Universal CementTPE:1104 -0.56%83 Operating Margin % is 19.06% as of Dec. 2025, which is 84% above its 10-year median of 10.37. GuruFocus rates TPE:1104 with a GF Score™ of 83/100 and a GF Value™ of NT$30.36 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 405 Building Materials companies, Universal Cement ranks better than 78.27% on this metric.
Universal Cement Corp operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Universal Cement's Operating Margin % or its related term are showing as below:
TPE:1104'
s Operating Margin % Range Over the Past 10 Years
Min: 3.41 Med: 10.37 Max: 15.41
Current: 15.41
TPE:1104's Operating Margin % is ranked better than 78.27% of 405
companies
in the Building Materials industry
Industry Median: 7.64
vs TPE:1104: 15.41
Universal Cement's 5-Year Average Operating Margin % Growth Rate was 9.10% per year.
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.
Universal Cement Operating Margin % Related Terms
Universal Cement Operating Margin % Historical Data
* Premium members only.
The historical data trend for Universal Cement'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.
TPE:1104 vs CRH, VMC, MLM: Operating Margin % Comparison
For the Building Materials subindustry, Universal Cement'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.
Universal Cement Operating Margin % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Universal Cement's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Universal Cement'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.
Universal Cement'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.
Universal Cement (TPE:1104) has a Operating Margin % of 19.06% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Universal Cement and its competitors. This is 84% above median its historical median of 10.37. Over the past decade, Universal Cement's Operating Margin % has ranged from 3.41 to 15.41. According to the industry distribution chart, Universal Cement ranks #88 out of 405 companies in the Building Materials industry, placing it in the top 21.7%.
Is Universal Cement's Operating Margin % too high?
Universal Cement's current Operating Margin % of 19.06% is 84% above median its 10-year median of 10.37. Over the past 10 years, this metric has ranged from a low of 3.41 to a high of 15.41. The Building Materials industry median Operating Margin % is 7.64. Universal Cement's value of 19.06% is 149.5% above this industry median. Based on the distribution chart, Universal Cement ranks #88 out of 405 companies in the Building Materials industry, which is in the top quartile — a strong position relative to peers. Overall, Universal Cement has a GF Score™ of 83/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Universal Cement's Operating Margin % compare to CRH and VMC?
According to the Building Materials industry distribution chart, Universal Cement ranks #88 out of 405 companies for Operating Margin %. This places Universal Cement in the top 22% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 7.64. Universal Cement's value of 19.06% is 149.5% above this benchmark. Historically, Universal Cement's own Operating Margin % has ranged from 3.41 to 15.41 over the past decade. While the company's 10-year median is 10.37 vs. the industry median of 7.64, Universal Cement 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 Building Materials company?
The median Operating Margin % among Building Materials companies is 7.64, based on 405 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. Universal Cement's current Operating Margin % of 19.06% is 149.5% 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 Universal Cement and its competitors. For the Building Materials industry, the median Operating Margin % is 7.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Universal Cement's current Operating Margin % is 19.06%, which is 84% above median its own 10-year median of 10.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Universal Cement stock overvalued right now?
Based on GuruFocus' analysis, Universal Cement (TPE:1104) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$30.36, compared to a current price of NT$26.70 — trading 12.1% below its estimated fair value. The current Operating Margin % is 19.06%, which is 84% above median its 10-year median of 10.37 and 149.5% above the Building Materials industry median of 7.64. Universal Cement's overall GF Score™ is 83/100 with 2 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 Universal Cement (TPE:1104), the current Operating Margin % is 19.06% as of Dec. 2025. 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 Universal Cement (TPE:1104) Overvalued in 2026?
Based on GuruFocus' analysis, Universal Cement stock appears to be undervalued.
The current stock price of NT$26.70 is trading 12.1% below its estimated GF Value™ of NT$30.36.
GuruFocus considers Universal Cement to be Modestly Undervalued.
Key valuation signals for TPE:1104:
Operating Margin %: 19.06% (84% above median its 10-year median of 10.37)
GF Value™: NT$30.36 vs. price of NT$26.70 (12.1% below fair value)
Industry Position: 149.5% above the Building Materials median (#88 of 405)
No single metric tells the full story. See the TPE:1104 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Universal Cement Corporation is a Taiwan-based company predominantly engaged in manufacturing and selling cement and related construction materials. The company's reportable segments include Building materials and others. The majority of its revenue is generated from the building materials segment which is engaged in manufacturing and selling cement, concrete, and gypsum board. Geographically, key revenue for the company is derived from Taiwan.
83GF Score
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