West Japan Railway CoNGO:9021 63 Operating Margin % is 0.19% as of Mar. 2026, which is 98% below its 10-year median of 10.69. GuruFocus rates NGO:9021 with a GF Score™ of 63/100 and a GF Value™ of 円3,301.22. The stock has 3 warning signs investors should review. Among 1,007 Transportation companies, West Japan Railway Co ranks better than 62.46% on this metric.
West Japan Railway Co (NGO:9021) 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.
West Japan Railway Co Operating Margin % Related Terms
West Japan Railway Co Operating Margin % Historical Data
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The historical data trend for West Japan Railway Co'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.
NGO:9021 vs UNP, CSX, NSC: Operating Margin % Comparison
For the Railroads subindustry, West Japan Railway Co'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.
West Japan Railway Co Operating Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, West Japan Railway Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where West Japan Railway Co's Operating Margin % falls into.
West Japan Railway Co 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.
West Japan Railway Co's Operating Margin % for the fiscal year that ended in Mar. 2026 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.
West Japan Railway Co (NGO:9021) has a Operating Margin % of 0.19% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on West Japan Railway Co and its competitors. This is 98% below median its historical median of 10.69. According to the industry distribution chart, West Japan Railway Co ranks #378 out of 1007 companies in the Transportation industry, placing it in the top 37.5%.
Is West Japan Railway Co's Operating Margin % too high?
West Japan Railway Co's current Operating Margin % of 0.19% is 98% below median its 10-year median of 10.69. The Transportation industry median Operating Margin % is 7.36. West Japan Railway Co's value of 0.19% is 97.4% below this industry median. Based on the distribution chart, West Japan Railway Co ranks #378 out of 1007 companies in the Transportation industry, which is above the industry midpoint. Overall, West Japan Railway Co has a GF Score™ of 63/100, reflecting its overall financial health beyond just this single metric.
How does West Japan Railway Co's Operating Margin % compare to UNP and CSX?
According to the Transportation industry distribution chart, West Japan Railway Co ranks #378 out of 1007 companies for Operating Margin %. This puts West Japan Railway Co in the upper half of its industry. The industry median Operating Margin % is 7.36. West Japan Railway Co's value of 0.19% is 97.4% below this benchmark. While the company's 10-year median is 10.69 vs. the industry median of 7.36, West Japan Railway Co 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 Transportation company?
The median Operating Margin % among Transportation companies is 7.36, based on 1,007 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. West Japan Railway Co's current Operating Margin % of 0.19% is 97.4% 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 West Japan Railway Co and its competitors. For the Transportation industry, the median Operating Margin % is 7.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. West Japan Railway Co's current Operating Margin % is 0.19%, which is 98% below median its own 10-year median of 10.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is West Japan Railway Co stock overvalued right now?
West Japan Railway Co (NGO:9021) has a current Operating Margin % of 0.19%. The stock's GF Value™ is 円3,301.22, compared to a current price of 円2,501.00 — trading 24.2% below its estimated fair value. The current Operating Margin % is 0.19%, which is 98% below median its 10-year median of 10.69 and 97.4% below the Transportation industry median of 7.36. West Japan Railway Co's overall GF Score™ is 63/100 with 3 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 West Japan Railway Co (NGO:9021), the current Operating Margin % is 0.19% 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 West Japan Railway Co (NGO:9021) Overvalued in 2026?
Based on GuruFocus' analysis, West Japan Railway Co stock appears to be undervalued.
The current stock price of 円2,501.00 is trading 24.2% below its estimated GF Value™ of 円3,301.22.
Key valuation signals for NGO:9021:
Operating Margin %: 0.19% (98% below median its 10-year median of 10.69)
GF Value™: 円3,301.22 vs. price of 円2,501.00 (24.2% below fair value)
Industry Position: 97.4% below the Transportation median (#378 of 1007)
No single metric tells the full story. See the NGO:9021 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
West Japan Railway, or JR West, is the main railway operator in Western Japan, headquartered in Osaka. It was originally established when the government-owned nationwide railway operator underwent a six-way territorial split in 1987. Its main assets are the Sanyo Shinkansen, which stretches from Osaka to Fukuoka, and the urban rail network in the Osaka-Kobe-Kyoto metropolitan area. Its nearly 5,000 kilometers of rail track covers a third of Japan's population and a fifth of its land area. Rail operations contribute more than half of revenue, with most of the balance from retail operations, real estate investments, travel agencies, and hotels.
63GF Score
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