Weikeng Industrial CoTPE:3033 77 Operating Margin % is 2.39% as of Dec. 2025, which is 13% above its 10-year median of 2.11. GuruFocus rates TPE:3033 with a GF Score™ of 77/100 and a GF Value™ of NT$40.24 (Modestly Overvalued). The stock has 12 warning signs investors should review. Among 2,471 Hardware companies, Weikeng Industrial Co ranks worse than 62.12% on this metric.
Weikeng Industrial Co Ltd has recorded a loss in operating income at least once over the past 3 years.
Weikeng Industrial Co (TPE:3033) 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.
Weikeng Industrial Co Operating Margin % Related Terms
Weikeng Industrial Co Operating Margin % Historical Data
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The historical data trend for Weikeng Industrial 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.
TPE:3033 vs SNX, ARW, AVT: Operating Margin % Comparison
For the Electronics & Computer Distribution subindustry, Weikeng Industrial 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.
Weikeng Industrial Co Operating Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Weikeng Industrial Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Weikeng Industrial Co's Operating Margin % falls into.
Weikeng Industrial 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.
Weikeng Industrial 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.
Weikeng Industrial Co (TPE:3033) has a Operating Margin % of 2.39% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Weikeng Industrial Co and its competitors. This is 13% above median its historical median of 2.11. Over the past decade, Weikeng Industrial Co's Operating Margin % has ranged from 1.43 to 3.88. According to the industry distribution chart, Weikeng Industrial Co ranks #1535 out of 2471 companies in the Hardware industry, placing it in the top 62.1%.
Is Weikeng Industrial Co's Operating Margin % too high?
Weikeng Industrial Co's current Operating Margin % of 2.39% is 13% above median its 10-year median of 2.11. Over the past 10 years, this metric has ranged from a low of 1.43 to a high of 3.88. The Hardware industry median Operating Margin % is 3.82. Weikeng Industrial Co's value of 2.39% is 37.4% below this industry median. Based on the distribution chart, Weikeng Industrial Co ranks #1535 out of 2471 companies in the Hardware industry, which is below the industry midpoint. Overall, Weikeng Industrial Co has a GF Score™ of 77/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Weikeng Industrial Co's Operating Margin % compare to SNX and ARW?
According to the Hardware industry distribution chart, Weikeng Industrial Co ranks #1535 out of 2471 companies for Operating Margin %. This places Weikeng Industrial Co in the lower half of its industry. The industry median Operating Margin % is 3.82. Weikeng Industrial Co's value of 2.39% is 37.4% below this benchmark. Historically, Weikeng Industrial Co's own Operating Margin % has ranged from 1.43 to 3.88 over the past decade. While the company's 10-year median is 2.11 vs. the industry median of 3.82, Weikeng Industrial Co 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 3.82, 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. Weikeng Industrial Co's current Operating Margin % of 2.39% is 37.4% 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 Weikeng Industrial Co and its competitors. For the Hardware industry, the median Operating Margin % is 3.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Weikeng Industrial Co's current Operating Margin % is 2.39%, which is 13% above median its own 10-year median of 2.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Weikeng Industrial Co stock overvalued right now?
Based on GuruFocus' analysis, Weikeng Industrial Co (TPE:3033) is currently considered Modestly Overvalued. The stock's GF Value™ is NT$40.24, compared to a current price of NT$50.40 — trading 25.2% above its estimated fair value. The current Operating Margin % is 2.39%, which is 13% above median its 10-year median of 2.11 and 37.4% below the Hardware industry median of 3.82. Weikeng Industrial Co's overall GF Score™ is 77/100 with 12 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 Weikeng Industrial Co (TPE:3033), the current Operating Margin % is 2.39% 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 Weikeng Industrial Co (TPE:3033) Overvalued in 2026?
Based on GuruFocus' analysis, Weikeng Industrial Co stock appears to be overvalued.
The current stock price of NT$50.40 is trading 25.2% above its estimated GF Value™ of NT$40.24.
GuruFocus considers Weikeng Industrial Co to be Modestly Overvalued.
Key valuation signals for TPE:3033:
Operating Margin %: 2.39% (13% above median its 10-year median of 2.11)
GF Value™: NT$40.24 vs. price of NT$50.40 (25.2% above fair value)
Industry Position: 37.4% below the Hardware median (#1535 of 2471)
No single metric tells the full story. See the TPE:3033 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Weikeng Industrial Co Ltd is mainly engaged in the distribution of various semiconductor electronic components, information access products, and the provision of technical services. Its product solution includes Data Centers; IoT Applications; Automotive; Networking; Industrial and Consumer. Geographically, it derives a majority of its revenue from China.
77GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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