Tomen DevicesTSE:2737 -0.75%70 Operating Margin % is 2.72% as of Mar. 2026, which is 23% above its 10-year median of 2.21. GuruFocus rates TSE:2737 with a GF Score™ of 70/100 and a GF Value™ of 円10,218.93 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 1,023 Semiconductors companies, Tomen Devices ranks worse than 57.18% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Tomen Devices's Operating Income for the
six
months ended in Mar. 2026 was 円10,618 Mil. Tomen Devices's Revenue for the
six
months ended in Mar. 2026 was 円390,579 Mil. Therefore, Tomen Devices's Operating Margin % for the quarter that ended in Mar. 2026 was 2.72%.
Good Sign:
Tomen Devices Corp operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Tomen Devices's Operating Margin % or its related term are showing as below:
TSE:2737'
s Operating Margin % Range Over the Past 10 Years
Min: 1.32 Med: 2.21 Max: 2.96
Current: 2.96
TSE:2737's Operating Margin % is ranked worse than 57.18% of 1023
companies
in the Semiconductors industry
Industry Median: 5.24
vs TSE:2737: 2.96
Tomen Devices's 5-Year Average Operating Margin % Growth Rate was 8.70% per year.
Tomen Devices's Operating Income for the
six
months ended in Mar. 2026 was 円10,618 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was 円18,785 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.
Tomen Devices Operating Margin % Related Terms
Tomen Devices Operating Margin % Historical Data
* Premium members only.
The historical data trend for Tomen Devices'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:2737 vs NVDA, AVGO, MU: Operating Margin % Comparison
For the Semiconductors subindustry, Tomen Devices'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.
Tomen Devices Operating Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Tomen Devices's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Tomen Devices'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.
Tomen Devices's Operating Margin % for the fiscal year that ended in Mar. 2026 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.
Tomen Devices (TSE:2737) has a Operating Margin % of 2.72% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Tomen Devices and its competitors. This is 23% above median its historical median of 2.21. Over the past decade, Tomen Devices' Operating Margin % has ranged from 1.32 to 2.96. According to the industry distribution chart, Tomen Devices ranks #585 out of 1023 companies in the Semiconductors industry, placing it in the top 57.2%.
Is Tomen Devices' Operating Margin % too high?
Tomen Devices' current Operating Margin % of 2.72% is 23% above median its 10-year median of 2.21. Over the past 10 years, this metric has ranged from a low of 1.32 to a high of 2.96. The Semiconductors industry median Operating Margin % is 5.24. Tomen Devices' value of 2.72% is 48.1% below this industry median. Based on the distribution chart, Tomen Devices ranks #585 out of 1023 companies in the Semiconductors industry, which is below the industry midpoint. Overall, Tomen Devices has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tomen Devices' Operating Margin % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Tomen Devices ranks #585 out of 1023 companies for Operating Margin %. This places Tomen Devices in the lower half of its industry. The industry median Operating Margin % is 5.24. Tomen Devices' value of 2.72% is 48.1% below this benchmark. Historically, Tomen Devices' own Operating Margin % has ranged from 1.32 to 2.96 over the past decade. While the company's 10-year median is 2.21 vs. the industry median of 5.24, Tomen Devices 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 Semiconductors company?
The median Operating Margin % among Semiconductors companies is 5.24, based on 1,023 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. Tomen Devices's current Operating Margin % of 2.72% is 48.1% 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 Tomen Devices and its competitors. For the Semiconductors industry, the median Operating Margin % is 5.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tomen Devices's current Operating Margin % is 2.72%, which is 23% above median its own 10-year median of 2.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tomen Devices stock overvalued right now?
Based on GuruFocus' analysis, Tomen Devices (TSE:2737) is currently considered Significantly Overvalued. The stock's GF Value™ is 円10,218.93, compared to a current price of 円18,470.00 — trading 80.7% above its estimated fair value. The current Operating Margin % is 2.72%, which is 23% above median its 10-year median of 2.21 and 48.1% below the Semiconductors industry median of 5.24. Tomen Devices' overall GF Score™ is 70/100 with 9 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 Tomen Devices (TSE:2737), the current Operating Margin % is 2.72% as of Mar. 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 Tomen Devices (TSE:2737) Overvalued in 2026?
Based on GuruFocus' analysis, Tomen Devices stock appears to be overvalued.
The current stock price of 円18,470.00 is trading 80.7% above its estimated GF Value™ of 円10,218.93.
GuruFocus considers Tomen Devices to be Significantly Overvalued.
Key valuation signals for TSE:2737:
Operating Margin %: 2.72% (23% above median its 10-year median of 2.21)
GF Value™: 円10,218.93 vs. price of 円18,470.00 (80.7% above fair value)
Industry Position: 48.1% below the Semiconductors median (#585 of 1023)
No single metric tells the full story. See the TSE:2737 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tomen Devices Corp is a Japan-based company operating in the semiconductor sector. The company is mainly engaged in the production and sales of semiconductors and electronic parts. It offers memory products, system large scale integration (LSI) products, thin film transistor (TFT), liquid crystal panels and fluorescent display tubes.
70GF Score
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