Tongguan Gold Group (HKSE:00340) Operating Margin %: 48.12% (As of Dec. 2025) — 676% Above Median

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HKSE:00340 Tongguan Gold Group Ltd HKSE:00340
58 GF Score
Price HK$2.72
GF Value HK$0.75
Valuation Significantly Overvalued
! 2 Warning Signs
View Full Analysis

What is Tongguan Gold Group Operating Margin %?

Tongguan Gold Group HKSE:00340 -3.55% 58 Operating Margin % is 48.12% as of Dec. 2025, which is 676% above its 10-year median of 6.20. GuruFocus rates HKSE:00340 with a GF Score™ of 58/100 and a GF Value™ of HK$0.75 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 841 Metals & Mining companies, Tongguan Gold Group ranks better than 90.49% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Tongguan Gold Group's Operating Income for the six months ended in Dec. 2025 was HK$658 Mil. Tongguan Gold Group's Revenue for the six months ended in Dec. 2025 was HK$1,367 Mil. Therefore, Tongguan Gold Group's Operating Margin % for the quarter that ended in Dec. 2025 was 48.12%.

Good Sign:

Tongguan Gold Group Ltd operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Tongguan Gold Group's Operating Margin % or its related term are showing as below:

HKSE:00340' s Operating Margin % Range Over the Past 10 Years
Min: -57.62   Med: 6.2   Max: 46.2
Current: 46.2


HKSE:00340's Operating Margin % is ranked better than
90.49% of 841 companies
in the Metals & Mining industry
Industry Median: 6.26 vs HKSE:00340: 46.20

Tongguan Gold Group's 5-Year Average Operating Margin % Growth Rate was 55.50% per year.

Tongguan Gold Group's Operating Income for the six months ended in Dec. 2025 was HK$658 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was HK$1,107 Mil.


Tongguan Gold Group  (HKSE:00340) 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 Nokia’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.


Tongguan Gold Group Operating Margin % Related Terms


Tongguan Gold Group Operating Margin % Historical Data

* Premium members only.

The historical data trend for Tongguan Gold Group'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.

Tongguan Gold Group Operating Margin % Chart

Tongguan Gold Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 25.96 6.27 6.13 22.13 46.20

Tongguan Gold Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.91 17.19 27.68 43.63 48.12

HKSE:00340 vs NEM, AU, RGLD: Operating Margin % Comparison

For the Gold subindustry, Tongguan Gold 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.


Tongguan Gold Group Operating Margin % vs Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Tongguan Gold Group's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Tongguan Gold Group's Operating Margin % falls into.


HKSE:00340
58GF Score
Tongguan Gold Group Ltd HKSE:00340
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Tongguan Gold 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.

Tongguan Gold Group's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=1106.937 / 2396.218
=46.20 %

Tongguan Gold Group's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=658.1 / 1367.481
=48.12 %

* 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.

Frequently Asked Questions Learn more about Operating Margin % →
What does a Operating Margin % of 48.12% mean?
Tongguan Gold Group (HKSE:00340) has a Operating Margin % of 48.12% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Tongguan Gold Group and its competitors. This is 676% above median its historical median of 6.20. According to the industry distribution chart, Tongguan Gold Group ranks #80 out of 841 companies in the Metals & Mining industry, placing it in the top 9.5%.
Is Tongguan Gold Group's Operating Margin % too high?
Tongguan Gold Group's current Operating Margin % of 48.12% is 676% above median its 10-year median of 6.20. The Metals & Mining industry median Operating Margin % is 6.26. Tongguan Gold Group's value of 48.12% is 668.7% above this industry median. Based on the distribution chart, Tongguan Gold Group ranks #80 out of 841 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, Tongguan Gold Group has a GF Score™ of 58/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tongguan Gold Group's Operating Margin % compare to NEM and AU?
According to the Metals & Mining industry distribution chart, Tongguan Gold Group ranks #80 out of 841 companies for Operating Margin %. This places Tongguan Gold Group in the top 10% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 6.26. Tongguan Gold Group's value of 48.12% is 668.7% above this benchmark. While the company's 10-year median is 6.20 vs. the industry median of 6.26, Tongguan Gold 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 Metals & Mining company?
The median Operating Margin % among Metals & Mining companies is 6.26, based on 841 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. Tongguan Gold Group's current Operating Margin % of 48.12% is 668.7% 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 Tongguan Gold Group and its competitors. For the Metals & Mining industry, the median Operating Margin % is 6.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tongguan Gold Group's current Operating Margin % is 48.12%, which is 676% above median its own 10-year median of 6.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tongguan Gold Group stock overvalued right now?
Based on GuruFocus' analysis, Tongguan Gold Group (HKSE:00340) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$0.75, compared to a current price of HK$2.72 — trading 262% above its estimated fair value. The current Operating Margin % is 48.12%, which is 676% above median its 10-year median of 6.20 and 668.7% above the Metals & Mining industry median of 6.26. Tongguan Gold Group's overall GF Score™ is 58/100 with 2 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 Tongguan Gold Group (HKSE:00340), the current Operating Margin % is 48.12% 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 Tongguan Gold Group (HKSE:00340) Overvalued in 2026?

Based on GuruFocus' analysis, Tongguan Gold Group stock appears to be overvalued. The current stock price of HK$2.72 is trading 262% above its estimated GF Value™ of HK$0.75. GuruFocus considers Tongguan Gold Group to be Significantly Overvalued.

Key valuation signals for HKSE:00340:

  • Operating Margin %: 48.12% (676% above median its 10-year median of 6.20)
  • GF Value™: HK$0.75 vs. price of HK$2.72 (262% above fair value)
  • GF Score™: 58/100 with 2 warning signs
  • Industry Position: 668.7% above the Metals & Mining median (#80 of 841)

No single metric tells the full story. See the HKSE:00340 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Tongguan Gold Group Business Description

Other Exchanges INU0:Germany
Address 1 Harbour Road, Room 2707A, 27th Floor, Office Tower of Convention Plaza, Wanchai, Hong Kong, HKG
Tongguan Gold Group Ltd operates as an investment holding company. It is engaged in (i) gold mining operation, which is sale of mine-produced gold, including gold concentrate, gold bullion and related products, that contains of gold exploration, mining, processing and/or smelting operations; and (ii) gold recycling, which is purchasing the gold related materials, refining and sale of gold bullion. The Group's gold mining operation and gold recycling are mainly carried out in the People's Republic of China (the PRC).
58GF Score

Get the complete analysis for HKSE:00340

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$2.72
Price
HK$0.75
GF Value