Metallurgical of ChinaMLLUY 65 Operating Margin % is 2.83% as of Mar. 2026, which is 36% below its 10-year median of 4.41. GuruFocus rates MLLUY with a GF Score™ of 65/100 and a GF Value™ of $3.43 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,767 Construction companies, Metallurgical of China ranks worse than 65.37% on this metric.
Metallurgical of China (OTCPK:MLLUY) 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.
Metallurgical of China Operating Margin % Related Terms
Metallurgical of China Operating Margin % Historical Data
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The historical data trend for Metallurgical of China'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.
MLLUY vs PWR, FIX, EME: Operating Margin % Comparison
For the Engineering & Construction subindustry, Metallurgical of China'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.
Metallurgical of China Operating Margin % vs Construction Industry
For the Construction industry and Industrials sector, Metallurgical of China's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Metallurgical of China's Operating Margin % falls into.
Metallurgical of China 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.
Metallurgical of China's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as
* 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.
Metallurgical of China (MLLUY) has a Operating Margin % of 2.83% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Metallurgical of China and its competitors. This is 36% below median its historical median of 4.41. Over the past decade, Metallurgical of China's Operating Margin % has ranged from 3.26 to 6.17. According to the industry distribution chart, Metallurgical of China ranks #1155 out of 1767 companies in the Construction industry, placing it in the top 65.4%.
Is Metallurgical of China's Operating Margin % too high?
Metallurgical of China's current Operating Margin % of 2.83% is 36% below median its 10-year median of 4.41. Over the past 10 years, this metric has ranged from a low of 3.26 to a high of 6.17. The Construction industry median Operating Margin % is 5.89. Metallurgical of China's value of 2.83% is 52% below this industry median. Based on the distribution chart, Metallurgical of China ranks #1155 out of 1767 companies in the Construction industry, which is below the industry midpoint. Overall, Metallurgical of China has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Metallurgical of China's Operating Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, Metallurgical of China ranks #1155 out of 1767 companies for Operating Margin %. This places Metallurgical of China in the lower half of its industry. The industry median Operating Margin % is 5.89. Metallurgical of China's value of 2.83% is 52% below this benchmark. Historically, Metallurgical of China's own Operating Margin % has ranged from 3.26 to 6.17 over the past decade. While the company's 10-year median is 4.41 vs. the industry median of 5.89, Metallurgical of China 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 Construction company?
The median Operating Margin % among Construction companies is 5.89, based on 1,767 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. Metallurgical of China's current Operating Margin % of 2.83% is 52% 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 Metallurgical of China and its competitors. For the Construction industry, the median Operating Margin % is 5.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Metallurgical of China's current Operating Margin % is 2.83%, which is 36% below median its own 10-year median of 4.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Metallurgical of China stock overvalued right now?
Based on GuruFocus' analysis, Metallurgical of China (MLLUY) is currently considered Fairly Valued. The stock's GF Value™ is $3.43, compared to a current price of $3.56 — trading 3.7% above its estimated fair value. The current Operating Margin % is 2.83%, which is 36% below median its 10-year median of 4.41 and 52% below the Construction industry median of 5.89. Metallurgical of China's overall GF Score™ is 65/100 with 7 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 Metallurgical of China (MLLUY), the current Operating Margin % is 2.83% 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 Metallurgical of China (MLLUY) Overvalued in 2026?
Based on GuruFocus' analysis, Metallurgical of China stock appears to be overvalued.
The current stock price of $3.56 is trading 3.7% above its estimated GF Value™ of $3.43.
GuruFocus considers Metallurgical of China to be Fairly Valued.
Key valuation signals for MLLUY:
Operating Margin %: 2.83% (36% below median its 10-year median of 4.41)
GF Value™: $3.43 vs. price of $3.56 (3.7% above fair value)
Industry Position: 52% below the Construction median (#1155 of 1767)
No single metric tells the full story. See the MLLUY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Metallurgical Corp of China Ltd is a metallurgical engineering and construction group operating mainly in China. Its core activities include providing engineering, construction, and operational services for the iron and steel and non-ferrous metallurgy projects. The Group is also engaged in industrial construction across sectors such as electronics, precision manufacturing, light industry, petrochemicals, and power engineering, among others. Additionally, it undertakes capital construction projects, delivering full life-cycle services for urban renewal, residential, commercial, and office developments, infrastructure construction, and smart city development. The Group's reporting business segments are: Engineering Contracting, which generates the maximum revenue, and Featured Businesses.
65GF Score
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