Zhuzhou CRRC Times Electric CoFRA:ZTX -0.93%91 Operating Margin % is 15.36% as of Mar. 2026, which is 9% below its 10-year median of 16.80. GuruFocus rates FRA:ZTX with a GF Score™ of 91/100 and a GF Value™ of €4.86 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,007 Transportation companies, Zhuzhou CRRC Times Electric Co ranks better than 73.88% on this metric.
Zhuzhou CRRC Times Electric Co (FRA:ZTX) 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.
Zhuzhou CRRC Times Electric Co Operating Margin % Related Terms
Zhuzhou CRRC Times Electric Co Operating Margin % Historical Data
* 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.
Zhuzhou CRRC Times Electric Co Operating Margin % Chart
FRA:ZTX vs UNP, CSX, NSC: Operating Margin % Comparison
For the Railroads subindustry, Zhuzhou CRRC Times Electric 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.
Zhuzhou CRRC Times Electric Co Operating Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, Zhuzhou CRRC Times Electric Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Zhuzhou CRRC Times Electric Co's Operating Margin % falls into.
Zhuzhou CRRC Times Electric 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.
* 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.
Zhuzhou CRRC Times Electric Co (FRA:ZTX) has a Operating Margin % of 15.36% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Zhuzhou CRRC Times Electric Co and its competitors. This is near median its historical median of 16.80. Over the past decade, Zhuzhou CRRC Times Electric Co's Operating Margin % has ranged from 11.39 to 24.40. According to the industry distribution chart, Zhuzhou CRRC Times Electric Co ranks #263 out of 1007 companies in the Transportation industry, placing it in the top 26.1%.
Is Zhuzhou CRRC Times Electric Co's Operating Margin % too high?
Zhuzhou CRRC Times Electric Co's current Operating Margin % of 15.36% is near median its 10-year median of 16.80. Over the past 10 years, this metric has ranged from a low of 11.39 to a high of 24.40. The Transportation industry median Operating Margin % is 7.36. Zhuzhou CRRC Times Electric Co's value of 15.36% is 108.7% above this industry median. Based on the distribution chart, Zhuzhou CRRC Times Electric Co ranks #263 out of 1007 companies in the Transportation industry, which is above the industry midpoint. Overall, Zhuzhou CRRC Times Electric Co has a GF Score™ of 91/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zhuzhou CRRC Times Electric Co's Operating Margin % compare to UNP and CSX?
According to the Transportation industry distribution chart, Zhuzhou CRRC Times Electric Co ranks #263 out of 1007 companies for Operating Margin %. This puts Zhuzhou CRRC Times Electric Co in the upper half of its industry. The industry median Operating Margin % is 7.36. Zhuzhou CRRC Times Electric Co's value of 15.36% is 108.7% above this benchmark. Historically, Zhuzhou CRRC Times Electric Co's own Operating Margin % has ranged from 11.39 to 24.40 over the past decade. While the company's 10-year median is 16.80 vs. the industry median of 7.36, Zhuzhou CRRC Times Electric Co 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 Transportation company?
The median Operating Margin % among Transportation companies is 7.36, based on 1,007 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. Zhuzhou CRRC Times Electric Co's current Operating Margin % of 15.36% is 108.7% 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 Zhuzhou CRRC Times Electric Co and its competitors. For the Transportation industry, the median Operating Margin % is 7.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zhuzhou CRRC Times Electric Co's current Operating Margin % is 15.36%, which is near median its own 10-year median of 16.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zhuzhou CRRC Times Electric Co stock overvalued right now?
Based on GuruFocus' analysis, Zhuzhou CRRC Times Electric Co (FRA:ZTX) is currently considered Modestly Undervalued. The stock's GF Value™ is €4.86, compared to a current price of €4.28 — trading 11.9% below its estimated fair value. The current Operating Margin % is 15.36%, which is near median its 10-year median of 16.80 and 108.7% above the Transportation industry median of 7.36. Zhuzhou CRRC Times Electric Co's overall GF Score™ is 91/100 with 5 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 Zhuzhou CRRC Times Electric Co (FRA:ZTX), the current Operating Margin % is 15.36% 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 Zhuzhou CRRC Times Electric Co (FRA:ZTX) Overvalued in 2026?
Based on GuruFocus' analysis, Zhuzhou CRRC Times Electric Co stock appears to be undervalued.
The current stock price of €4.28 is trading 11.9% below its estimated GF Value™ of €4.86.
GuruFocus considers Zhuzhou CRRC Times Electric Co to be Modestly Undervalued.
Key valuation signals for FRA:ZTX:
Operating Margin %: 15.36% (near median its 10-year median of 16.80)
GF Value™: €4.86 vs. price of €4.28 (11.9% below fair value)
Industry Position: 108.7% above the Transportation median (#263 of 1007)
No single metric tells the full story. See the FRA:ZTX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zhuzhou CRRC Times Electric Co Business Description
Zhuzhou CRRC Times Electric Co Ltd is in the R&D, design, manufacturing, and sales of rail transit equipment products and the provision of related services, and has an industrial structure of components, systems, and complete machines. Its products mainly include rail transit electrical equipment, railway engineering machinery, communication signal systems, and others. Meanwhile, the Company actively expands to industries other than rail transit and conducts business in the fields of semiconductors, automobiles, new energy, marine, and industrial operations. The Company operates in the domestic market and overseas markets.
91GF Score
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