China Resources MicroelectronicsSHSE:688396 85 Operating Margin % is 11.51% as of Mar. 2026, which is 7% above its 10-year median of 10.77. GuruFocus rates SHSE:688396 with a GF Score™ of 85/100 and a GF Value™ of ¥55.88 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 1,023 Semiconductors companies, China Resources Microelectronics ranks better than 65% on this metric.
China Resources Microelectronics Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -10.4%.
The historical rank and industry rank for China Resources Microelectronics's Operating Margin % or its related term are showing as below:
SHSE:688396'
s Operating Margin % Range Over the Past 10 Years
Min: -2.7 Med: 10.77 Max: 22.49
Current: 10.99
SHSE:688396's Operating Margin % is ranked better than 65% of 1023
companies
in the Semiconductors industry
Industry Median: 5.24
vs SHSE:688396: 10.99
China Resources Microelectronics (SHSE:688396) 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.
China Resources Microelectronics Operating Margin % Related Terms
China Resources Microelectronics 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.
China Resources Microelectronics Operating Margin % Chart
SHSE:688396 vs NVDA, AVGO, MU: Operating Margin % Comparison
For the Semiconductors subindustry, China Resources Microelectronics'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.
China Resources Microelectronics Operating Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, China Resources Microelectronics's Operating Margin % distribution charts can be found below:
* The bar in red indicates where China Resources Microelectronics's Operating Margin % falls into.
China Resources Microelectronics 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.
China Resources Microelectronics (SHSE:688396) has a Operating Margin % of 11.51% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on China Resources Microelectronics and its competitors. This is near median its historical median of 10.77. According to the industry distribution chart, China Resources Microelectronics ranks #358 out of 1023 companies in the Semiconductors industry, placing it in the top 35%.
Is China Resources Microelectronics' Operating Margin % too high?
China Resources Microelectronics' current Operating Margin % of 11.51% is near median its 10-year median of 10.77. The Semiconductors industry median Operating Margin % is 5.24. China Resources Microelectronics' value of 11.51% is 119.7% above this industry median. Based on the distribution chart, China Resources Microelectronics ranks #358 out of 1023 companies in the Semiconductors industry, which is above the industry midpoint. Overall, China Resources Microelectronics has a GF Score™ of 85/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does China Resources Microelectronics' Operating Margin % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, China Resources Microelectronics ranks #358 out of 1023 companies for Operating Margin %. This puts China Resources Microelectronics in the upper half of its industry. The industry median Operating Margin % is 5.24. China Resources Microelectronics' value of 11.51% is 119.7% above this benchmark. While the company's 10-year median is 10.77 vs. the industry median of 5.24, China Resources Microelectronics 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 Semiconductors company?
The median Operating Margin % among Semiconductors companies is 5.24, based on 1,023 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. China Resources Microelectronics's current Operating Margin % of 11.51% is 119.7% 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 China Resources Microelectronics and its competitors. For the Semiconductors industry, the median Operating Margin % is 5.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Resources Microelectronics's current Operating Margin % is 11.51%, which is near median its own 10-year median of 10.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Resources Microelectronics stock overvalued right now?
Based on GuruFocus' analysis, China Resources Microelectronics (SHSE:688396) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥55.88, compared to a current price of ¥84.72 — trading 51.6% above its estimated fair value. The current Operating Margin % is 11.51%, which is near median its 10-year median of 10.77 and 119.7% above the Semiconductors industry median of 5.24. China Resources Microelectronics' overall GF Score™ is 85/100 with 10 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 China Resources Microelectronics (SHSE:688396), the current Operating Margin % is 11.51% 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 China Resources Microelectronics (SHSE:688396) Overvalued in 2026?
Based on GuruFocus' analysis, China Resources Microelectronics stock appears to be overvalued.
The current stock price of ¥84.72 is trading 51.6% above its estimated GF Value™ of ¥55.88.
GuruFocus considers China Resources Microelectronics to be Significantly Overvalued.
Key valuation signals for SHSE:688396:
Operating Margin %: 11.51% (near median its 10-year median of 10.77)
GF Value™: ¥55.88 vs. price of ¥84.72 (51.6% above fair value)
Industry Position: 119.7% above the Semiconductors median (#358 of 1023)
No single metric tells the full story. See the SHSE:688396 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Resources Microelectronics Business Description
China Resources Microelectronics Ltd is engaged in designing, producing, and selling power semiconductors, smart sensors and smart control products, as well as providing open wafer manufacturing, packaging and testing, and other manufacturing services.
85GF Score
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