Welltend TechnologyTPE:3021 -2.85%78 Operating Margin % is 1.50% as of Dec. 2025, which is 78% below its 10-year median of 6.97. GuruFocus rates TPE:3021 with a GF Score™ of 78/100 and a GF Value™ of NT$21.24 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 2,471 Hardware companies, Welltend Technology ranks worse than 53.42% on this metric.
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.
Welltend Technology Operating Margin % Related Terms
Welltend Technology Operating Margin % Historical Data
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The historical data trend for Welltend Technology'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:3021 vs DELL, SNDK, ANET: Operating Margin % Comparison
For the Computer Hardware subindustry, Welltend Technology'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.
Welltend Technology Operating Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Welltend Technology's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Welltend Technology'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.
Welltend Technology'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.
Welltend Technology (TPE:3021) has a Operating Margin % of 1.50% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Welltend Technology and its competitors. This is 78% below median its historical median of 6.97. Over the past decade, Welltend Technology's Operating Margin % has ranged from 3.16 to 7.92. According to the industry distribution chart, Welltend Technology ranks #1320 out of 2471 companies in the Hardware industry, placing it in the top 53.4%.
Is Welltend Technology's Operating Margin % too high?
Welltend Technology's current Operating Margin % of 1.50% is 78% below median its 10-year median of 6.97. Over the past 10 years, this metric has ranged from a low of 3.16 to a high of 7.92. The Hardware industry median Operating Margin % is 3.80. Welltend Technology's value of 1.50% is 60.5% below this industry median. Based on the distribution chart, Welltend Technology ranks #1320 out of 2471 companies in the Hardware industry, which is below the industry midpoint. Overall, Welltend Technology has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Welltend Technology's Operating Margin % compare to DELL and SNDK?
According to the Hardware industry distribution chart, Welltend Technology ranks #1320 out of 2471 companies for Operating Margin %. This places Welltend Technology in the lower half of its industry. The industry median Operating Margin % is 3.80. Welltend Technology's value of 1.50% is 60.5% below this benchmark. Historically, Welltend Technology's own Operating Margin % has ranged from 3.16 to 7.92 over the past decade. While the company's 10-year median is 6.97 vs. the industry median of 3.80, Welltend Technology has consistently been below 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 3.80, based on 2,471 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. Welltend Technology's current Operating Margin % of 1.50% is 60.5% below 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 Welltend Technology and its competitors. For the Hardware industry, the median Operating Margin % is 3.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Welltend Technology's current Operating Margin % is 1.50%, which is 78% below median its own 10-year median of 6.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Welltend Technology stock overvalued right now?
Based on GuruFocus' analysis, Welltend Technology (TPE:3021) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$21.24, compared to a current price of NT$28.95 — trading 36.3% above its estimated fair value. The current Operating Margin % is 1.50%, which is 78% below median its 10-year median of 6.97 and 60.5% below the Hardware industry median of 3.80. Welltend Technology's overall GF Score™ is 78/100 with 10 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 Welltend Technology (TPE:3021), the current Operating Margin % is 1.50% 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 Welltend Technology (TPE:3021) Overvalued in 2026?
Based on GuruFocus' analysis, Welltend Technology stock appears to be overvalued.
The current stock price of NT$28.95 is trading 36.3% above its estimated GF Value™ of NT$21.24.
GuruFocus considers Welltend Technology to be Significantly Overvalued.
Key valuation signals for TPE:3021:
Operating Margin %: 1.50% (78% below median its 10-year median of 6.97)
GF Value™: NT$21.24 vs. price of NT$28.95 (36.3% above fair value)
Industry Position: 60.5% below the Hardware median (#1320 of 2471)
No single metric tells the full story. See the TPE:3021 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Welltend Technology Corp is engaged in manufacturing and selling electronic components and wire connectors, and providing information system integration and consulting services. Its product portfolio includes connectors, wires, and cable assemblies used in printers, copiers, USB cables, wire harnesses, automotive infotainment systems, and home appliances, among other products. The Group's system integration and consulting services business offers database prevention, database upgrade, server virtualization, BPM flow system, and other IT-related products and services. Its operating segments are: Wire and connectors, which generate maximum revenue, and Information services. Geographically, the Group derives maximum revenue from Taiwan, followed by Mainland China, Philippines, and Thailand.
78GF Score
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