Johnson Fine Chemical CoROCO:7763 26 Operating Margin % is 22.81% as of Dec. 2025, which is 6% above its 10-year median of 21.58. GuruFocus rates ROCO:7763 with a GF Score™ of 26/100. The stock has 1 warning sign investors should review. Among 1,577 Chemicals companies, Johnson Fine Chemical Co ranks better than 96.32% on this metric.
Johnson Fine Chemical Co (ROCO:7763) 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.
Johnson Fine Chemical Co Operating Margin % Related Terms
Johnson Fine Chemical Co 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.
ROCO:7763 vs LIN, SHW, ECL: Operating Margin % Comparison
For the Specialty Chemicals subindustry, Johnson Fine Chemical 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.
Johnson Fine Chemical Co Operating Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Johnson Fine Chemical Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Johnson Fine Chemical Co's Operating Margin % falls into.
Johnson Fine Chemical 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.
Johnson Fine Chemical Co'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.
Johnson Fine Chemical Co (ROCO:7763) has a Operating Margin % of 22.81% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Johnson Fine Chemical Co and its competitors. This is near median its historical median of 21.58. Over the past decade, Johnson Fine Chemical Co's Operating Margin % has ranged from 17.69 to 25.90. According to the industry distribution chart, Johnson Fine Chemical Co ranks #58 out of 1577 companies in the Chemicals industry, placing it in the top 3.7%.
Is Johnson Fine Chemical Co's Operating Margin % too high?
Johnson Fine Chemical Co's current Operating Margin % of 22.81% is near median its 10-year median of 21.58. Over the past 10 years, this metric has ranged from a low of 17.69 to a high of 25.90. The Chemicals industry median Operating Margin % is 6.03. Johnson Fine Chemical Co's value of 22.81% is 278.3% above this industry median. Based on the distribution chart, Johnson Fine Chemical Co ranks #58 out of 1577 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Johnson Fine Chemical Co has a GF Score™ of 26/100, reflecting its overall financial health beyond just this single metric.
How does Johnson Fine Chemical Co's Operating Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Johnson Fine Chemical Co ranks #58 out of 1577 companies for Operating Margin %. This places Johnson Fine Chemical Co in the top 4% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 6.03. Johnson Fine Chemical Co's value of 22.81% is 278.3% above this benchmark. Historically, Johnson Fine Chemical Co's own Operating Margin % has ranged from 17.69 to 25.90 over the past decade. While the company's 10-year median is 21.58 vs. the industry median of 6.03, Johnson Fine Chemical Co 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 Chemicals company?
The median Operating Margin % among Chemicals companies is 6.03, based on 1,577 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. Johnson Fine Chemical Co's current Operating Margin % of 22.81% is 278.3% 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 Johnson Fine Chemical Co and its competitors. For the Chemicals industry, the median Operating Margin % is 6.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Johnson Fine Chemical Co's current Operating Margin % is 22.81%, which is near median its own 10-year median of 21.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Johnson Fine Chemical Co stock overvalued right now?
Johnson Fine Chemical Co (ROCO:7763) has a current Operating Margin % of 22.81%. The current Operating Margin % is 22.81%, which is near median its 10-year median of 21.58 and 278.3% above the Chemicals industry median of 6.03. Johnson Fine Chemical Co's overall GF Score™ is 26/100 with 1 warning sign 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 Johnson Fine Chemical Co (ROCO:7763), the current Operating Margin % is 22.81% 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.
Johnson Fine Chemical Co Ltd manufactures amine-based and isocyanate-based hardenders/curing agents for CASE fields (Casting, Adhesive, Sealant, Elastomer), such as MOCA. The group is devoted to developing specialty chemicals including specialty raw materials such as monofunctional isocyanate, 1,5-diisocyanate-naphthalene, dimethylation diamino thouene, etc. Its products are Amine Curing Agent, Isocyanate Curing Agent, Isocyanate Crosslinker, Dehydrating Agent, Cesium Tungsten Oxide, and Coating System.
26GF Score
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