: 38.2% below the Vehicles & Parts median (#442 of 1326)
No single metric tells the full story. See the XKLS:5220 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Globaltec Formation Bhd is an auto parts manufacturer. Its business is divided into four reportable segments, namely Integrated Manufacturing Services (IMS), Resources, Energy, and Investment Holding. The IMS segment deals with designing and manufacturing automotive components, and it also consists of the precision machining, stamping, and tooling arm and the semiconductor division. The Resources segment includes the oil palm plantation and coal mining divisions. The Energy segment includes oil and gas exploration, production, and services. Lastly, the Investment Holding segment manages the company's investments in subsidiaries. The company generates the majority of its revenue from the IMS segment. Geographically, it derives key revenue from Malaysia.
40GF Score
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