Guobang Pharma (SHSE:605507) Operating Margin %: 14.23% (As of Mar. 2026) — 19% Below Median

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SHSE:605507 Guobang Pharma Ltd SHSE:605507
88 GF Score
Price ¥16.30
GF Value ¥16.00
Valuation Fairly Valued
! 4 Warning Signs
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What is Guobang Pharma Operating Margin %?

Guobang Pharma SHSE:605507 +0.06% 88 Operating Margin % is 14.23% as of Mar. 2026, which is 19% below its 10-year median of 17.50. GuruFocus rates SHSE:605507 with a GF Score™ of 88/100 and a GF Value™ of ¥16.00 (Fairly Valued). The stock has 4 warning signs investors should review. Among 960 Drug Manufacturers companies, Guobang Pharma ranks better than 71.87% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Guobang Pharma's Operating Income for the three months ended in Mar. 2026 was ¥216 Mil. Guobang Pharma's Revenue for the three months ended in Mar. 2026 was ¥1,521 Mil. Therefore, Guobang Pharma's Operating Margin % for the quarter that ended in Mar. 2026 was 14.23%.

Warning Sign:

Guobang Pharma Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -8.9%.

The historical rank and industry rank for Guobang Pharma's Operating Margin % or its related term are showing as below:

SHSE:605507' s Operating Margin % Range Over the Past 10 Years
Min: 12.32   Med: 17.5   Max: 24.49
Current: 15.41


SHSE:605507's Operating Margin % is ranked better than
71.87% of 960 companies
in the Drug Manufacturers industry
Industry Median: 7.595 vs SHSE:605507: 15.41

Guobang Pharma's 5-Year Average Operating Margin % Growth Rate was -8.90% per year.

Guobang Pharma's Operating Income for the three months ended in Mar. 2026 was ¥216 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ¥939 Mil.


Guobang Pharma  (SHSE:605507) 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 Nokia’s 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.


Guobang Pharma Operating Margin % Related Terms


Guobang Pharma Operating Margin % Historical Data

* Premium members only.

The historical data trend for Guobang Pharma'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.

Guobang Pharma Operating Margin % Chart

Guobang Pharma Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only 19.50 17.50 12.32 15.02 16.00

Guobang Pharma Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 16.63 17.87 16.40 13.12 14.23

SHSE:605507 vs ZTS: Operating Margin % Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Guobang Pharma'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.


Guobang Pharma Operating Margin % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Guobang Pharma's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Guobang Pharma's Operating Margin % falls into.


SHSE:605507
88GF Score
Guobang Pharma Ltd SHSE:605507
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Guobang Pharma 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.

Guobang Pharma's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=961.882 / 6011.397
=16.00 %

Guobang Pharma's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=216.467 / 1520.88
=14.23 %

* 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.

Frequently Asked Questions Learn more about Operating Margin % →
What does a Operating Margin % of 14.23% mean?
Guobang Pharma (SHSE:605507) has a Operating Margin % of 14.23% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Guobang Pharma and its competitors. This is 19% below median its historical median of 17.50. Over the past decade, Guobang Pharma's Operating Margin % has ranged from 12.32 to 24.49. According to the industry distribution chart, Guobang Pharma ranks #270 out of 960 companies in the Drug Manufacturers industry, placing it in the top 28.1%.
Is Guobang Pharma's Operating Margin % too high?
Guobang Pharma's current Operating Margin % of 14.23% is 19% below median its 10-year median of 17.50. Over the past 10 years, this metric has ranged from a low of 12.32 to a high of 24.49. The Drug Manufacturers industry median Operating Margin % is 7.60. Guobang Pharma's value of 14.23% is 87.4% above this industry median. Based on the distribution chart, Guobang Pharma ranks #270 out of 960 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Guobang Pharma has a GF Score™ of 88/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Guobang Pharma's Operating Margin % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Guobang Pharma ranks #270 out of 960 companies for Operating Margin %. This puts Guobang Pharma in the upper half of its industry. The industry median Operating Margin % is 7.60. Guobang Pharma's value of 14.23% is 87.4% above this benchmark. Historically, Guobang Pharma's own Operating Margin % has ranged from 12.32 to 24.49 over the past decade. While the company's 10-year median is 17.50 vs. the industry median of 7.60, Guobang Pharma 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 7.60, 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. Guobang Pharma's current Operating Margin % of 14.23% is 87.4% 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 Guobang Pharma and its competitors. For the Drug Manufacturers industry, the median Operating Margin % is 7.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Guobang Pharma's current Operating Margin % is 14.23%, which is 19% below median its own 10-year median of 17.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Guobang Pharma stock overvalued right now?
Based on GuruFocus' analysis, Guobang Pharma (SHSE:605507) is currently considered Fairly Valued. The stock's GF Value™ is ¥16.00, compared to a current price of ¥16.30 — trading 1.9% above its estimated fair value. The current Operating Margin % is 14.23%, which is 19% below median its 10-year median of 17.50 and 87.4% above the Drug Manufacturers industry median of 7.60. Guobang Pharma's overall GF Score™ is 88/100 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 Guobang Pharma (SHSE:605507), the current Operating Margin % is 14.23% 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 Guobang Pharma (SHSE:605507) Overvalued in 2026?

Based on GuruFocus' analysis, Guobang Pharma stock appears to be overvalued. The current stock price of ¥16.30 is trading 1.9% above its estimated GF Value™ of ¥16.00. GuruFocus considers Guobang Pharma to be Fairly Valued.

Key valuation signals for SHSE:605507:

  • Operating Margin %: 14.23% (19% below median its 10-year median of 17.50)
  • GF Value™: ¥16.00 vs. price of ¥16.30 (1.9% above fair value)
  • GF Score™: 88/100 with 4 warning signs
  • Industry Position: 87.4% above the Drug Manufacturers median (#270 of 960)

No single metric tells the full story. See the SHSE:605507 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Guobang Pharma Business Description

Address No. 60, Xingmei Avenue, Provincial High-tech Industrial Park, Zhejiang Province, Xinchang, CHN, 312500
Guobang Pharma Ltd is engaged in the research and development, production and sales of related products in the field of medicine and animal health products.
88GF Score

Get the complete analysis for SHSE:605507

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

¥16.30
Price
¥16.00
GF Value