Taiwan PaihoTPE:9938 -1.09%78 Operating Margin % is 10.86% as of Dec. 2025, which is 40% below its 10-year median of 17.98. GuruFocus rates TPE:9938 with a GF Score™ of 78/100 and a GF Value™ of NT$68.91 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 1,035 Manufacturing - Apparel & Accessories companies, Taiwan Paiho ranks better than 90.72% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Taiwan Paiho's Operating Income for the
three
months ended in Dec. 2025 was NT$409 Mil. Taiwan Paiho's Revenue for the
three
months ended in Dec. 2025 was NT$3,767 Mil. Therefore, Taiwan Paiho's Operating Margin % for the quarter that ended in Dec. 2025 was 10.86%.
Warning Sign:
Taiwan Paiho Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -5.8%.
The historical rank and industry rank for Taiwan Paiho's Operating Margin % or its related term are showing as below:
TPE:9938'
s Operating Margin % Range Over the Past 10 Years
Min: 8.52 Med: 17.98 Max: 22.76
Current: 16.3
TPE:9938's Operating Margin % is ranked better than 90.72% of 1035
companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 4.07
vs TPE:9938: 16.30
Taiwan Paiho's 5-Year Average Operating Margin % Growth Rate was -5.80% per year.
Taiwan Paiho's Operating Income for the
three
months ended in Dec. 2025 was NT$409 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was NT$2,571 Mil.
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.
Taiwan Paiho Operating Margin % Related Terms
Taiwan Paiho Operating Margin % Historical Data
* Premium members only.
The historical data trend for Taiwan Paiho'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.
For the Textile Manufacturing subindustry, Taiwan Paiho'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.
Taiwan Paiho Operating Margin % vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Taiwan Paiho's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Taiwan Paiho'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.
Taiwan Paiho'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.
Taiwan Paiho (TPE:9938) has a Operating Margin % of 10.86% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Taiwan Paiho and its competitors. This is 40% below median its historical median of 17.98. Over the past decade, Taiwan Paiho's Operating Margin % has ranged from 8.52 to 22.76. According to the industry distribution chart, Taiwan Paiho ranks #96 out of 1035 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 9.3%.
Is Taiwan Paiho's Operating Margin % too high?
Taiwan Paiho's current Operating Margin % of 10.86% is 40% below median its 10-year median of 17.98. Over the past 10 years, this metric has ranged from a low of 8.52 to a high of 22.76. The Manufacturing - Apparel & Accessories industry median Operating Margin % is 4.07. Taiwan Paiho's value of 10.86% is 166.8% above this industry median. Based on the distribution chart, Taiwan Paiho ranks #96 out of 1035 companies in the Manufacturing - Apparel & Accessories industry, which is in the top quartile — a strong position relative to peers. Overall, Taiwan Paiho has a GF Score™ of 78/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Taiwan Paiho's Operating Margin % compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Taiwan Paiho ranks #96 out of 1035 companies for Operating Margin %. This places Taiwan Paiho in the top 9% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 4.07. Taiwan Paiho's value of 10.86% is 166.8% above this benchmark. Historically, Taiwan Paiho's own Operating Margin % has ranged from 8.52 to 22.76 over the past decade. While the company's 10-year median is 17.98 vs. the industry median of 4.07, Taiwan Paiho 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 Manufacturing - Apparel & Accessories company?
The median Operating Margin % among Manufacturing - Apparel & Accessories companies is 4.07, based on 1,035 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. Taiwan Paiho's current Operating Margin % of 10.86% is 166.8% 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 Taiwan Paiho and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Operating Margin % is 4.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Taiwan Paiho's current Operating Margin % is 10.86%, which is 40% below median its own 10-year median of 17.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Taiwan Paiho stock overvalued right now?
Based on GuruFocus' analysis, Taiwan Paiho (TPE:9938) is currently considered Possible Value Trap. The stock's GF Value™ is NT$68.91, compared to a current price of NT$45.40 — trading 34.1% below its estimated fair value. The current Operating Margin % is 10.86%, which is 40% below median its 10-year median of 17.98 and 166.8% above the Manufacturing - Apparel & Accessories industry median of 4.07. Taiwan Paiho's overall GF Score™ is 78/100 with 7 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 Taiwan Paiho (TPE:9938), the current Operating Margin % is 10.86% 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 Taiwan Paiho (TPE:9938) Overvalued in 2026?
Based on GuruFocus' analysis, Taiwan Paiho stock appears to be undervalued.
The current stock price of NT$45.40 is trading 34.1% below its estimated GF Value™ of NT$68.91.
GuruFocus considers Taiwan Paiho to be Possible Value Trap.
Key valuation signals for TPE:9938:
Operating Margin %: 10.86% (40% below median its 10-year median of 17.98)
GF Value™: NT$68.91 vs. price of NT$45.40 (34.1% below fair value)
Industry Position: 166.8% above the Manufacturing - Apparel & Accessories median (#96 of 1035)
No single metric tells the full story. See the TPE:9938 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Taiwan Paiho Ltd manufactures and sells touch fasteners, webbing, shoelaces, elastic, easy tape, and related superficial materials, as well as residential buildings constructed by entrusted construction contractors. The Group is also engaged in the construction business, including the sale of housing, shopping centers, and office buildings constructed by entrusted construction contractors. The Group operates through two reportable segments: Production, which generates maximum revenue, and Construction. Its business mainly operates in Taiwan, China, and Vietnam, with maximum revenue generated from Vietnam.
78GF Score
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