Lonking HoldingsFRA:C9IB 50 Operating Margin % is 12.88% as of Dec. 2025, which is 19% above its 10-year median of 10.85. GuruFocus rates FRA:C9IB with a GF Score™ of 50/100 and a GF Value™ of €0.19 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 209 Farm & Heavy Construction Machinery companies, Lonking Holdings ranks better than 74.64% on this metric.
Lonking Holdings Ltd operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Lonking Holdings's Operating Margin % or its related term are showing as below:
FRA:C9IB'
s Operating Margin % Range Over the Past 10 Years
Min: 5.51 Med: 10.85 Max: 14.78
Current: 11.62
FRA:C9IB's Operating Margin % is ranked better than 74.64% of 209
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 6.78
vs FRA:C9IB: 11.62
Lonking Holdings's 5-Year Average Operating Margin % Growth Rate was 3.20% per year.
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.
Lonking Holdings Operating Margin % Related Terms
Lonking Holdings Operating Margin % Historical Data
* Premium members only.
The historical data trend for Lonking Holdings'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:C9IB vs CAT, DE, PCAR: Operating Margin % Comparison
For the Farm & Heavy Construction Machinery subindustry, Lonking Holdings'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.
Lonking Holdings Operating Margin % vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Lonking Holdings's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Lonking Holdings's Operating Margin % falls into.
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.
Lonking Holdings's Operating Margin % for the fiscal year that ended in Dec. 2025 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.
Lonking Holdings (FRA:C9IB) has a Operating Margin % of 12.88% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Lonking Holdings and its competitors. This is 19% above median its historical median of 10.85. Over the past decade, Lonking Holdings' Operating Margin % has ranged from 5.51 to 14.78. According to the industry distribution chart, Lonking Holdings ranks #53 out of 209 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 25.4%.
Is Lonking Holdings' Operating Margin % too high?
Lonking Holdings' current Operating Margin % of 12.88% is 19% above median its 10-year median of 10.85. Over the past 10 years, this metric has ranged from a low of 5.51 to a high of 14.78. The Farm & Heavy Construction Machinery industry median Operating Margin % is 6.78. Lonking Holdings' value of 12.88% is 90% above this industry median. Based on the distribution chart, Lonking Holdings ranks #53 out of 209 companies in the Farm & Heavy Construction Machinery industry, which is above the industry midpoint. Overall, Lonking Holdings has a GF Score™ of 50/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lonking Holdings' Operating Margin % compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Lonking Holdings ranks #53 out of 209 companies for Operating Margin %. This puts Lonking Holdings in the upper half of its industry. The industry median Operating Margin % is 6.78. Lonking Holdings' value of 12.88% is 90% above this benchmark. Historically, Lonking Holdings' own Operating Margin % has ranged from 5.51 to 14.78 over the past decade. While the company's 10-year median is 10.85 vs. the industry median of 6.78, Lonking Holdings 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 Operating Margin % for a Farm & Heavy Construction Machinery company?
The median Operating Margin % among Farm & Heavy Construction Machinery companies is 6.78, based on 209 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. Lonking Holdings's current Operating Margin % of 12.88% is 90% 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 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 Lonking Holdings and its competitors. For the Farm & Heavy Construction Machinery industry, the median Operating Margin % is 6.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lonking Holdings's current Operating Margin % is 12.88%, which is 19% above median its own 10-year median of 10.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lonking Holdings stock overvalued right now?
Based on GuruFocus' analysis, Lonking Holdings (FRA:C9IB) is currently considered Significantly Overvalued. The stock's GF Value™ is €0.19, compared to a current price of €0.28 — trading 49.5% above its estimated fair value. The current Operating Margin % is 12.88%, which is 19% above median its 10-year median of 10.85 and 90% above the Farm & Heavy Construction Machinery industry median of 6.78. Lonking Holdings' overall GF Score™ is 50/100 with 1 warning sign 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 Lonking Holdings (FRA:C9IB), the current Operating Margin % is 12.88% as of Dec. 2025. 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 Lonking Holdings (FRA:C9IB) Overvalued in 2026?
Based on GuruFocus' analysis, Lonking Holdings stock appears to be overvalued.
The current stock price of €0.28 is trading 49.5% above its estimated GF Value™ of €0.19.
GuruFocus considers Lonking Holdings to be Significantly Overvalued.
Key valuation signals for FRA:C9IB:
Operating Margin %: 12.88% (19% above median its 10-year median of 10.85)
GF Value™: €0.19 vs. price of €0.28 (49.5% above fair value)
Industry Position: 90% above the Farm & Heavy Construction Machinery median (#53 of 209)
No single metric tells the full story. See the FRA:C9IB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lonking Holdings Ltd is a construction and logistics machinery manufacturer in China. It produces wheel loaders, excavators, road rollers, forklifts, and other heavy equipment. In addition, the company supplies individual components, including gearboxes, converters, axles, and hydraulic components. The company has three operating segments: Sale of construction machinery, which generates the majority of the revenue, Finance lease of construction machinery, and Financial investment. The majority of sales are derived from China.
50GF Score
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