Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Nippon Signal CoFRA:F6N +6.64%69 Operating Margin % is 6.26% as of Jun. 2026, which is 6% below its 10-year median of 6.64. GuruFocus rates FRA:F6N with a GF Score™ of 69/100 and a GF Value™ of €7.22 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 3,043 Industrial Products companies, Nippon Signal Co ranks better than 71.44% on this metric.
Nippon Signal Co Ltd operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Nippon Signal Co's Operating Margin % or its related term are showing as below:
FRA:F6N'
s Operating Margin % Range Over the Past 10 Years
Min: 2.46 Med: 6.64 Max: 11.43
Current: 11.43
FRA:F6N's Operating Margin % is ranked better than 71.44% of 3043
companies
in the Industrial Products industry
Industry Median: 6.61
vs FRA:F6N: 11.43
Nippon Signal Co's 5-Year Average Operating Margin % Growth Rate was 11.60% per year.
Nippon Signal Co (FRA:F6N) 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.
Nippon Signal Co Operating Margin % Related Terms
Nippon Signal Co Operating Margin % Historical Data
* Premium members only.
The historical data trend for Nippon Signal 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.
For the Electrical Equipment & Parts subindustry, Nippon Signal 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.
Nippon Signal Co Operating Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Nippon Signal Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Nippon Signal Co'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.
Nippon Signal 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.
Nippon Signal Co (FRA:F6N) has a Operating Margin % of 6.26% as of Jun. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Nippon Signal Co and its competitors. This is near median its historical median of 6.64. Over the past decade, Nippon Signal Co's Operating Margin % has ranged from 2.46 to 11.43. According to the industry distribution chart, Nippon Signal Co ranks #869 out of 3043 companies in the Industrial Products industry, placing it in the top 28.6%.
Is Nippon Signal Co's Operating Margin % too high?
Nippon Signal Co's current Operating Margin % of 6.26% is near median its 10-year median of 6.64. Over the past 10 years, this metric has ranged from a low of 2.46 to a high of 11.43. The Industrial Products industry median Operating Margin % is 6.61. Nippon Signal Co's value of 6.26% is 5.3% below this industry median. Based on the distribution chart, Nippon Signal Co ranks #869 out of 3043 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Nippon Signal Co has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nippon Signal Co's Operating Margin % compare to VRT and BE?
According to the Industrial Products industry distribution chart, Nippon Signal Co ranks #869 out of 3043 companies for Operating Margin %. This puts Nippon Signal Co in the upper half of its industry. The industry median Operating Margin % is 6.61. Nippon Signal Co's value of 6.26% is 5.3% below this benchmark. Historically, Nippon Signal Co's own Operating Margin % has ranged from 2.46 to 11.43 over the past decade. While the company's 10-year median is 6.64 vs. the industry median of 6.61, Nippon Signal 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 an Industrial Products company?
The median Operating Margin % among Industrial Products companies is 6.61, based on 3,043 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. Nippon Signal Co's current Operating Margin % of 6.26% is 5.3% 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 Nippon Signal Co and its competitors. For the Industrial Products industry, the median Operating Margin % is 6.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Signal Co's current Operating Margin % is 6.26%, which is near median its own 10-year median of 6.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Signal Co stock overvalued right now?
Based on GuruFocus' analysis, Nippon Signal Co (FRA:F6N) is currently considered Significantly Overvalued. The stock's GF Value™ is €7.22, compared to a current price of €9.70 — trading 34.4% above its estimated fair value. The current Operating Margin % is 6.26%, which is near median its 10-year median of 6.64 and 5.3% below the Industrial Products industry median of 6.61. Nippon Signal Co's overall GF Score™ is 69/100 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 Nippon Signal Co (FRA:F6N), the current Operating Margin % is 6.26% as of Jun. 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 Nippon Signal Co (FRA:F6N) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Signal Co stock appears to be overvalued.
The current stock price of €9.70 is trading 34.4% above its estimated GF Value™ of €7.22.
GuruFocus considers Nippon Signal Co to be Significantly Overvalued.
Key valuation signals for FRA:F6N:
Operating Margin %: 6.26% (near median its 10-year median of 6.64)
GF Value™: €7.22 vs. price of €9.70 (34.4% above fair value)
Industry Position: 5.3% below the Industrial Products median (#869 of 3043)
No single metric tells the full story. See the FRA:F6N stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Signal Co Ltd is a Japanese technology company. Its products and services fall into the following categories: railway signal systems, traffic information systems, automatic fare collection, or AFR, systems, and parking information systems. The railway signal systems division provides automatic train supervision systems, relay interlocking equipment, level-crossing systems, and LED information boards. The traffic information systems division offers universal traffic management systems, local controllers, and LED traffic signal lights. The AFR system division offers comprehensive network systems to automate station operations. The parking information systems division offers car parking systems and bicycle lock systems.
69GF Score
Get the complete analysis for FRA:F6N
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:F6N has been successfully added to your 
