Shougang Fushan Resources Group (OTCPK:FSHYF) 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 NokiaÂ’s 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.
Shougang Fushan Resources Group Operating Margin % Related Terms
Shougang Fushan Resources Group 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.
Shougang Fushan Resources Group Operating Margin % Chart
FSHYF vs HCC, AMR, METC: Operating Margin % Comparison
For the Coking Coal subindustry, Shougang Fushan Resources Group'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.
Shougang Fushan Resources Group Operating Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Shougang Fushan Resources Group's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Shougang Fushan Resources Group's Operating Margin % falls into.
Shougang Fushan Resources Group 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.
Shougang Fushan Resources Group (FSHYF) has a Operating Margin % of 7.75% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Shougang Fushan Resources Group and its competitors. This is 82% below median its historical median of 42.61. Over the past decade, Shougang Fushan Resources Group's Operating Margin % has ranged from 14.62 to 58.17. According to the industry distribution chart, Shougang Fushan Resources Group ranks #52 out of 612 companies in the Steel industry, placing it in the top 8.5%.
Is Shougang Fushan Resources Group's Operating Margin % too high?
Shougang Fushan Resources Group's current Operating Margin % of 7.75% is 82% below median its 10-year median of 42.61. Over the past 10 years, this metric has ranged from a low of 14.62 to a high of 58.17. The Steel industry median Operating Margin % is 2.99. Shougang Fushan Resources Group's value of 7.75% is 159.2% above this industry median. Based on the distribution chart, Shougang Fushan Resources Group ranks #52 out of 612 companies in the Steel industry, which is in the top quartile — a strong position relative to peers. Overall, Shougang Fushan Resources Group has a GF Score™ of 59/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shougang Fushan Resources Group's Operating Margin % compare to HCC and AMR?
According to the Steel industry distribution chart, Shougang Fushan Resources Group ranks #52 out of 612 companies for Operating Margin %. This places Shougang Fushan Resources Group in the top 9% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 2.99. Shougang Fushan Resources Group's value of 7.75% is 159.2% above this benchmark. Historically, Shougang Fushan Resources Group's own Operating Margin % has ranged from 14.62 to 58.17 over the past decade. While the company's 10-year median is 42.61 vs. the industry median of 2.99, Shougang Fushan Resources Group 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 Steel company?
The median Operating Margin % among Steel companies is 2.99, based on 612 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. Shougang Fushan Resources Group's current Operating Margin % of 7.75% is 159.2% 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 Shougang Fushan Resources Group and its competitors. For the Steel industry, the median Operating Margin % is 2.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shougang Fushan Resources Group's current Operating Margin % is 7.75%, which is 82% below median its own 10-year median of 42.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shougang Fushan Resources Group stock overvalued right now?
Based on GuruFocus' analysis, Shougang Fushan Resources Group (FSHYF) is currently considered Modestly Undervalued. The stock's GF Value™ is $0.40, compared to a current price of $0.31 — trading 21.3% below its estimated fair value. The current Operating Margin % is 7.75%, which is 82% below median its 10-year median of 42.61 and 159.2% above the Steel industry median of 2.99. Shougang Fushan Resources Group's overall GF Score™ is 59/100 with 7 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 Shougang Fushan Resources Group (FSHYF), the current Operating Margin % is 7.75% 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 Shougang Fushan Resources Group (FSHYF) Overvalued in 2026?
Based on GuruFocus' analysis, Shougang Fushan Resources Group stock appears to be undervalued.
The current stock price of $0.31 is trading 21.3% below its estimated GF Value™ of $0.40.
GuruFocus considers Shougang Fushan Resources Group to be Modestly Undervalued.
Key valuation signals for FSHYF:
Operating Margin %: 7.75% (82% below median its 10-year median of 42.61)
GF Value™: $0.40 vs. price of $0.31 (21.3% below fair value)
Industry Position: 159.2% above the Steel median (#52 of 612)
No single metric tells the full story. See the FSHYF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shougang Fushan Resources Group Business Description
Shougang Fushan Resources Group Ltd is engaged in coking coal mining, producing, and selling coking coal products in the PRC. It derives revenue from the sale of clean coking coal, sales of self-produced by-products and trading of coal products. The Group operates coking coal mines and coal preparation plants. It has three premium operating coking coal mines in Liulin County, Shanxi Province (Xingwu Coal Mine, Jinjiazhuang Coal Mine and Zhaiyadi Coal Mine), along with three premium coking coal mines and the associated coal preparation plants for the production of raw and clean coking coal. The Group has a business presence in the PRC and Hong Kong. The Group generates overall revenue from the PRC.
59GF Score
Get the complete analysis for FSHYF
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
FSHYF has been successfully added to your 
