Shaanxi Panlong Pharmaceutical Group Co (SZSE:002864) Operating Margin %: 16.02% (As of Mar. 2026) — 25% Above Median

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SZSE:002864 Shaanxi Panlong Pharmaceutical Group Co Ltd SZSE:002864
83 GF Score
Price ¥28.33
GF Value ¥32.05
Valuation Modestly Undervalued
! 5 Warning Signs
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What is Shaanxi Panlong Pharmaceutical Group Co Operating Margin %?

Shaanxi Panlong Pharmaceutical Group Co SZSE:002864 -0.84% 83 Operating Margin % is 16.02% as of Mar. 2026, which is 25% above its 10-year median of 12.79. GuruFocus rates SZSE:002864 with a GF Score™ of 83/100 and a GF Value™ of ¥32.05 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 959 Drug Manufacturers companies, Shaanxi Panlong Pharmaceutical Group Co ranks better than 58.92% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Shaanxi Panlong Pharmaceutical Group Co's Operating Income for the three months ended in Mar. 2026 was ¥36 Mil. Shaanxi Panlong Pharmaceutical Group Co's Revenue for the three months ended in Mar. 2026 was ¥223 Mil. Therefore, Shaanxi Panlong Pharmaceutical Group Co's Operating Margin % for the quarter that ended in Mar. 2026 was 16.02%.

Warning Sign:

Shaanxi Panlong Pharmaceutical Group Co Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -4.1%.

The historical rank and industry rank for Shaanxi Panlong Pharmaceutical Group Co's Operating Margin % or its related term are showing as below:

SZSE:002864' s Operating Margin % Range Over the Past 10 Years
Min: 10.72   Med: 12.79   Max: 14.67
Current: 11.32


SZSE:002864's Operating Margin % is ranked better than
58.92% of 959 companies
in the Drug Manufacturers industry
Industry Median: 7.59 vs SZSE:002864: 11.32

Shaanxi Panlong Pharmaceutical Group Co's 5-Year Average Operating Margin % Growth Rate was -4.10% per year.

Shaanxi Panlong Pharmaceutical Group Co's Operating Income for the three months ended in Mar. 2026 was ¥36 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ¥126 Mil.


Shaanxi Panlong Pharmaceutical Group Co  (SZSE:002864) 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.


Shaanxi Panlong Pharmaceutical Group Co Operating Margin % Related Terms


Shaanxi Panlong Pharmaceutical Group Co Operating Margin % Historical Data

* Premium members only.

The historical data trend for Shaanxi Panlong Pharmaceutical Group 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.

Shaanxi Panlong Pharmaceutical Group Co Operating Margin % Chart

Shaanxi Panlong Pharmaceutical Group Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.40 12.80 12.78 12.00 10.72

Shaanxi Panlong Pharmaceutical Group 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 12.76 11.23 12.92 6.49 16.02

SZSE:002864 vs ZTS, UTHR: Operating Margin % Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Shaanxi Panlong Pharmaceutical Group 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.


Shaanxi Panlong Pharmaceutical Group Co Operating Margin % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Shaanxi Panlong Pharmaceutical Group Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Shaanxi Panlong Pharmaceutical Group Co's Operating Margin % falls into.


SZSE:002864
83GF Score
Shaanxi Panlong Pharmaceutical Group Co Ltd SZSE:002864
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shaanxi Panlong Pharmaceutical Group 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.

Shaanxi Panlong Pharmaceutical Group 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 )
=122.279 / 1140.869
=10.72 %

Shaanxi Panlong Pharmaceutical Group 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 )
=35.645 / 222.542
=16.02 %

