Sunfonda Group Holdings (HKSE:01771) Operating Margin %: -6.99% (As of Dec. 2025)

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HKSE:01771 Sunfonda Group Holdings Ltd HKSE:01771
39 GF Score
Price HK$0.16
GF Value HK$0.32
Valuation Possible Value Trap
! 2 Warning Signs
View Full Analysis

What is Sunfonda Group Holdings Operating Margin %?

Sunfonda Group Holdings HKSE:01771 +3.16% 39 Operating Margin % is -6.99% as of Dec. 2025. GuruFocus rates HKSE:01771 with a GF Score™ of 39/100 and a GF Value™ of HK$0.32 (Possible Value Trap). The stock has 2 warning signs investors should review. Among 1,323 Vehicles & Parts companies, Sunfonda Group Holdings ranks worse than 90.17% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Sunfonda Group Holdings's Operating Income for the six months ended in Dec. 2025 was HK$-286 Mil. Sunfonda Group Holdings's Revenue for the six months ended in Dec. 2025 was HK$4,086 Mil. Therefore, Sunfonda Group Holdings's Operating Margin % for the quarter that ended in Dec. 2025 was -6.99%.

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

HKSE:01771' s Operating Margin % Range Over the Past 10 Years
Min: -8.25   Med: 0.58   Max: 2.39
Current: -8.02


HKSE:01771's Operating Margin % is ranked worse than
90.17% of 1323 companies
in the Vehicles & Parts industry
Industry Median: 4.97 vs HKSE:01771: -8.02

Sunfonda Group Holdings's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Sunfonda Group Holdings's Operating Income for the six months ended in Dec. 2025 was HK$-286 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was HK$-648 Mil.


Sunfonda Group Holdings  (HKSE:01771) 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.


Sunfonda Group Holdings Operating Margin % Related Terms


Sunfonda Group Holdings Operating Margin % Historical Data

* Premium members only.

The historical data trend for Sunfonda Group Holdings'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.

Sunfonda Group Holdings Operating Margin % Chart

Sunfonda Group Holdings 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 1.75 -0.39 -3.30 -8.25 -8.03

Sunfonda Group Holdings 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 -3.85 -7.62 -8.95 -9.08 -6.99

HKSE:01771 vs CVNA, PAG, KMX: Operating Margin % Comparison

For the Auto & Truck Dealerships subindustry, Sunfonda Group 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.


Sunfonda Group Holdings Operating Margin % vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Sunfonda Group Holdings's Operating Margin % distribution charts can be found below:

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


HKSE:01771
39GF Score
Sunfonda Group Holdings Ltd HKSE:01771
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sunfonda Group 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.

Sunfonda Group Holdings'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 )
=-651.504 / 8114.259
=-8.03 %

Sunfonda Group Holdings'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 )
=-285.81 / 4086.108
=-6.99 %

* 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 -6.99% mean?
Sunfonda Group Holdings (HKSE:01771) has a Operating Margin % of -6.99% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Sunfonda Group Holdings and its competitors. According to the industry distribution chart, Sunfonda Group Holdings ranks #1193 out of 1323 companies in the Vehicles & Parts industry, placing it in the top 90.2%.
Is Sunfonda Group Holdings' Operating Margin % too high?
Sunfonda Group Holdings' current Operating Margin % is -6.99%. Based on the distribution chart, Sunfonda Group Holdings ranks #1193 out of 1323 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Sunfonda Group Holdings has a GF Score™ of 39/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Sunfonda Group Holdings' Operating Margin % compare to CVNA and PAG?
According to the Vehicles & Parts industry distribution chart, Sunfonda Group Holdings ranks #1193 out of 1323 companies for Operating Margin %. This places Sunfonda Group Holdings in the lower half of its industry. The industry median Operating Margin % is 4.97. 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 Vehicles & Parts company?
The median Operating Margin % among Vehicles & Parts companies is 4.97, based on 1,323 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 Sunfonda Group Holdings and its competitors. For the Vehicles & Parts industry, the median Operating Margin % is 4.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sunfonda Group Holdings's current Operating Margin % is -6.99%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sunfonda Group Holdings stock overvalued right now?
Based on GuruFocus' analysis, Sunfonda Group Holdings (HKSE:01771) is currently considered Possible Value Trap. The stock's GF Value™ is HK$0.32, compared to a current price of HK$0.16 — trading 49.1% below its estimated fair value. The current Operating Margin % is -6.99%. Sunfonda Group Holdings' overall GF Score™ is 39/100 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 Sunfonda Group Holdings (HKSE:01771), the current Operating Margin % is -6.99% 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 Sunfonda Group Holdings (HKSE:01771) Overvalued in 2026?

Based on GuruFocus' analysis, Sunfonda Group Holdings stock appears to be undervalued. The current stock price of HK$0.16 is trading 49.1% below its estimated GF Value™ of HK$0.32. GuruFocus considers Sunfonda Group Holdings to be Possible Value Trap.

Key valuation signals for HKSE:01771:

  • Operating Margin %: -6.99%
  • GF Value™: HK$0.32 vs. price of HK$0.16 (49.1% below fair value)
  • GF Score™: 39/100 with 2 warning signs

No single metric tells the full story. See the HKSE:01771 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sunfonda Group Holdings Business Description

Address Ouya 1st Road, Beichen Avenue, Sunfonda Automobile Center, No. 1555, Chanba Ecological District, Shaanxi Province, Xi’an, CHN, 710021
Sunfonda Group Holdings Ltd is an investment holding company. The Company and its subsidiaries were principally engaged in the sale and service of motor vehicles in the People's Republic of China (the PRC). The Group operates in one business unit based on its products, and has one reportable segment, which is the sale of motor vehicles and the provision of related services. Additionally, it offers after-sales services such as maintenance and repair, spare parts sales, and automobile detailing. Furthermore, the Group delivers various value-added services, including automobile insurance and financing agency services, licensing assistance, and survey services.
39GF Score

Get the complete analysis for HKSE:01771

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

HK$0.16
Price
HK$0.32
GF Value