Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
SHSE:603707'
s Operating Margin % Range Over the Past 10 Years
Min: 14.33 Med: 26.94 Max: 33.68
Current: 14.33
SHSE:603707's Operating Margin % is ranked better than 68.96% of 960
companies
in the Drug Manufacturers industry
Industry Median: 7.51
vs SHSE:603707: 14.33
Nanjing King-Friend Biochemical Pharmaceutical Co (SHSE:603707) 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.
Nanjing King-Friend Biochemical Pharmaceutical Co Operating Margin % Related Terms
Nanjing King-Friend Biochemical Pharmaceutical 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.
Nanjing King-Friend Biochemical Pharmaceutical Co Operating Margin % Chart
Nanjing King-Friend Biochemical Pharmaceutical Co Annual Data
SHSE:603707 vs ZTS, UTHR: Operating Margin % Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Nanjing King-Friend Biochemical Pharmaceutical 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.
Nanjing King-Friend Biochemical Pharmaceutical Co Operating Margin % vs Drug Manufacturers Industry
Nanjing King-Friend Biochemical Pharmaceutical 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.
Nanjing King-Friend Biochemical Pharmaceutical Co (SHSE:603707) has a Operating Margin % of 10.94% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Nanjing King-Friend Biochemical Pharmaceutical Co and its competitors. This is 59% below median its historical median of 26.94. Over the past decade, Nanjing King-Friend Biochemical Pharmaceutical Co's Operating Margin % has ranged from 14.33 to 33.68. According to the industry distribution chart, Nanjing King-Friend Biochemical Pharmaceutical Co ranks #298 out of 960 companies in the Drug Manufacturers industry, placing it in the top 31%.
Is Nanjing King-Friend Biochemical Pharmaceutical Co's Operating Margin % too high?
Nanjing King-Friend Biochemical Pharmaceutical Co's current Operating Margin % of 10.94% is 59% below median its 10-year median of 26.94. Over the past 10 years, this metric has ranged from a low of 14.33 to a high of 33.68. The Drug Manufacturers industry median Operating Margin % is 7.51. Nanjing King-Friend Biochemical Pharmaceutical Co's value of 10.94% is 45.7% above this industry median. Based on the distribution chart, Nanjing King-Friend Biochemical Pharmaceutical Co ranks #298 out of 960 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Nanjing King-Friend Biochemical Pharmaceutical Co has a GF Score™ of 65/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nanjing King-Friend Biochemical Pharmaceutical Co's Operating Margin % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Nanjing King-Friend Biochemical Pharmaceutical Co ranks #298 out of 960 companies for Operating Margin %. This puts Nanjing King-Friend Biochemical Pharmaceutical Co in the upper half of its industry. The industry median Operating Margin % is 7.51. Nanjing King-Friend Biochemical Pharmaceutical Co's value of 10.94% is 45.7% above this benchmark. Historically, Nanjing King-Friend Biochemical Pharmaceutical Co's own Operating Margin % has ranged from 14.33 to 33.68 over the past decade. While the company's 10-year median is 26.94 vs. the industry median of 7.51, Nanjing King-Friend Biochemical Pharmaceutical 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 Drug Manufacturers company?
The median Operating Margin % among Drug Manufacturers companies is 7.51, based on 960 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. Nanjing King-Friend Biochemical Pharmaceutical Co's current Operating Margin % of 10.94% is 45.7% 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 Nanjing King-Friend Biochemical Pharmaceutical Co and its competitors. For the Drug Manufacturers industry, the median Operating Margin % is 7.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nanjing King-Friend Biochemical Pharmaceutical Co's current Operating Margin % is 10.94%, which is 59% below median its own 10-year median of 26.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nanjing King-Friend Biochemical Pharmaceutical Co stock overvalued right now?
Based on GuruFocus' analysis, Nanjing King-Friend Biochemical Pharmaceutical Co (SHSE:603707) is currently considered Significantly Undervalued. The stock's GF Value™ is ¥12.70, compared to a current price of ¥7.55 — trading 40.6% below its estimated fair value. The current Operating Margin % is 10.94%, which is 59% below median its 10-year median of 26.94 and 45.7% above the Drug Manufacturers industry median of 7.51. Nanjing King-Friend Biochemical Pharmaceutical Co's overall GF Score™ is 65/100 with 4 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 Nanjing King-Friend Biochemical Pharmaceutical Co (SHSE:603707), the current Operating Margin % is 10.94% 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 Nanjing King-Friend Biochemical Pharmaceutical Co (SHSE:603707) Overvalued in 2026?
Based on GuruFocus' analysis, Nanjing King-Friend Biochemical Pharmaceutical Co stock appears to be undervalued.
The current stock price of ¥7.55 is trading 40.6% below its estimated GF Value™ of ¥12.70.
GuruFocus considers Nanjing King-Friend Biochemical Pharmaceutical Co to be Significantly Undervalued.
Key valuation signals for SHSE:603707:
Operating Margin %: 10.94% (59% below median its 10-year median of 26.94)
GF Value™: ¥12.70 vs. price of ¥7.55 (40.6% below fair value)
Industry Position: 45.7% above the Drug Manufacturers median (#298 of 960)
No single metric tells the full story. See the SHSE:603707 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nanjing King-Friend Biochemical Pharmaceutical Co Business Description
Nanjing King-Friend Biochemical Pharmaceutical Co Ltd is a China-based company engaged in the research and development, import and export of medicines and health products. The main products of the company are Heparin sodium and low molecular weight heparin. Geographically, the business activities are carried out through China and it exports the product mainly to the European and American countries.
65GF Score
Get the complete analysis for SHSE:603707
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SHSE:603707 has been successfully added to your 
