Everlight Electronics CoTPE:2393 -0.86%79 Operating Margin % is 10.92% as of Dec. 2025, which is 36% above its 10-year median of 8.01. GuruFocus rates TPE:2393 with a GF Score™ of 79/100 and a GF Value™ of NT$61.70 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 2,472 Hardware companies, Everlight Electronics Co ranks better than 82.65% on this metric.
Everlight Electronics Co (TPE:2393) 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.
Everlight Electronics Co Operating Margin % Related Terms
Everlight Electronics Co 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.
TPE:2393 vs APH, GLW, TEL: Operating Margin % Comparison
For the Electronic Components subindustry, Everlight Electronics 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.
Everlight Electronics Co Operating Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Everlight Electronics Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Everlight Electronics Co's Operating Margin % falls into.
Everlight Electronics 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.
Everlight Electronics 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.
Everlight Electronics Co (TPE:2393) has a Operating Margin % of 10.92% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Everlight Electronics Co and its competitors. This is 36% above median its historical median of 8.01. Over the past decade, Everlight Electronics Co's Operating Margin % has ranged from 3.77 to 13.00. According to the industry distribution chart, Everlight Electronics Co ranks #429 out of 2472 companies in the Hardware industry, placing it in the top 17.4%.
Is Everlight Electronics Co's Operating Margin % too high?
Everlight Electronics Co's current Operating Margin % of 10.92% is 36% above median its 10-year median of 8.01. Over the past 10 years, this metric has ranged from a low of 3.77 to a high of 13.00. The Hardware industry median Operating Margin % is 3.81. Everlight Electronics Co's value of 10.92% is 186.6% above this industry median. Based on the distribution chart, Everlight Electronics Co ranks #429 out of 2472 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Everlight Electronics Co has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Everlight Electronics Co's Operating Margin % compare to APH and GLW?
According to the Hardware industry distribution chart, Everlight Electronics Co ranks #429 out of 2472 companies for Operating Margin %. This places Everlight Electronics Co in the top 17% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.81. Everlight Electronics Co's value of 10.92% is 186.6% above this benchmark. Historically, Everlight Electronics Co's own Operating Margin % has ranged from 3.77 to 13.00 over the past decade. While the company's 10-year median is 8.01 vs. the industry median of 3.81, Everlight Electronics 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 Hardware company?
The median Operating Margin % among Hardware companies is 3.81, based on 2,472 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. Everlight Electronics Co's current Operating Margin % of 10.92% is 186.6% 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 Everlight Electronics Co and its competitors. For the Hardware industry, the median Operating Margin % is 3.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Everlight Electronics Co's current Operating Margin % is 10.92%, which is 36% above median its own 10-year median of 8.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Everlight Electronics Co stock overvalued right now?
Based on GuruFocus' analysis, Everlight Electronics Co (TPE:2393) is currently considered Modestly Overvalued. The stock's GF Value™ is NT$61.70, compared to a current price of NT$69.10 — trading 12% above its estimated fair value. The current Operating Margin % is 10.92%, which is 36% above median its 10-year median of 8.01 and 186.6% above the Hardware industry median of 3.81. Everlight Electronics Co's overall GF Score™ is 79/100 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 Everlight Electronics Co (TPE:2393), the current Operating Margin % is 10.92% 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 Everlight Electronics Co (TPE:2393) Overvalued in 2026?
Based on GuruFocus' analysis, Everlight Electronics Co stock appears to be overvalued.
The current stock price of NT$69.10 is trading 12% above its estimated GF Value™ of NT$61.70.
GuruFocus considers Everlight Electronics Co to be Modestly Overvalued.
Key valuation signals for TPE:2393:
Operating Margin %: 10.92% (36% above median its 10-year median of 8.01)
GF Value™: NT$61.70 vs. price of NT$69.10 (12% above fair value)
Industry Position: 186.6% above the Hardware median (#429 of 2472)
No single metric tells the full story. See the TPE:2393 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Everlight Electronics Co Ltd is engaged in the manufacture and sale of LEDs and optoelectronic products. Its products include visible LED, infrared products, sensors, optocouplers, and power semiconductors. The Group operates through LED, LCD, and illumination segments. The LED segment engages in the manufacture and sale of LEDs, while the LCD segment, which generates maximum revenue, engages in the manufacture and sale of LCDs and LCD modules. The illumination segment engages in the manufacture and sale of lighting products. Other operating segments mainly engage in the sale of raw materials for electronic products, masks, and electrophoretic displays. The company generates maximum revenue from Asia.
79GF Score
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