Jentech Precision Industrial Co (TPE:3653) 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.
Jentech Precision Industrial Co Operating Margin % Related Terms
Jentech Precision Industrial 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.
Jentech Precision Industrial Co Operating Margin % Chart
TPE:3653 vs APH, GLW: Operating Margin % Comparison
For the Electronic Components subindustry, Jentech Precision 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.
Jentech Precision Industrial Co Operating Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Jentech Precision Industrial Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Jentech Precision Industrial Co's Operating Margin % falls into.
Jentech Precision 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.
* 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.
Jentech Precision Industrial Co (TPE:3653) has a Operating Margin % of 31.26% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Jentech Precision Industrial Co and its competitors. This is 69% above median its historical median of 18.49. Over the past decade, Jentech Precision Industrial Co's Operating Margin % has ranged from 7.60 to 32.05. According to the industry distribution chart, Jentech Precision Industrial Co ranks #54 out of 2471 companies in the Hardware industry, placing it in the top 2.2%.
Is Jentech Precision Industrial Co's Operating Margin % too high?
Jentech Precision Industrial Co's current Operating Margin % of 31.26% is 69% above median its 10-year median of 18.49. Over the past 10 years, this metric has ranged from a low of 7.60 to a high of 32.05. The Hardware industry median Operating Margin % is 3.82. Jentech Precision Industrial Co's value of 31.26% is 718.3% above this industry median. Based on the distribution chart, Jentech Precision Industrial Co ranks #54 out of 2471 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Jentech Precision Industrial Co has a GF Score™ of 81/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Jentech Precision Industrial Co's Operating Margin % compare to APH and GLW?
According to the Hardware industry distribution chart, Jentech Precision Industrial Co ranks #54 out of 2471 companies for Operating Margin %. This places Jentech Precision Industrial Co in the top 2% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.82. Jentech Precision Industrial Co's value of 31.26% is 718.3% above this benchmark. Historically, Jentech Precision Industrial Co's own Operating Margin % has ranged from 7.60 to 32.05 over the past decade. While the company's 10-year median is 18.49 vs. the industry median of 3.82, Jentech Precision Industrial 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 3.82, 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. Jentech Precision Industrial Co's current Operating Margin % of 31.26% is 718.3% 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 Jentech Precision 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. Jentech Precision Industrial Co's current Operating Margin % is 31.26%, which is 69% above median its own 10-year median of 18.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Jentech Precision Industrial Co stock overvalued right now?
Based on GuruFocus' analysis, Jentech Precision Industrial Co (TPE:3653) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$2,013.54, compared to a current price of NT$3,320.00 — trading 64.9% above its estimated fair value. The current Operating Margin % is 31.26%, which is 69% above median its 10-year median of 18.49 and 718.3% above the Hardware industry median of 3.82. Jentech Precision Industrial Co's overall GF Score™ is 81/100. 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 Jentech Precision Industrial Co (TPE:3653), the current Operating Margin % is 31.26% 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 Jentech Precision Industrial Co (TPE:3653) Overvalued in 2026?
Based on GuruFocus' analysis, Jentech Precision Industrial Co stock appears to be overvalued.
The current stock price of NT$3,320.00 is trading 64.9% above its estimated GF Value™ of NT$2,013.54.
GuruFocus considers Jentech Precision Industrial Co to be Significantly Overvalued.
Key valuation signals for TPE:3653:
Operating Margin %: 31.26% (69% above median its 10-year median of 18.49)
GF Value™: NT$2,013.54 vs. price of NT$3,320.00 (64.9% above fair value)
Industry Position: 718.3% above the Hardware median (#54 of 2471)
No single metric tells the full story. See the TPE:3653 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Jentech Precision Industrial Co Business Description
Jentech Precision Industrial Co Ltd is engaged in manufacturing and processing of precision toolings and trading of their materials; manufacturing, processing and trading of metal components of electrical appliances, electronics, and computers; manufacturing, processing and trading of hardware machinery and its components; metal forging and processing of surface treatment. The companies reportable operating segments are semiconductor business group and others. The majority of the revenue is earn from semiconductor business group.
81GF Score
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