Gakujo CoTSE:2301 -0.19%79 Operating Margin % is 7.49% as of Apr. 2026, which is 70% below its 10-year median of 24.85. GuruFocus rates TSE:2301 with a GF Score™ of 79/100 and a GF Value™ of 円2,298.20 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 1,068 Business Services companies, Gakujo Co ranks better than 85.86% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Gakujo Co's Operating Income for the
six
months ended in Apr. 2026 was 円346 Mil. Gakujo Co's Revenue for the
six
months ended in Apr. 2026 was 円4,618 Mil. Therefore, Gakujo Co's Operating Margin % for the quarter that ended in Apr. 2026 was 7.49%.
The historical rank and industry rank for Gakujo Co's Operating Margin % or its related term are showing as below:
TSE:2301'
s Operating Margin % Range Over the Past 10 Years
Min: 19.63 Med: 24.85 Max: 33.33
Current: 19.63
TSE:2301's Operating Margin % is ranked better than 85.86% of 1068
companies
in the Business Services industry
Industry Median: 6.295
vs TSE:2301: 19.63
Gakujo Co's 5-Year Average Operating Margin % Growth Rate was -0.90% per year.
Gakujo Co's Operating Income for the
six
months ended in Apr. 2026 was 円346 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Apr. 2026 was 円2,213 Mil.
Gakujo Co (TSE:2301) 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.
Gakujo Co Operating Margin % Related Terms
Gakujo Co Operating Margin % Historical Data
* Premium members only.
The historical data trend for Gakujo 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.
TSE:2301 vs KFY, RHI, TNET: Operating Margin % Comparison
For the Staffing & Employment Services subindustry, Gakujo 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.
Gakujo Co Operating Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Gakujo Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Gakujo Co'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.
Gakujo Co's Operating Margin % for the fiscal year that ended in Oct. 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.
Gakujo Co (TSE:2301) has a Operating Margin % of 7.49% as of Apr. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Gakujo Co and its competitors. This is 70% below median its historical median of 24.85. Over the past decade, Gakujo Co's Operating Margin % has ranged from 19.63 to 33.33. According to the industry distribution chart, Gakujo Co ranks #151 out of 1068 companies in the Business Services industry, placing it in the top 14.1%.
Is Gakujo Co's Operating Margin % too high?
Gakujo Co's current Operating Margin % of 7.49% is 70% below median its 10-year median of 24.85. Over the past 10 years, this metric has ranged from a low of 19.63 to a high of 33.33. The Business Services industry median Operating Margin % is 6.30. Gakujo Co's value of 7.49% is 19% above this industry median. Based on the distribution chart, Gakujo Co ranks #151 out of 1068 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, Gakujo Co has a GF Score™ of 79/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Gakujo Co's Operating Margin % compare to KFY and RHI?
According to the Business Services industry distribution chart, Gakujo Co ranks #151 out of 1068 companies for Operating Margin %. This places Gakujo Co in the top 14% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 6.30. Gakujo Co's value of 7.49% is 19% above this benchmark. Historically, Gakujo Co's own Operating Margin % has ranged from 19.63 to 33.33 over the past decade. While the company's 10-year median is 24.85 vs. the industry median of 6.30, Gakujo 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 Business Services company?
The median Operating Margin % among Business Services companies is 6.30, based on 1,068 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. Gakujo Co's current Operating Margin % of 7.49% is 19% 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 Gakujo Co and its competitors. For the Business Services industry, the median Operating Margin % is 6.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gakujo Co's current Operating Margin % is 7.49%, which is 70% below median its own 10-year median of 24.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gakujo Co stock overvalued right now?
Based on GuruFocus' analysis, Gakujo Co (TSE:2301) is currently considered Significantly Undervalued. The stock's GF Value™ is 円2,298.20, compared to a current price of 円1,617.00 — trading 29.6% below its estimated fair value. The current Operating Margin % is 7.49%, which is 70% below median its 10-year median of 24.85 and 19% above the Business Services industry median of 6.30. Gakujo Co's overall GF Score™ is 79/100 with 1 warning sign 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 Gakujo Co (TSE:2301), the current Operating Margin % is 7.49% as of Apr. 2026. 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 Gakujo Co (TSE:2301) Overvalued in 2026?
Based on GuruFocus' analysis, Gakujo Co stock appears to be undervalued.
The current stock price of 円1,617.00 is trading 29.6% below its estimated GF Value™ of 円2,298.20.
GuruFocus considers Gakujo Co to be Significantly Undervalued.
Key valuation signals for TSE:2301:
Operating Margin %: 7.49% (70% below median its 10-year median of 24.85)
GF Value™: 円2,298.20 vs. price of 円1,617.00 (29.6% below fair value)
Industry Position: 19% above the Business Services median (#151 of 1068)
No single metric tells the full story. See the TSE:2301 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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