Kyoritsu Maintenance Co (FRA:648) 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.
Kyoritsu Maintenance Co Operating Margin % Related Terms
Kyoritsu Maintenance Co Operating Margin % Historical Data
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The historical data trend for Kyoritsu Maintenance 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.
FRA:648 vs MAR, HLT, H: Operating Margin % Comparison
For the Lodging subindustry, Kyoritsu Maintenance 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.
Kyoritsu Maintenance Co Operating Margin % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Kyoritsu Maintenance Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Kyoritsu Maintenance Co's Operating Margin % falls into.
Kyoritsu Maintenance 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.
Kyoritsu Maintenance 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.
Kyoritsu Maintenance Co (FRA:648) has a Operating Margin % of 6.31% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Kyoritsu Maintenance Co and its competitors. This is 25% below median its historical median of 8.40. According to the industry distribution chart, Kyoritsu Maintenance Co ranks #397 out of 841 companies in the Travel & Leisure industry, placing it in the top 47.2%.
Is Kyoritsu Maintenance Co's Operating Margin % too high?
Kyoritsu Maintenance Co's current Operating Margin % of 6.31% is 25% below median its 10-year median of 8.40. The Travel & Leisure industry median Operating Margin % is 8.08. Kyoritsu Maintenance Co's value of 6.31% is 21.9% below this industry median. Based on the distribution chart, Kyoritsu Maintenance Co ranks #397 out of 841 companies in the Travel & Leisure industry, which is above the industry midpoint. Overall, Kyoritsu Maintenance Co has a GF Score™ of 65/100, reflecting its overall financial health beyond just this single metric.
How does Kyoritsu Maintenance Co's Operating Margin % compare to MAR and HLT?
According to the Travel & Leisure industry distribution chart, Kyoritsu Maintenance Co ranks #397 out of 841 companies for Operating Margin %. This puts Kyoritsu Maintenance Co in the upper half of its industry. The industry median Operating Margin % is 8.08. Kyoritsu Maintenance Co's value of 6.31% is 21.9% below this benchmark. While the company's 10-year median is 8.40 vs. the industry median of 8.08, Kyoritsu Maintenance 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 Travel & Leisure company?
The median Operating Margin % among Travel & Leisure companies is 8.08, based on 841 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. Kyoritsu Maintenance Co's current Operating Margin % of 6.31% is 21.9% 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 Kyoritsu Maintenance Co and its competitors. For the Travel & Leisure industry, the median Operating Margin % is 8.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kyoritsu Maintenance Co's current Operating Margin % is 6.31%, which is 25% below median its own 10-year median of 8.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kyoritsu Maintenance Co stock overvalued right now?
Kyoritsu Maintenance Co (FRA:648) has a current Operating Margin % of 6.31%. The stock's GF Value™ is €20.68, compared to a current price of €15.80 — trading 23.6% below its estimated fair value. The current Operating Margin % is 6.31%, which is 25% below median its 10-year median of 8.40 and 21.9% below the Travel & Leisure industry median of 8.08. Kyoritsu Maintenance Co's overall GF Score™ is 65/100 with 2 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 Kyoritsu Maintenance Co (FRA:648), the current Operating Margin % is 6.31% 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 Kyoritsu Maintenance Co (FRA:648) Overvalued in 2026?
Based on GuruFocus' analysis, Kyoritsu Maintenance Co stock appears to be undervalued.
The current stock price of €15.80 is trading 23.6% below its estimated GF Value™ of €20.68.
Key valuation signals for FRA:648:
Operating Margin %: 6.31% (25% below median its 10-year median of 8.40)
GF Value™: €20.68 vs. price of €15.80 (23.6% below fair value)
Industry Position: 21.9% below the Travel & Leisure median (#397 of 841)
No single metric tells the full story. See the FRA:648 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kyoritsu Maintenance Co Ltd operates six business segments: dormitory business, hotel business, Contracted Services Business, Food Services Business, Construction Business, and Other Business in Japan. The Dormitory business offers student dormitories, corporate dormitories, Domeal, and consigned dormitories. The hotel business includes a Resort Hotel named Dormy Inn. Contracted Services Business offers services including building management and building construction work. Other business segment includes the senior life business which manages houses for the elderly and the Public Kyoritsu Partnership business (PKP) which includes consigned services businesses provided to regional government bodies. The Company generates maximum revenue from the dormitory business.
65GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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