Dai Nippon Toryo CoDAIYF 59 Operating Margin % is 3.69% as of Mar. 2026, which is 45% below its 10-year median of 6.66. GuruFocus rates DAIYF with a GF Score™ of 59/100 and a GF Value™ of $9.43 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 1,584 Chemicals companies, Dai Nippon Toryo Co ranks worse than 59.97% on this metric.
Dai Nippon Toryo Co (OTCPK:DAIYF) Operating Margin % Explanation
Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.
Be Aware
Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).
If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.
For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokias Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).
Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.
Dai Nippon Toryo Co Operating Margin % Related Terms
Dai Nippon Toryo Co Operating Margin % Historical Data
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The historical data trend for Dai Nippon Toryo Co's Operating 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.
DAIYF vs LIN, SHW, ECL: Operating Margin % Comparison
For the Specialty Chemicals subindustry, Dai Nippon Toryo Co's Operating Margin %, along with its competitors' market caps and Operating 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.
Dai Nippon Toryo Co Operating Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Dai Nippon Toryo Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Dai Nippon Toryo Co's Operating Margin % falls into.
Dai Nippon Toryo Co Operating Margin % Calculation
Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.
Dai Nippon Toryo Co's Operating Margin % for the fiscal year that ended in Mar. 2026 is calculated as
* 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.
Dai Nippon Toryo Co (DAIYF) has a Operating Margin % of 3.69% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Dai Nippon Toryo Co and its competitors. This is 45% below median its historical median of 6.66. Over the past decade, Dai Nippon Toryo Co's Operating Margin % has ranged from 4.11 to 8.98. According to the industry distribution chart, Dai Nippon Toryo Co ranks #950 out of 1584 companies in the Chemicals industry, placing it in the top 60%.
Is Dai Nippon Toryo Co's Operating Margin % too high?
Dai Nippon Toryo Co's current Operating Margin % of 3.69% is 45% below median its 10-year median of 6.66. Over the past 10 years, this metric has ranged from a low of 4.11 to a high of 8.98. The Chemicals industry median Operating Margin % is 6.03. Dai Nippon Toryo Co's value of 3.69% is 38.8% below this industry median. Based on the distribution chart, Dai Nippon Toryo Co ranks #950 out of 1584 companies in the Chemicals industry, which is below the industry midpoint. Overall, Dai Nippon Toryo Co has a GF Score™ of 59/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Dai Nippon Toryo Co's Operating Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Dai Nippon Toryo Co ranks #950 out of 1584 companies for Operating Margin %. This places Dai Nippon Toryo Co in the lower half of its industry. The industry median Operating Margin % is 6.03. Dai Nippon Toryo Co's value of 3.69% is 38.8% below this benchmark. Historically, Dai Nippon Toryo Co's own Operating Margin % has ranged from 4.11 to 8.98 over the past decade. While the company's 10-year median is 6.66 vs. the industry median of 6.03, Dai Nippon Toryo Co 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 Operating Margin % for a Chemicals company?
The median Operating Margin % among Chemicals companies is 6.03, based on 1,584 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Dai Nippon Toryo Co's current Operating Margin % of 3.69% is 38.8% 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 Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on Dai Nippon Toryo Co and its competitors. For the Chemicals industry, the median Operating Margin % is 6.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dai Nippon Toryo Co's current Operating Margin % is 3.69%, which is 45% below median its own 10-year median of 6.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dai Nippon Toryo Co stock overvalued right now?
Based on GuruFocus' analysis, Dai Nippon Toryo Co (DAIYF) is currently considered Modestly Undervalued. The stock's GF Value™ is $9.43, compared to a current price of $8.20 — trading 13% below its estimated fair value. The current Operating Margin % is 3.69%, which is 45% below median its 10-year median of 6.66 and 38.8% below the Chemicals industry median of 6.03. Dai Nippon Toryo Co's overall GF Score™ is 59/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For Dai Nippon Toryo Co (DAIYF), the current Operating Margin % is 3.69% 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 Dai Nippon Toryo Co (DAIYF) Overvalued in 2026?
Based on GuruFocus' analysis, Dai Nippon Toryo Co stock appears to be undervalued.
The current stock price of $8.20 is trading 13% below its estimated GF Value™ of $9.43.
GuruFocus considers Dai Nippon Toryo Co to be Modestly Undervalued.
Key valuation signals for DAIYF:
Operating Margin %: 3.69% (45% below median its 10-year median of 6.66)
GF Value™: $9.43 vs. price of $8.20 (13% below fair value)
Industry Position: 38.8% below the Chemicals median (#950 of 1584)
No single metric tells the full story. See the DAIYF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dai Nippon Toryo Co Ltd is a Japan-based company engaged in the production and sales of coatings and jet inks. Its product lines include protective, decorative, automobile, and industrial. Products offered by the company include anticorrosive coatings, water-based coatings, and coatings for industrial use. Protective coatings are used in the steel frames of buildings, bridges, industrial plants, and concrete structures. Decorative coatings are used for the interiors, exteriors, and roofs of residential buildings. Automobile coatings are used in automotive components, such as bumpers, door mirrors, and other interior and exterior components. Industrial coatings are designed for applications, such as curtain walls, aluminum sashes, steel furniture, agricultural and construction machinery.
59GF Score
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