Wuxi AppTec CoFRA:WX8 +3.20%97 Operating Margin % is 41.08% as of Mar. 2026, which is 90% above its 10-year median of 21.58. GuruFocus rates FRA:WX8 with a GF Score™ of 97/100 and a GF Value™ of ¥11.54 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 204 Medical Diagnostics & Research companies, Wuxi AppTec Co ranks better than 99.51% on this metric.
Wuxi AppTec Co Ltd operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Wuxi AppTec Co's Operating Margin % or its related term are showing as below:
FRA:WX8'
s Operating Margin % Range Over the Past 10 Years
Min: 20.16 Med: 21.58 Max: 39.37
Current: 39.37
FRA:WX8's Operating Margin % is ranked better than 99.51% of 204
companies
in the Medical Diagnostics & Research industry
Industry Median: -3.195
vs FRA:WX8: 39.37
Wuxi AppTec Co's 5-Year Average Operating Margin % Growth Rate was 13.30% per year.
Wuxi AppTec Co (FRA:WX8) 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.
Wuxi AppTec Co Operating Margin % Related Terms
Wuxi AppTec Co Operating Margin % Historical Data
* Premium members only.
The historical data trend for Wuxi AppTec 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:WX8 vs TMO, DHR, IDXX: Operating Margin % Comparison
For the Diagnostics & Research subindustry, Wuxi AppTec 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.
Wuxi AppTec Co Operating Margin % vs Medical Diagnostics & Research Industry
For the Medical Diagnostics & Research industry and Healthcare sector, Wuxi AppTec Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Wuxi AppTec 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.
Wuxi AppTec Co'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.
Wuxi AppTec Co (FRA:WX8) has a Operating Margin % of 41.08% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Wuxi AppTec Co and its competitors. This is 90% above median its historical median of 21.58. Over the past decade, Wuxi AppTec Co's Operating Margin % has ranged from 20.16 to 39.37. According to the industry distribution chart, Wuxi AppTec Co ranks #1 out of 204 companies in the Medical Diagnostics & Research industry, placing it in the top 0.5%.
Is Wuxi AppTec Co's Operating Margin % too high?
Wuxi AppTec Co's current Operating Margin % of 41.08% is 90% above median its 10-year median of 21.58. Over the past 10 years, this metric has ranged from a low of 20.16 to a high of 39.37. Based on the distribution chart, Wuxi AppTec Co ranks #1 out of 204 companies in the Medical Diagnostics & Research industry, which is in the top quartile — a strong position relative to peers. Overall, Wuxi AppTec Co has a GF Score™ of 97/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Wuxi AppTec Co's Operating Margin % compare to TMO and DHR?
According to the Medical Diagnostics & Research industry distribution chart, Wuxi AppTec Co ranks #1 out of 204 companies for Operating Margin %. This places Wuxi AppTec Co in the top 1% of its industry — outperforming the majority of peers. Historically, Wuxi AppTec Co's own Operating Margin % has ranged from 20.16 to 39.37 over the past decade. 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 Medical Diagnostics & Research company?
A good Operating Margin % depends on the Medical Diagnostics & Research industry context. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. 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 Wuxi AppTec Co and its competitors. Wuxi AppTec Co's current Operating Margin % is 41.08%, which is 90% above median its own 10-year median of 21.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wuxi AppTec Co stock overvalued right now?
Based on GuruFocus' analysis, Wuxi AppTec Co (FRA:WX8) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥11.54, compared to a current price of ¥16.02 — trading 38.8% above its estimated fair value. The current Operating Margin % is 41.08%, which is 90% above median its 10-year median of 21.58. Wuxi AppTec Co's overall GF Score™ is 97/100 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 Wuxi AppTec Co (FRA:WX8), the current Operating Margin % is 41.08% 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 Wuxi AppTec Co (FRA:WX8) Overvalued in 2026?
Based on GuruFocus' analysis, Wuxi AppTec Co stock appears to be overvalued.
The current stock price of ¥16.02 is trading 38.8% above its estimated GF Value™ of ¥11.54.
GuruFocus considers Wuxi AppTec Co to be Significantly Overvalued.
Key valuation signals for FRA:WX8:
Operating Margin %: 41.08% (90% above median its 10-year median of 21.58)
GF Value™: ¥11.54 vs. price of ¥16.02 (38.8% above fair value)
No single metric tells the full story. See the FRA:WX8 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Wuxi AppTec Co Ltd provides a portfolio of research and manufacturing services throughout the discovery, development, and manufacturing spectrum for small molecule drugs, development of computer software and databases as well as consulting services for combinatorial chemistry and pharmaceuticals. The services offered by the company include drug research and development testing, clinical research services, an end-to-end CRDMO platform for peptide, oligonucleotide, and small molecules, and integrated biology services and solutions for drug discovery. The company's reportable segments are WuXi Chemistry, which derives maximum revenue, WuXi Testing, WuXi Biology, and Others. Geographically, it derives key revenue from the United States of America, followed by PRC, Europe, and other regions.
97GF 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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