Everbright Grand China Assets (HKSE:03699) 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.
Everbright Grand China Assets Operating Margin % Related Terms
Everbright Grand China Assets 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.
Everbright Grand China Assets Operating Margin % Chart
HKSE:03699 vs CBRE, BEKE, JLL: Operating Margin % Comparison
For the Real Estate Services subindustry, Everbright Grand China Assets'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.
Everbright Grand China Assets Operating Margin % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Everbright Grand China Assets's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Everbright Grand China Assets's Operating Margin % falls into.
Everbright Grand China Assets 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.
Everbright Grand China Assets (HKSE:03699) has a Operating Margin % of 24.55% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Everbright Grand China Assets and its competitors. This is 26% below median its historical median of 32.97. Over the past decade, Everbright Grand China Assets' Operating Margin % has ranged from 29.44 to 46.86. According to the industry distribution chart, Everbright Grand China Assets ranks #435 out of 1743 companies in the Real Estate industry, placing it in the top 25%.
Is Everbright Grand China Assets' Operating Margin % too high?
Everbright Grand China Assets' current Operating Margin % of 24.55% is 26% below median its 10-year median of 32.97. Over the past 10 years, this metric has ranged from a low of 29.44 to a high of 46.86. The Real Estate industry median Operating Margin % is 13.37. Everbright Grand China Assets' value of 24.55% is 83.6% above this industry median. Based on the distribution chart, Everbright Grand China Assets ranks #435 out of 1743 companies in the Real Estate industry, which is in the top quartile — a strong position relative to peers. Overall, Everbright Grand China Assets has a GF Score™ of 61/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Everbright Grand China Assets' Operating Margin % compare to CBRE and BEKE?
According to the Real Estate industry distribution chart, Everbright Grand China Assets ranks #435 out of 1743 companies for Operating Margin %. This places Everbright Grand China Assets in the top 25% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 13.37. Everbright Grand China Assets' value of 24.55% is 83.6% above this benchmark. Historically, Everbright Grand China Assets' own Operating Margin % has ranged from 29.44 to 46.86 over the past decade. While the company's 10-year median is 32.97 vs. the industry median of 13.37, Everbright Grand China Assets 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 Real Estate company?
The median Operating Margin % among Real Estate companies is 13.37, based on 1,743 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. Everbright Grand China Assets's current Operating Margin % of 24.55% is 83.6% 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 Everbright Grand China Assets and its competitors. For the Real Estate industry, the median Operating Margin % is 13.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Everbright Grand China Assets's current Operating Margin % is 24.55%, which is 26% below median its own 10-year median of 32.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Everbright Grand China Assets stock overvalued right now?
Based on GuruFocus' analysis, Everbright Grand China Assets (HKSE:03699) is currently considered Fairly Valued. The stock's GF Value™ is HK$0.42, compared to a current price of HK$0.40 — trading 4.8% below its estimated fair value. The current Operating Margin % is 24.55%, which is 26% below median its 10-year median of 32.97 and 83.6% above the Real Estate industry median of 13.37. Everbright Grand China Assets' overall GF Score™ is 61/100 with 5 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 Everbright Grand China Assets (HKSE:03699), the current Operating Margin % is 24.55% 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 Everbright Grand China Assets (HKSE:03699) Overvalued in 2026?
Based on GuruFocus' analysis, Everbright Grand China Assets stock appears to be undervalued.
The current stock price of HK$0.40 is trading 4.8% below its estimated GF Value™ of HK$0.42.
GuruFocus considers Everbright Grand China Assets to be Fairly Valued.
Key valuation signals for HKSE:03699:
Operating Margin %: 24.55% (26% below median its 10-year median of 32.97)
GF Value™: HK$0.42 vs. price of HK$0.40 (4.8% below fair value)
Industry Position: 83.6% above the Real Estate median (#435 of 1743)
No single metric tells the full story. See the HKSE:03699 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Everbright Grand China Assets Business Description
Everbright Grand China Assets Ltd is a property management company engaged in property leasing, provision of property management services, and sales of properties held for sale. The Group's leasing properties are located in Chengdu, Sichuan province, and Kunming, Yunnan province, in the PRC. The Group mainly operates in the Chinese Mainland.
61GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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