Lee & Man Paper ManufacturingLMPMY -6.09%69 Operating Margin % is 8.86% as of Dec. 2025, which is 31% below its 10-year median of 12.80. GuruFocus rates LMPMY with a GF Score™ of 69/100 and a GF Value™ of $3.04 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 283 Forest Products companies, Lee & Man Paper Manufacturing ranks better than 79.51% on this metric.
Lee & Man Paper Manufacturing (OTCPK:LMPMY) 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.
Lee & Man Paper Manufacturing Operating Margin % Related Terms
Lee & Man Paper Manufacturing 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.
Lee & Man Paper Manufacturing Operating Margin % Chart
Lee & Man Paper Manufacturing Operating Margin % Competitor Comparison
For the Paper & Paper Products subindustry, Lee & Man Paper Manufacturing'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.
Lee & Man Paper Manufacturing Operating Margin % vs Forest Products Industry
For the Forest Products industry and Basic Materials sector, Lee & Man Paper Manufacturing's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Lee & Man Paper Manufacturing's Operating Margin % falls into.
Lee & Man Paper Manufacturing 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.
Lee & Man Paper Manufacturing (LMPMY) has a Operating Margin % of 8.86% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Lee & Man Paper Manufacturing and its competitors. This is 31% below median its historical median of 12.80. Over the past decade, Lee & Man Paper Manufacturing's Operating Margin % has ranged from 4.19 to 24.42. According to the industry distribution chart, Lee & Man Paper Manufacturing ranks #58 out of 283 companies in the Forest Products industry, placing it in the top 20.5%.
Is Lee & Man Paper Manufacturing's Operating Margin % too high?
Lee & Man Paper Manufacturing's current Operating Margin % of 8.86% is 31% below median its 10-year median of 12.80. Over the past 10 years, this metric has ranged from a low of 4.19 to a high of 24.42. The Forest Products industry median Operating Margin % is 2.60. Lee & Man Paper Manufacturing's value of 8.86% is 240.8% above this industry median. Based on the distribution chart, Lee & Man Paper Manufacturing ranks #58 out of 283 companies in the Forest Products industry, which is in the top quartile — a strong position relative to peers. Overall, Lee & Man Paper Manufacturing has a GF Score™ of 69/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lee & Man Paper Manufacturing's Operating Margin % compare to competitors?
According to the Forest Products industry distribution chart, Lee & Man Paper Manufacturing ranks #58 out of 283 companies for Operating Margin %. This places Lee & Man Paper Manufacturing in the top 21% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 2.60. Lee & Man Paper Manufacturing's value of 8.86% is 240.8% above this benchmark. Historically, Lee & Man Paper Manufacturing's own Operating Margin % has ranged from 4.19 to 24.42 over the past decade. While the company's 10-year median is 12.80 vs. the industry median of 2.60, Lee & Man Paper Manufacturing 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 Forest Products company?
The median Operating Margin % among Forest Products companies is 2.60, based on 283 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. Lee & Man Paper Manufacturing's current Operating Margin % of 8.86% is 240.8% 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 Lee & Man Paper Manufacturing and its competitors. For the Forest Products industry, the median Operating Margin % is 2.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lee & Man Paper Manufacturing's current Operating Margin % is 8.86%, which is 31% below median its own 10-year median of 12.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lee & Man Paper Manufacturing stock overvalued right now?
Based on GuruFocus' analysis, Lee & Man Paper Manufacturing (LMPMY) is currently considered Modestly Overvalued. The stock's GF Value™ is $3.04, compared to a current price of $3.70 — trading 21.7% above its estimated fair value. The current Operating Margin % is 8.86%, which is 31% below median its 10-year median of 12.80 and 240.8% above the Forest Products industry median of 2.60. Lee & Man Paper Manufacturing's overall GF Score™ is 69/100 with 6 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 Lee & Man Paper Manufacturing (LMPMY), the current Operating Margin % is 8.86% 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 Lee & Man Paper Manufacturing (LMPMY) Overvalued in 2026?
Based on GuruFocus' analysis, Lee & Man Paper Manufacturing stock appears to be overvalued.
The current stock price of $3.70 is trading 21.7% above its estimated GF Value™ of $3.04.
GuruFocus considers Lee & Man Paper Manufacturing to be Modestly Overvalued.
Key valuation signals for LMPMY:
Operating Margin %: 8.86% (31% below median its 10-year median of 12.80)
GF Value™: $3.04 vs. price of $3.70 (21.7% above fair value)
Industry Position: 240.8% above the Forest Products median (#58 of 283)
No single metric tells the full story. See the LMPMY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lee & Man Paper Manufacturing Business Description
Lee & Man Paper Manufacturing Ltd is an investment holding company engaged in the manufacturing and trading of paper and pulp. Its segments are Packaging Paper, Pulp, and Tissue paper. The majority of the revenue is generated from the packaging paper segment that covers the production of kraft liner board, test liner board, coated duplex board, white top liner board, and strength corrugating medium. Its products include Wood pulp products, Boxboard paper products, Pink Gray Card Products, and Toilet Paper Products. The company generates maximum revenue from PRC, and also has its presence in Malaysia; Vietnam; and Hong Kong, Macau and others.
69GF Score
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