* 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 16.02% mean?
Shaanxi Panlong Pharmaceutical Group Co (SZSE:002864) has a Operating Margin % of 16.02% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Shaanxi Panlong Pharmaceutical Group Co and its competitors. This is 25% above median its historical median of 12.79. Over the past decade, Shaanxi Panlong Pharmaceutical Group Co's Operating Margin % has ranged from 10.72 to 14.67. According to the industry distribution chart, Shaanxi Panlong Pharmaceutical Group Co ranks #394 out of 959 companies in the Drug Manufacturers industry, placing it in the top 41.1%.
Is Shaanxi Panlong Pharmaceutical Group Co's Operating Margin % too high?
Shaanxi Panlong Pharmaceutical Group Co's current Operating Margin % of 16.02% is 25% above median its 10-year median of 12.79. Over the past 10 years, this metric has ranged from a low of 10.72 to a high of 14.67. The Drug Manufacturers industry median Operating Margin % is 7.59. Shaanxi Panlong Pharmaceutical Group Co's value of 16.02% is 111.1% above this industry median. Based on the distribution chart, Shaanxi Panlong Pharmaceutical Group Co ranks #394 out of 959 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Shaanxi Panlong Pharmaceutical Group Co has a GF Score™ of 83/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shaanxi Panlong Pharmaceutical Group Co's Operating Margin % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Shaanxi Panlong Pharmaceutical Group Co ranks #394 out of 959 companies for Operating Margin %. This puts Shaanxi Panlong Pharmaceutical Group Co in the upper half of its industry. The industry median Operating Margin % is 7.59. Shaanxi Panlong Pharmaceutical Group Co's value of 16.02% is 111.1% above this benchmark. Historically, Shaanxi Panlong Pharmaceutical Group Co's own Operating Margin % has ranged from 10.72 to 14.67 over the past decade. While the company's 10-year median is 12.79 vs. the industry median of 7.59, Shaanxi Panlong Pharmaceutical Group 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 7.59, based on 959 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. Shaanxi Panlong Pharmaceutical Group Co's current Operating Margin % of 16.02% is 111.1% 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 Shaanxi Panlong Pharmaceutical Group Co and its competitors. For the Drug Manufacturers industry, the median Operating Margin % is 7.59 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shaanxi Panlong Pharmaceutical Group Co's current Operating Margin % is 16.02%, which is 25% above median its own 10-year median of 12.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shaanxi Panlong Pharmaceutical Group Co stock overvalued right now?
Based on GuruFocus' analysis, Shaanxi Panlong Pharmaceutical Group Co (SZSE:002864) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥32.05, compared to a current price of ¥28.33 — trading 11.6% below its estimated fair value. The current Operating Margin % is 16.02%, which is 25% above median its 10-year median of 12.79 and 111.1% above the Drug Manufacturers industry median of 7.59. Shaanxi Panlong Pharmaceutical Group Co's overall GF Score™ is 83/100 with 5 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 Shaanxi Panlong Pharmaceutical Group Co (SZSE:002864), the current Operating Margin % is 16.02% 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 Shaanxi Panlong Pharmaceutical Group Co (SZSE:002864) Overvalued in 2026?

Based on GuruFocus' analysis, Shaanxi Panlong Pharmaceutical Group Co stock appears to be undervalued. The current stock price of ¥28.33 is trading 11.6% below its estimated GF Value™ of ¥32.05. GuruFocus considers Shaanxi Panlong Pharmaceutical Group Co to be Modestly Undervalued.

Key valuation signals for SZSE:002864:

  • Operating Margin %: 16.02% (25% above median its 10-year median of 12.79)
  • GF Value™: ¥32.05 vs. price of ¥28.33 (11.6% below fair value)
  • GF Score™: 83/100 with 5 warning signs
  • Industry Position: 111.1% above the Drug Manufacturers median (#394 of 959)

No single metric tells the full story. See the SZSE:002864 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shaanxi Panlong Pharmaceutical Group Co Business Description

Address No. 2801, Baliu Second Road, Baqiao District, Shaanxi Province, Xi\'an, CHN, 710025
Shaanxi Panlong Pharmaceutical Group Co Ltd is engaged in the cultivation of medicinal herbs under Good Agricultural Practices (GAP), pharmaceutical production, research and development, sales, and logistics activities. Its business scope also includes technology and goods import and export, import and export agency services, medical research and experimental development, and the sale of hygiene products, disposable medical supplies, and disinfectants.
83GF Score

Get the complete analysis for SZSE:002864

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

¥28.33
Price
¥32.05
GF Value