Shengli Oil & Gas Pipe HoldingsHKSE:01080 Operating Margin % is -1.72% as of Dec. 2025. The stock has 2 warning signs investors should review. Among 921 Oil & Gas companies, Shengli Oil & Gas Pipe Holdings ranks worse than 77.09% on this metric.
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.
Shengli Oil & Gas Pipe Holdings Operating Margin % Related Terms
Shengli Oil & Gas Pipe Holdings 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.
Shengli Oil & Gas Pipe Holdings Operating Margin % Chart
HKSE:01080 vs SLB, BKR, HAL: Operating Margin % Comparison
For the Oil & Gas Equipment & Services subindustry, Shengli Oil & Gas Pipe Holdings'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.
Shengli Oil & Gas Pipe Holdings Operating Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Shengli Oil & Gas Pipe Holdings's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Shengli Oil & Gas Pipe Holdings's Operating Margin % falls into.
Shengli Oil & Gas Pipe Holdings 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.
Shengli Oil & Gas Pipe Holdings (HKSE:01080) has a Operating Margin % of -1.72% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Shengli Oil & Gas Pipe Holdings and its competitors. According to the industry distribution chart, Shengli Oil & Gas Pipe Holdings ranks #710 out of 921 companies in the Oil & Gas industry, placing it in the top 77.1%.
Is Shengli Oil & Gas Pipe Holdings' Operating Margin % too high?
Shengli Oil & Gas Pipe Holdings' current Operating Margin % is -1.72%. Based on the distribution chart, Shengli Oil & Gas Pipe Holdings ranks #710 out of 921 companies in the Oil & Gas industry, which is in the bottom quartile relative to peers.
How does Shengli Oil & Gas Pipe Holdings' Operating Margin % compare to SLB and BKR?
According to the Oil & Gas industry distribution chart, Shengli Oil & Gas Pipe Holdings ranks #710 out of 921 companies for Operating Margin %. This places Shengli Oil & Gas Pipe Holdings in the lower half of its industry. The industry median Operating Margin % is 6.85. 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 an Oil & Gas company?
The median Operating Margin % among Oil & Gas companies is 6.85, based on 921 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 Shengli Oil & Gas Pipe Holdings and its competitors. For the Oil & Gas industry, the median Operating Margin % is 6.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shengli Oil & Gas Pipe Holdings's current Operating Margin % is -1.72%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shengli Oil & Gas Pipe Holdings stock overvalued right now?
Based on GuruFocus' analysis, Shengli Oil & Gas Pipe Holdings (HKSE:01080) is currently considered Fairly Valued. The stock's GF Value™ is HK$0.06, compared to a current price of HK$0.07 — trading 10% above its estimated fair value. The current Operating Margin % is -1.72%. 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 Shengli Oil & Gas Pipe Holdings (HKSE:01080), the current Operating Margin % is -1.72% 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.
Shengli Oil & Gas Pipe Holdings Business Description
Shengli Oil & Gas Pipe Holdings Ltd is an oil and gas pipe manufacturer in China. It focuses on the design, manufacturing, value-added processing, and servicing of submerged-arc helical welded pipes (SAWH pipes) and submerged-arc longitudinal welded pipes (SAWL pipes), that are used to transport crude oil, refined petroleum products, natural gas, and other related products. It operates two reportable segments which comprise the pipes business and trading business. The majority of the revenue is derived from the pipes business segment that involves the production of submerged-arc helical welded pipes and submerged-arc longitudinal welded pipes which are mainly used for the oil and infrastructure industry. Geographically it derives revenue from Mainland China and Hong Kong.
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