Nippon KodoshiTSE:3891 +9.10%68 Operating Margin % is 18.73% as of Mar. 2026, which is 39% above its 10-year median of 13.47. GuruFocus rates TSE:3891 with a GF Score™ of 68/100 and a GF Value™ of 円2,432.87 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 2,471 Hardware companies, Nippon Kodoshi ranks better than 91.1% on this metric.
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.
Nippon Kodoshi Operating Margin % Related Terms
Nippon Kodoshi Operating Margin % Historical Data
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The historical data trend for Nippon Kodoshi'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:3891 vs APH, GLW, TEL: Operating Margin % Comparison
For the Electronic Components subindustry, Nippon Kodoshi'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.
Nippon Kodoshi Operating Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Nippon Kodoshi's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Nippon Kodoshi'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.
Nippon Kodoshi'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.
Nippon Kodoshi (TSE:3891) has a Operating Margin % of 18.73% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Nippon Kodoshi and its competitors. This is 39% above median its historical median of 13.47. Over the past decade, Nippon Kodoshi's Operating Margin % has ranged from 3.35 to 22.50. According to the industry distribution chart, Nippon Kodoshi ranks #220 out of 2471 companies in the Hardware industry, placing it in the top 8.9%.
Is Nippon Kodoshi's Operating Margin % too high?
Nippon Kodoshi's current Operating Margin % of 18.73% is 39% above median its 10-year median of 13.47. Over the past 10 years, this metric has ranged from a low of 3.35 to a high of 22.50. The Hardware industry median Operating Margin % is 3.80. Nippon Kodoshi's value of 18.73% is 392.9% above this industry median. Based on the distribution chart, Nippon Kodoshi ranks #220 out of 2471 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Nippon Kodoshi has a GF Score™ of 68/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nippon Kodoshi's Operating Margin % compare to APH and GLW?
According to the Hardware industry distribution chart, Nippon Kodoshi ranks #220 out of 2471 companies for Operating Margin %. This places Nippon Kodoshi in the top 9% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.80. Nippon Kodoshi's value of 18.73% is 392.9% above this benchmark. Historically, Nippon Kodoshi's own Operating Margin % has ranged from 3.35 to 22.50 over the past decade. While the company's 10-year median is 13.47 vs. the industry median of 3.80, Nippon Kodoshi 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 3.80, 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. Nippon Kodoshi's current Operating Margin % of 18.73% is 392.9% 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 Nippon Kodoshi and its competitors. For the Hardware industry, the median Operating Margin % is 3.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Kodoshi's current Operating Margin % is 18.73%, which is 39% above median its own 10-year median of 13.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Kodoshi stock overvalued right now?
Based on GuruFocus' analysis, Nippon Kodoshi (TSE:3891) is currently considered Significantly Overvalued. The stock's GF Value™ is 円2,432.87, compared to a current price of 円10,430.00 — trading 328.7% above its estimated fair value. The current Operating Margin % is 18.73%, which is 39% above median its 10-year median of 13.47 and 392.9% above the Hardware industry median of 3.80. Nippon Kodoshi's overall GF Score™ is 68/100 with 8 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 Nippon Kodoshi (TSE:3891), the current Operating Margin % is 18.73% 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 Nippon Kodoshi (TSE:3891) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Kodoshi stock appears to be overvalued.
The current stock price of 円10,430.00 is trading 328.7% above its estimated GF Value™ of 円2,432.87.
GuruFocus considers Nippon Kodoshi to be Significantly Overvalued.
Key valuation signals for TSE:3891:
Operating Margin %: 18.73% (39% above median its 10-year median of 13.47)
GF Value™: 円2,432.87 vs. price of 円10,430.00 (328.7% above fair value)
Industry Position: 392.9% above the Hardware median (#220 of 2471)
No single metric tells the full story. See the TSE:3891 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Kodoshi Corp manufactures separators for aluminium electrolytic capacitors and batteries. The company is engaged in the fusion of paper and electronics, the search for new materials, and finding applications in electronic components.
68GF Score
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