Shiseido CoSSDOY -1.80%69 Operating Margin % is 5.32% as of Mar. 2026, which is 22% above its 10-year median of 4.35. GuruFocus rates SSDOY with a GF Score™ of 69/100 and a GF Value™ of $20.58 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 1,951 Consumer Packaged Goods companies, Shiseido Co ranks worse than 81.86% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Shiseido Co's Operating Income for the
three
months ended in Mar. 2026 was $78 Mil. Shiseido Co's Revenue for the
three
months ended in Mar. 2026 was $1,462 Mil. Therefore, Shiseido Co's Operating Margin % for the quarter that ended in Mar. 2026 was 5.32%.
The historical rank and industry rank for Shiseido Co's Operating Margin % or its related term are showing as below:
SSDOY'
s Operating Margin % Range Over the Past 10 Years
Min: -2.97 Med: 4.35 Max: 10.06
Current: -2.43
SSDOY's Operating Margin % is ranked worse than 81.86% of 1951
companies
in the Consumer Packaged Goods industry
Industry Median: 5.26
vs SSDOY: -2.43
Shiseido Co's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
Shiseido Co's Operating Income for the
three
months ended in Mar. 2026 was $78 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was $-166 Mil.
Warning Sign:
Shiseido Co Ltd has recorded a loss in operating income at least once over the past 3 years.
Shiseido Co (OTCPK:SSDOY) 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.
Shiseido Co Operating Margin % Related Terms
Shiseido Co Operating Margin % Historical Data
* Premium members only.
The historical data trend for Shiseido 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.
SSDOY vs PG, CL, KVUE: Operating Margin % Comparison
For the Household & Personal Products subindustry, Shiseido 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.
Shiseido Co Operating Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Shiseido Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Shiseido Co's Operating Margin % falls into.
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.
Shiseido Co's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as
* 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.
Shiseido Co (SSDOY) has a Operating Margin % of 5.32% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Shiseido Co and its competitors. This is 22% above median its historical median of 4.35. According to the industry distribution chart, Shiseido Co ranks #1597 out of 1951 companies in the Consumer Packaged Goods industry, placing it in the top 81.9%.
Is Shiseido Co's Operating Margin % too high?
Shiseido Co's current Operating Margin % of 5.32% is 22% above median its 10-year median of 4.35. The Consumer Packaged Goods industry median Operating Margin % is 5.26. Shiseido Co's value of 5.32% is 1.1% above this industry median. Based on the distribution chart, Shiseido Co ranks #1597 out of 1951 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, Shiseido Co has a GF Score™ of 69/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shiseido Co's Operating Margin % compare to PG and CL?
According to the Consumer Packaged Goods industry distribution chart, Shiseido Co ranks #1597 out of 1951 companies for Operating Margin %. This places Shiseido Co in the lower half of its industry. The industry median Operating Margin % is 5.26. Shiseido Co's value of 5.32% is 1.1% above this benchmark. While the company's 10-year median is 4.35 vs. the industry median of 5.26, Shiseido 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 Consumer Packaged Goods company?
The median Operating Margin % among Consumer Packaged Goods companies is 5.26, based on 1,951 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. Shiseido Co's current Operating Margin % of 5.32% is 1.1% 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 Shiseido Co and its competitors. For the Consumer Packaged Goods industry, the median Operating Margin % is 5.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shiseido Co's current Operating Margin % is 5.32%, which is 22% above median its own 10-year median of 4.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shiseido Co stock overvalued right now?
Based on GuruFocus' analysis, Shiseido Co (SSDOY) is currently considered Modestly Undervalued. The stock's GF Value™ is $20.58, compared to a current price of $15.44 — trading 25% below its estimated fair value. The current Operating Margin % is 5.32%, which is 22% above median its 10-year median of 4.35 and 1.1% above the Consumer Packaged Goods industry median of 5.26. Shiseido Co's overall GF Score™ is 69/100 with 6 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 Shiseido Co (SSDOY), the current Operating Margin % is 5.32% 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 Shiseido Co (SSDOY) Overvalued in 2026?
Based on GuruFocus' analysis, Shiseido Co stock appears to be undervalued.
The current stock price of $15.44 is trading 25% below its estimated GF Value™ of $20.58.
GuruFocus considers Shiseido Co to be Modestly Undervalued.
Key valuation signals for SSDOY:
Operating Margin %: 5.32% (22% above median its 10-year median of 4.35)
GF Value™: $20.58 vs. price of $15.44 (25% below fair value)
Industry Position: 1.1% above the Consumer Packaged Goods median (#1597 of 1951)
No single metric tells the full story. See the SSDOY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shiseido is a leading Japanese cosmetics manufacturer focused in the prestige and premium categories. Founded in 1872, it was the first Western-style pharmacy in Ginza, Tokyo, and is one of the oldest cosmetics companies globally. Shiseido's suite of 31 brands, which include its namesake brand, Clé de Peau Beauté, and NARS, had a 10.2% share of Japan's beauty and personal care market in 2024 according to Euromonitor. It is also ranked in the top 4-5 globally, with around 7% to 8% market share in premium and prestige color cosmetics and skincare. In terms of revenue, Japan and China, which include travel retail, are the two key markets making up 65% of group revenue in 2025.
69GF Score
Get the complete analysis for SSDOY
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