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SHSE:600738'
s Operating Margin % Range Over the Past 10 Years
Min: 16.27 Med: 24.5 Max: 40.85
Current: 38.48
SHSE:600738's Operating Margin % is ranked better than 98.76% of 1128
companies
in the Retail - Cyclical industry
Industry Median: 3.89
vs SHSE:600738: 38.48
Lanzhou Lishang Guochao Industrial Group Co (SHSE:600738) 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.
Lanzhou Lishang Guochao Industrial Group Co Operating Margin % Related Terms
Lanzhou Lishang Guochao Industrial Group 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.
Lanzhou Lishang Guochao Industrial Group Co Operating Margin % Chart
Lanzhou Lishang Guochao Industrial Group Co Annual Data
For the Department Stores subindustry, Lanzhou Lishang Guochao Industrial Group 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.
Lanzhou Lishang Guochao Industrial Group Co Operating Margin % vs Retail - Cyclical Industry
Lanzhou Lishang Guochao Industrial Group 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.
* 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.
Lanzhou Lishang Guochao Industrial Group Co (SHSE:600738) has a Operating Margin % of 45.99% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Lanzhou Lishang Guochao Industrial Group Co and its competitors. This is 88% above median its historical median of 24.50. Over the past decade, Lanzhou Lishang Guochao Industrial Group Co's Operating Margin % has ranged from 16.27 to 40.85. According to the industry distribution chart, Lanzhou Lishang Guochao Industrial Group Co ranks #14 out of 1128 companies in the Retail - Cyclical industry, placing it in the top 1.2%.
Is Lanzhou Lishang Guochao Industrial Group Co's Operating Margin % too high?
Lanzhou Lishang Guochao Industrial Group Co's current Operating Margin % of 45.99% is 88% above median its 10-year median of 24.50. Over the past 10 years, this metric has ranged from a low of 16.27 to a high of 40.85. The Retail - Cyclical industry median Operating Margin % is 3.89. Lanzhou Lishang Guochao Industrial Group Co's value of 45.99% is 1082.3% above this industry median. Based on the distribution chart, Lanzhou Lishang Guochao Industrial Group Co ranks #14 out of 1128 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Lanzhou Lishang Guochao Industrial Group Co has a GF Score™ of 63/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lanzhou Lishang Guochao Industrial Group Co's Operating Margin % compare to DDS?
According to the Retail - Cyclical industry distribution chart, Lanzhou Lishang Guochao Industrial Group Co ranks #14 out of 1128 companies for Operating Margin %. This places Lanzhou Lishang Guochao Industrial Group Co in the top 1% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.89. Lanzhou Lishang Guochao Industrial Group Co's value of 45.99% is 1082.3% above this benchmark. Historically, Lanzhou Lishang Guochao Industrial Group Co's own Operating Margin % has ranged from 16.27 to 40.85 over the past decade. While the company's 10-year median is 24.50 vs. the industry median of 3.89, Lanzhou Lishang Guochao Industrial Group 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 Retail - Cyclical company?
The median Operating Margin % among Retail - Cyclical companies is 3.89, based on 1,128 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. Lanzhou Lishang Guochao Industrial Group Co's current Operating Margin % of 45.99% is 1082.3% 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 Lanzhou Lishang Guochao Industrial Group Co and its competitors. For the Retail - Cyclical industry, the median Operating Margin % is 3.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lanzhou Lishang Guochao Industrial Group Co's current Operating Margin % is 45.99%, which is 88% above median its own 10-year median of 24.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lanzhou Lishang Guochao Industrial Group Co stock overvalued right now?
Based on GuruFocus' analysis, Lanzhou Lishang Guochao Industrial Group Co (SHSE:600738) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥4.54, compared to a current price of ¥3.70 — trading 18.5% below its estimated fair value. The current Operating Margin % is 45.99%, which is 88% above median its 10-year median of 24.50 and 1082.3% above the Retail - Cyclical industry median of 3.89. Lanzhou Lishang Guochao Industrial Group 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 Lanzhou Lishang Guochao Industrial Group Co (SHSE:600738), the current Operating Margin % is 45.99% 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 Lanzhou Lishang Guochao Industrial Group Co (SHSE:600738) Overvalued in 2026?
Based on GuruFocus' analysis, Lanzhou Lishang Guochao Industrial Group Co stock appears to be undervalued.
The current stock price of ¥3.70 is trading 18.5% below its estimated GF Value™ of ¥4.54.
GuruFocus considers Lanzhou Lishang Guochao Industrial Group Co to be Modestly Undervalued.
Key valuation signals for SHSE:600738:
Operating Margin %: 45.99% (88% above median its 10-year median of 24.50)
GF Value™: ¥4.54 vs. price of ¥3.70 (18.5% below fair value)
Industry Position: 1082.3% above the Retail - Cyclical median (#14 of 1128)
No single metric tells the full story. See the SHSE:600738 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lanzhou Lishang Guochao Industrial Group Co Business Description
Lanzhou Lishang Guochao Industrial Group Co Ltd is engaged in retail department stores, restaurants and hotels in Lanzhou, professional market management in Nanjing, and unified operation and management of professional markets and comprehensive shopping malls in Hangzhou and Shanghai.
63GF Score
Get the complete analysis for SHSE:600738
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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