Mehow Innovative (SZSE:301363) Operating Margin %: 19.80% (As of Mar. 2026) — 27% Below Median

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Director of Data and Quant Analytics at GuruFocus
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Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

SZSE:301363 Mehow Innovative Ltd SZSE:301363
92 GF Score
Price ¥15.25
GF Value ¥20.99
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Mehow Innovative Operating Margin %?

Mehow Innovative SZSE:301363 -4.33% 92 Operating Margin % is 19.80% as of Mar. 2026, which is 27% below its 10-year median of 27.11. GuruFocus rates SZSE:301363 with a GF Score™ of 92/100 and a GF Value™ of ¥20.99 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 815 Medical Devices & Instruments companies, Mehow Innovative ranks better than 89.33% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Mehow Innovative's Operating Income for the three months ended in Mar. 2026 was ¥80 Mil. Mehow Innovative's Revenue for the three months ended in Mar. 2026 was ¥403 Mil. Therefore, Mehow Innovative's Operating Margin % for the quarter that ended in Mar. 2026 was 19.80%.

Warning Sign:

Mehow Innovative Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -10.6%.

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

SZSE:301363' s Operating Margin % Range Over the Past 10 Years
Min: 20.84   Med: 27.11   Max: 36.34
Current: 21.95


SZSE:301363's Operating Margin % is ranked better than
89.33% of 815 companies
in the Medical Devices & Instruments industry
Industry Median: 3.17 vs SZSE:301363: 21.95

Mehow Innovative's 5-Year Average Operating Margin % Growth Rate was -10.60% per year.

Mehow Innovative's Operating Income for the three months ended in Mar. 2026 was ¥80 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ¥380 Mil.


Mehow Innovative  (SZSE:301363) 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.


Mehow Innovative Operating Margin % Related Terms


Mehow Innovative Operating Margin % Historical Data

* Premium members only.

The historical data trend for Mehow Innovative'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.

Mehow Innovative Operating Margin % Chart

Mehow Innovative Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial 32.27 28.88 22.69 23.35 20.84

Mehow Innovative 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 12.92 17.28 23.69 26.82 19.80

SZSE:301363 vs ABT, SYK, MDT: Operating Margin % Comparison

For the Medical Devices subindustry, Mehow Innovative'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.


Mehow Innovative Operating Margin % vs Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Mehow Innovative's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Mehow Innovative's Operating Margin % falls into.


SZSE:301363
92GF Score
Mehow Innovative Ltd SZSE:301363
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Mehow Innovative 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.

Mehow Innovative'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 )
=338.723 / 1625.487
=20.84 %

Mehow Innovative'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 )
=79.807 / 403.078
=19.80 %

* 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 19.80% mean?
Mehow Innovative (SZSE:301363) has a Operating Margin % of 19.80% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Mehow Innovative and its competitors. This is 27% below median its historical median of 27.11. Over the past decade, Mehow Innovative's Operating Margin % has ranged from 20.84 to 36.34. According to the industry distribution chart, Mehow Innovative ranks #87 out of 815 companies in the Medical Devices & Instruments industry, placing it in the top 10.7%.
Is Mehow Innovative's Operating Margin % too high?
Mehow Innovative's current Operating Margin % of 19.80% is 27% below median its 10-year median of 27.11. Over the past 10 years, this metric has ranged from a low of 20.84 to a high of 36.34. The Medical Devices & Instruments industry median Operating Margin % is 3.17. Mehow Innovative's value of 19.80% is 524.6% above this industry median. Based on the distribution chart, Mehow Innovative ranks #87 out of 815 companies in the Medical Devices & Instruments industry, which is in the top quartile — a strong position relative to peers. Overall, Mehow Innovative has a GF Score™ of 92/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Mehow Innovative's Operating Margin % compare to ABT and SYK?
According to the Medical Devices & Instruments industry distribution chart, Mehow Innovative ranks #87 out of 815 companies for Operating Margin %. This places Mehow Innovative in the top 11% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.17. Mehow Innovative's value of 19.80% is 524.6% above this benchmark. Historically, Mehow Innovative's own Operating Margin % has ranged from 20.84 to 36.34 over the past decade. While the company's 10-year median is 27.11 vs. the industry median of 3.17, Mehow Innovative 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 Medical Devices & Instruments company?
The median Operating Margin % among Medical Devices & Instruments companies is 3.17, based on 815 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. Mehow Innovative's current Operating Margin % of 19.80% is 524.6% 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 Mehow Innovative and its competitors. For the Medical Devices & Instruments industry, the median Operating Margin % is 3.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mehow Innovative's current Operating Margin % is 19.80%, which is 27% below median its own 10-year median of 27.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mehow Innovative stock overvalued right now?
Based on GuruFocus' analysis, Mehow Innovative (SZSE:301363) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥20.99, compared to a current price of ¥15.25 — trading 27.3% below its estimated fair value. The current Operating Margin % is 19.80%, which is 27% below median its 10-year median of 27.11 and 524.6% above the Medical Devices & Instruments industry median of 3.17. Mehow Innovative's overall GF Score™ is 92/100 with 3 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 Mehow Innovative (SZSE:301363), the current Operating Margin % is 19.80% 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 Mehow Innovative (SZSE:301363) Overvalued in 2026?

Based on GuruFocus' analysis, Mehow Innovative stock appears to be undervalued. The current stock price of ¥15.25 is trading 27.3% below its estimated GF Value™ of ¥20.99. GuruFocus considers Mehow Innovative to be Modestly Undervalued.

Key valuation signals for SZSE:301363:

  • Operating Margin %: 19.80% (27% below median its 10-year median of 27.11)
  • GF Value™: ¥20.99 vs. price of ¥15.25 (27.3% below fair value)
  • GF Score™: 92/100 with 3 warning signs
  • Industry Position: 524.6% above the Medical Devices & Instruments median (#87 of 815)

No single metric tells the full story. See the SZSE:301363 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Mehow Innovative Business Description

Address No. 3, Baolong Sixth Road, Baolong Street, 101, 201, 401, 101, 201, 401, Building A, Xinzhongqiao Industrial Park, Longgang District, Guangdong Province, Shenzhen, CHN, 518116
Mehow Innovative Ltd is engaged in the design, development, manufacture and sales of precision components and products for medical devices.
92GF Score

Get the complete analysis for SZSE:301363

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

¥15.25
Price
¥20.99
GF Value