Globetronics Technology Bhd (OTCPK:GBTKF) 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.
Globetronics Technology Bhd Operating Margin % Related Terms
Globetronics Technology Bhd 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.
Globetronics Technology Bhd Operating Margin % Chart
GBTKF vs NVDA, AVGO, MU: Operating Margin % Comparison
For the Semiconductors subindustry, Globetronics Technology Bhd'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.
Globetronics Technology Bhd Operating Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Globetronics Technology Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Globetronics Technology Bhd's Operating Margin % falls into.
Globetronics Technology Bhd 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.
Globetronics Technology Bhd's Operating Margin % for the fiscal year that ended in Dec. 2023 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.
Globetronics Technology Bhd (GBTKF) has a Operating Margin % of -81.59% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Globetronics Technology Bhd and its competitors. According to the industry distribution chart, Globetronics Technology Bhd ranks #900 out of 1020 companies in the Semiconductors industry, placing it in the top 88.2%.
Is Globetronics Technology Bhd's Operating Margin % too high?
Globetronics Technology Bhd's current Operating Margin % is -81.59%. Based on the distribution chart, Globetronics Technology Bhd ranks #900 out of 1020 companies in the Semiconductors industry, which is in the bottom quartile relative to peers. Overall, Globetronics Technology Bhd has a GF Score™ of 49/100, reflecting its overall financial health beyond just this single metric.
How does Globetronics Technology Bhd's Operating Margin % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Globetronics Technology Bhd ranks #900 out of 1020 companies for Operating Margin %. This places Globetronics Technology Bhd in the lower half of its industry. The industry median Operating Margin % is 5.30. 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 Semiconductors company?
The median Operating Margin % among Semiconductors companies is 5.30, based on 1,020 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. 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 Globetronics Technology Bhd and its competitors. For the Semiconductors industry, the median Operating Margin % is 5.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Globetronics Technology Bhd's current Operating Margin % is -81.59%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Globetronics Technology Bhd stock overvalued right now?
Globetronics Technology Bhd (GBTKF) has a current Operating Margin % of -81.59%. The stock's GF Value™ is $4.08, compared to a current price of $1.41 — trading 65.4% below its estimated fair value. The current Operating Margin % is -81.59%. Globetronics Technology Bhd's overall GF Score™ is 49/100 with 3 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 Globetronics Technology Bhd (GBTKF), the current Operating Margin % is -81.59% 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 Globetronics Technology Bhd (GBTKF) Overvalued in 2026?
Based on GuruFocus' analysis, Globetronics Technology Bhd stock appears to be undervalued.
The current stock price of $1.41 is trading 65.4% below its estimated GF Value™ of $4.08.
Key valuation signals for GBTKF:
Operating Margin %: -81.59%
GF Value™: $4.08 vs. price of $1.41 (65.4% below fair value)
No single metric tells the full story. See the GBTKF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Globetronics Technology Bhd develops and manufactures integrated circuits, light-emitting diode components, encoders and sensors, quartz crystal products, timing devices, and related products. Sensors are the key revenue contributor for the company. Globetronics builds its sensors and encoders for a variety of automation and industrial applications. Sales volume is also significantly dependent on revenue generated from quartz crystal and timing devices. These devices are used in a multitude of electronic products, such as mobile devices, GPS, and PCs. Sales are principally in Malaysia, Singapore, and United States markets.
49GF Score
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