Guotai Epoint Sofware Co (SHSE:688232) Operating Margin %: -24.70% (As of Mar. 2026)


SHSE:688232 Guotai Epoint Sofware Co Ltd SHSE:688232
73 GF Score
Price ¥17.70
GF Value ¥22.47
Valuation Modestly Undervalued
! 7 Warning Signs
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What is Guotai Epoint Sofware Co Operating Margin %?

Guotai Epoint Sofware Co SHSE:688232 -4.48% 73 Operating Margin % is -24.70% as of Mar. 2026. GuruFocus rates SHSE:688232 with a GF Score™ of 73/100 and a GF Value™ of ¥22.47 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 2,818 Software companies, Guotai Epoint Sofware Co ranks worse than 50.11% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Guotai Epoint Sofware Co's Operating Income for the three months ended in Mar. 2026 was ¥-66 Mil. Guotai Epoint Sofware Co's Revenue for the three months ended in Mar. 2026 was ¥268 Mil. Therefore, Guotai Epoint Sofware Co's Operating Margin % for the quarter that ended in Mar. 2026 was -24.70%.

Warning Sign:

Guotai Epoint Sofware Co Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -32.3%.

The historical rank and industry rank for Guotai Epoint Sofware Co's Operating Margin % or its related term are showing as below:

SHSE:688232' s Operating Margin % Range Over the Past 10 Years
Min: 2.98   Med: 20.17   Max: 100
Current: 3.84


SHSE:688232's Operating Margin % is ranked worse than
50.11% of 2818 companies
in the Software industry
Industry Median: 3.865 vs SHSE:688232: 3.84

Guotai Epoint Sofware Co's 5-Year Average Operating Margin % Growth Rate was -32.30% per year.

Guotai Epoint Sofware Co's Operating Income for the three months ended in Mar. 2026 was ¥-66 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ¥70 Mil.


Guotai Epoint Sofware Co  (SHSE:688232) 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.


Guotai Epoint Sofware Co Operating Margin % Related Terms


Guotai Epoint Sofware Co Operating Margin % Historical Data

* Premium members only.

The historical data trend for Guotai Epoint Sofware 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.

Guotai Epoint Sofware Co Operating Margin % Chart

Guotai Epoint Sofware Co Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only 20.41 18.22 6.07 8.84 2.98

Guotai Epoint Sofware Co 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 -29.54 -6.34 -0.31 20.73 -24.70

SHSE:688232 vs CRM, SHOP, UBER: Operating Margin % Comparison

For the Software - Application subindustry, Guotai Epoint Sofware 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.


Guotai Epoint Sofware Co Operating Margin % vs Software Industry

For the Software industry and Technology sector, Guotai Epoint Sofware Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Guotai Epoint Sofware Co's Operating Margin % falls into.


SHSE:688232
73GF Score
Guotai Epoint Sofware Co Ltd SHSE:688232
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Guotai Epoint Sofware 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.

Guotai Epoint Sofware Co'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 )
=54.785 / 1837.027
=2.98 %

Guotai Epoint Sofware Co'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 )
=-66.303 / 268.442
=-24.70 %

* 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 -24.70% mean?
Guotai Epoint Sofware Co (SHSE:688232) has a Operating Margin % of -24.70% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Guotai Epoint Sofware Co and its competitors. Over the past decade, Guotai Epoint Sofware Co's Operating Margin % has ranged from 2.98 to 100.00. According to the industry distribution chart, Guotai Epoint Sofware Co ranks #1412 out of 2818 companies in the Software industry, placing it in the top 50.1%.
Is Guotai Epoint Sofware Co's Operating Margin % too high?
Guotai Epoint Sofware Co's current Operating Margin % is -24.70%. Over the past 10 years, this metric has ranged from a low of 2.98 to a high of 100.00. Based on the distribution chart, Guotai Epoint Sofware Co ranks #1412 out of 2818 companies in the Software industry, which is below the industry midpoint. Overall, Guotai Epoint Sofware Co has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Guotai Epoint Sofware Co's Operating Margin % compare to CRM and SHOP?
According to the Software industry distribution chart, Guotai Epoint Sofware Co ranks #1412 out of 2818 companies for Operating Margin %. This places Guotai Epoint Sofware Co in the lower half of its industry. The industry median Operating Margin % is 3.87. Historically, Guotai Epoint Sofware Co's own Operating Margin % has ranged from 2.98 to 100.00 over the past decade. 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 Software company?
The median Operating Margin % among Software companies is 3.87, based on 2,818 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. 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 Guotai Epoint Sofware Co and its competitors. For the Software industry, the median Operating Margin % is 3.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Guotai Epoint Sofware Co's current Operating Margin % is -24.70%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Guotai Epoint Sofware Co stock overvalued right now?
Based on GuruFocus' analysis, Guotai Epoint Sofware Co (SHSE:688232) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥22.47, compared to a current price of ¥17.70 — trading 21.2% below its estimated fair value. The current Operating Margin % is -24.70%. Guotai Epoint Sofware Co's overall GF Score™ is 73/100 with 7 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 Guotai Epoint Sofware Co (SHSE:688232), the current Operating Margin % is -24.70% 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 Guotai Epoint Sofware Co (SHSE:688232) Overvalued in 2026?

Based on GuruFocus' analysis, Guotai Epoint Sofware Co stock appears to be undervalued. The current stock price of ¥17.70 is trading 21.2% below its estimated GF Value™ of ¥22.47. GuruFocus considers Guotai Epoint Sofware Co to be Modestly Undervalued.

Key valuation signals for SHSE:688232:

  • Operating Margin %: -24.70%
  • GF Value™: ¥22.47 vs. price of ¥17.70 (21.2% below fair value)
  • GF Score™: 73/100 with 7 warning signs

No single metric tells the full story. See the SHSE:688232 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Guotai Epoint Sofware Co Business Description

Address Changxing Road, Zhangjiagang Economic Development Zone, Jiangsu Province, Zhangjiagang, Suzhou, CHN, 215600
Guotai Epoint Sofware Co Ltd provides software-centric smart overall solutions for the three sub-fields of smart recruitment, smart government and digital construction in smart cities.
73GF Score

Get the complete analysis for SHSE:688232

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

¥17.70
Price
¥22.47
GF Value