Drewloong PrecisionTPE:4572 -0.35%94 Operating Margin % is 21.76% as of Dec. 2025, which is 34% below its 10-year median of 33.14. GuruFocus rates TPE:4572 with a GF Score™ of 94/100 and a GF Value™ of NT$141.48 (Fairly Valued). The stock has 4 warning signs investors should review. Among 347 Aerospace & Defense companies, Drewloong Precision ranks better than 87.32% on this metric.
Drewloong Precision Inc operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Drewloong Precision's Operating Margin % or its related term are showing as below:
TPE:4572'
s Operating Margin % Range Over the Past 10 Years
Min: 13.78 Med: 33.14 Max: 36.12
Current: 20.56
TPE:4572's Operating Margin % is ranked better than 87.32% of 347
companies
in the Aerospace & Defense industry
Industry Median: 7.75
vs TPE:4572: 20.56
Drewloong Precision's 5-Year Average Operating Margin % Growth Rate was 14.30% 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.
Drewloong Precision Operating Margin % Related Terms
Drewloong Precision Operating Margin % Historical Data
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The historical data trend for Drewloong Precision'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:4572 vs GE, RTX, BA: Operating Margin % Comparison
For the Aerospace & Defense subindustry, Drewloong Precision'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.
Drewloong Precision Operating Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Drewloong Precision's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Drewloong Precision'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.
Drewloong Precision'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.
Drewloong Precision (TPE:4572) has a Operating Margin % of 21.76% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Drewloong Precision and its competitors. This is 34% below median its historical median of 33.14. Over the past decade, Drewloong Precision's Operating Margin % has ranged from 13.78 to 36.12. According to the industry distribution chart, Drewloong Precision ranks #44 out of 347 companies in the Aerospace & Defense industry, placing it in the top 12.7%.
Is Drewloong Precision's Operating Margin % too high?
Drewloong Precision's current Operating Margin % of 21.76% is 34% below median its 10-year median of 33.14. Over the past 10 years, this metric has ranged from a low of 13.78 to a high of 36.12. The Aerospace & Defense industry median Operating Margin % is 7.75. Drewloong Precision's value of 21.76% is 180.8% above this industry median. Based on the distribution chart, Drewloong Precision ranks #44 out of 347 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Drewloong Precision has a GF Score™ of 94/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Drewloong Precision's Operating Margin % compare to GE and RTX?
According to the Aerospace & Defense industry distribution chart, Drewloong Precision ranks #44 out of 347 companies for Operating Margin %. This places Drewloong Precision in the top 13% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 7.75. Drewloong Precision's value of 21.76% is 180.8% above this benchmark. Historically, Drewloong Precision's own Operating Margin % has ranged from 13.78 to 36.12 over the past decade. While the company's 10-year median is 33.14 vs. the industry median of 7.75, Drewloong Precision 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 an Aerospace & Defense company?
The median Operating Margin % among Aerospace & Defense companies is 7.75, based on 347 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. Drewloong Precision's current Operating Margin % of 21.76% is 180.8% 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 Drewloong Precision and its competitors. For the Aerospace & Defense industry, the median Operating Margin % is 7.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Drewloong Precision's current Operating Margin % is 21.76%, which is 34% below median its own 10-year median of 33.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Drewloong Precision stock overvalued right now?
Based on GuruFocus' analysis, Drewloong Precision (TPE:4572) is currently considered Fairly Valued. The stock's GF Value™ is NT$141.48, compared to a current price of NT$143.00 — trading 1.1% above its estimated fair value. The current Operating Margin % is 21.76%, which is 34% below median its 10-year median of 33.14 and 180.8% above the Aerospace & Defense industry median of 7.75. Drewloong Precision's overall GF Score™ is 94/100 with 4 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 Drewloong Precision (TPE:4572), the current Operating Margin % is 21.76% 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 Drewloong Precision (TPE:4572) Overvalued in 2026?
Based on GuruFocus' analysis, Drewloong Precision stock appears to be overvalued.
The current stock price of NT$143.00 is trading 1.1% above its estimated GF Value™ of NT$141.48.
GuruFocus considers Drewloong Precision to be Fairly Valued.
Key valuation signals for TPE:4572:
Operating Margin %: 21.76% (34% below median its 10-year median of 33.14)
GF Value™: NT$141.48 vs. price of NT$143.00 (1.1% above fair value)
Industry Position: 180.8% above the Aerospace & Defense median (#44 of 347)
No single metric tells the full story. See the TPE:4572 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Drewloong Precision Inc is a Taiwan-based company, along with its subsidiary, it is engaged in the manufacturing, processing, and trading of aerospace parts and special tools. The main business is the research, development, production, and sales of large aircraft fuselage structural components, large aircraft engine structural components, and special molds and fixtures. Its customers include aircraft manufacturers around the world. The Geographical areas are: Taiwan, the U.S, FR, and Others. It generates the majority of its revenue from the U.S.
94GF Score
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