Viet Nam Pharmaceutical - JSC (HSTC:DVN) 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.
Viet Nam Pharmaceutical - JSC Operating Margin % Related Terms
Viet Nam Pharmaceutical - JSC 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.
Viet Nam Pharmaceutical - JSC Operating Margin % Chart
HSTC:DVN vs ZTS, UTHR: Operating Margin % Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Viet Nam Pharmaceutical - JSC'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.
Viet Nam Pharmaceutical - JSC Operating Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Viet Nam Pharmaceutical - JSC's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Viet Nam Pharmaceutical - JSC's Operating Margin % falls into.
Viet Nam Pharmaceutical - JSC 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.
Viet Nam Pharmaceutical - JSC (HSTC:DVN) has a Operating Margin % of 4.02% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Viet Nam Pharmaceutical - JSC and its competitors. This is 94% above median its historical median of 2.07. Over the past decade, Viet Nam Pharmaceutical - JSC's Operating Margin % has ranged from 0.52 to 3.13. According to the industry distribution chart, Viet Nam Pharmaceutical - JSC ranks #618 out of 956 companies in the Drug Manufacturers industry, placing it in the top 64.6%.
Is Viet Nam Pharmaceutical - JSC's Operating Margin % too high?
Viet Nam Pharmaceutical - JSC's current Operating Margin % of 4.02% is 94% above median its 10-year median of 2.07. Over the past 10 years, this metric has ranged from a low of 0.52 to a high of 3.13. The Drug Manufacturers industry median Operating Margin % is 7.58. Viet Nam Pharmaceutical - JSC's value of 4.02% is 47% below this industry median. Based on the distribution chart, Viet Nam Pharmaceutical - JSC ranks #618 out of 956 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Viet Nam Pharmaceutical - JSC has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Viet Nam Pharmaceutical - JSC's Operating Margin % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Viet Nam Pharmaceutical - JSC ranks #618 out of 956 companies for Operating Margin %. This places Viet Nam Pharmaceutical - JSC in the lower half of its industry. The industry median Operating Margin % is 7.58. Viet Nam Pharmaceutical - JSC's value of 4.02% is 47% below this benchmark. Historically, Viet Nam Pharmaceutical - JSC's own Operating Margin % has ranged from 0.52 to 3.13 over the past decade. While the company's 10-year median is 2.07 vs. the industry median of 7.58, Viet Nam Pharmaceutical - JSC has consistently been below 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 Drug Manufacturers company?
The median Operating Margin % among Drug Manufacturers companies is 7.58, based on 956 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. Viet Nam Pharmaceutical - JSC's current Operating Margin % of 4.02% is 47% below 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 Viet Nam Pharmaceutical - JSC and its competitors. For the Drug Manufacturers industry, the median Operating Margin % is 7.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Viet Nam Pharmaceutical - JSC's current Operating Margin % is 4.02%, which is 94% above median its own 10-year median of 2.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Viet Nam Pharmaceutical - JSC stock overvalued right now?
Based on GuruFocus' analysis, Viet Nam Pharmaceutical - JSC (HSTC:DVN) is currently considered Fairly Valued. The stock's GF Value™ is ₫22,074.26, compared to a current price of ₫20,000.00 — trading 9.4% below its estimated fair value. The current Operating Margin % is 4.02%, which is 94% above median its 10-year median of 2.07 and 47% below the Drug Manufacturers industry median of 7.58. Viet Nam Pharmaceutical - JSC's overall GF Score™ is 79/100 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 Viet Nam Pharmaceutical - JSC (HSTC:DVN), the current Operating Margin % is 4.02% 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 Viet Nam Pharmaceutical - JSC (HSTC:DVN) Overvalued in 2026?
Based on GuruFocus' analysis, Viet Nam Pharmaceutical - JSC stock appears to be undervalued.
The current stock price of ₫20,000.00 is trading 9.4% below its estimated GF Value™ of ₫22,074.26.
GuruFocus considers Viet Nam Pharmaceutical - JSC to be Fairly Valued.
Key valuation signals for HSTC:DVN:
Operating Margin %: 4.02% (94% above median its 10-year median of 2.07)
GF Value™: ₫22,074.26 vs. price of ₫20,000.00 (9.4% below fair value)
Industry Position: 47% below the Drug Manufacturers median (#618 of 956)
No single metric tells the full story. See the HSTC:DVN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Viet Nam Pharmaceutical - JSC Business Description
Viet Nam Pharmaceutical Corp - JSC is engaged in the manufacturing of drugs. The company provides testing services for drugs and medicinal ingredients.
79GF Score
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