eXmotion Co (TSE:4394) Operating Margin %: 16.00% (As of Feb. 2026) — Near Median


TSE:4394 eXmotion Co Ltd TSE:4394
82 GF Score
Price 円546.00
GF Value 円378.98
Valuation Significantly Overvalued
! 6 Warning Signs
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What is eXmotion Co Operating Margin %?

eXmotion Co TSE:4394 -3.02% 82 Operating Margin % is 16.00% as of Feb. 2026, which is 2% below its 10-year median of 16.26. GuruFocus rates TSE:4394 with a GF Score™ of 82/100 and a GF Value™ of 円378.98 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 2,813 Software companies, eXmotion Co ranks better than 80.8% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. eXmotion Co's Operating Income for the three months ended in Feb. 2026 was 円57 Mil. eXmotion Co's Revenue for the three months ended in Feb. 2026 was 円358 Mil. Therefore, eXmotion Co's Operating Margin % for the quarter that ended in Feb. 2026 was 16.00%.

Good Sign:

eXmotion Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for eXmotion Co's Operating Margin % or its related term are showing as below:

TSE:4394' s Operating Margin % Range Over the Past 10 Years
Min: 10.18   Med: 16.26   Max: 19.91
Current: 15


TSE:4394's Operating Margin % is ranked better than
80.8% of 2813 companies
in the Software industry
Industry Median: 3.88 vs TSE:4394: 15.00

eXmotion Co's 5-Year Average Operating Margin % Growth Rate was 1.30% per year.

eXmotion Co's Operating Income for the three months ended in Feb. 2026 was 円57 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Feb. 2026 was 円213 Mil.


eXmotion Co  (TSE:4394) 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 Nokia’s 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.


eXmotion Co Operating Margin % Related Terms


eXmotion Co Operating Margin % Historical Data

* Premium members only.

The historical data trend for eXmotion 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.

eXmotion Co Operating Margin % Chart

eXmotion Co Annual Data
Trend Nov16 Nov17 Nov18 Nov19 Nov20 Nov21 Nov22 Nov23 Nov24 Nov25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 15.02 17.63 11.92 12.11 13.70

eXmotion Co Quarterly Data
Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Nov24 May25 Aug25 Nov25 Feb26 May26
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 16.40 15.89 16.00 11.65

TSE:4394 vs IBM, ACN, FISV: Operating Margin % Comparison

For the Information Technology Services subindustry, eXmotion 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.


eXmotion Co Operating Margin % vs Software Industry

For the Software industry and Technology sector, eXmotion Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where eXmotion Co's Operating Margin % falls into.


TSE:4394
82GF Score
eXmotion Co Ltd TSE:4394
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

eXmotion Co Operating Margin % Calculation

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.

eXmotion Co's Operating Margin % for the fiscal year that ended in Nov. 2025 is calculated as

Operating Margin %=Operating Income (A: Nov. 2025 ) / Revenue (A: Nov. 2025 )
=189.956 / 1386.816
=13.70 %

eXmotion Co's Operating Margin % for the quarter that ended in Feb. 2026 is calculated as

Operating Margin %=Operating Income (Q: Feb. 2026 ) / Revenue (Q: Feb. 2026 )
=57.319 / 358.168
=16.00 %

* 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.

Frequently Asked Questions Learn more about Operating Margin % →
What does a Operating Margin % of 16.00% mean?
eXmotion Co (TSE:4394) has a Operating Margin % of 16.00% as of Feb. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on eXmotion Co and its competitors. This is near median its historical median of 16.26. Over the past decade, eXmotion Co's Operating Margin % has ranged from 10.18 to 19.91. According to the industry distribution chart, eXmotion Co ranks #540 out of 2813 companies in the Software industry, placing it in the top 19.2%.
Is eXmotion Co's Operating Margin % too high?
eXmotion Co's current Operating Margin % of 16.00% is near median its 10-year median of 16.26. Over the past 10 years, this metric has ranged from a low of 10.18 to a high of 19.91. The Software industry median Operating Margin % is 3.88. eXmotion Co's value of 16.00% is 312.4% above this industry median. Based on the distribution chart, eXmotion Co ranks #540 out of 2813 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, eXmotion Co has a GF Score™ of 82/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does eXmotion Co's Operating Margin % compare to IBM and ACN?
According to the Software industry distribution chart, eXmotion Co ranks #540 out of 2813 companies for Operating Margin %. This places eXmotion Co in the top 19% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.88. eXmotion Co's value of 16.00% is 312.4% above this benchmark. Historically, eXmotion Co's own Operating Margin % has ranged from 10.18 to 19.91 over the past decade. While the company's 10-year median is 16.26 vs. the industry median of 3.88, eXmotion 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 Software company?
The median Operating Margin % among Software companies is 3.88, based on 2,813 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. eXmotion Co's current Operating Margin % of 16.00% is 312.4% 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 eXmotion Co and its competitors. For the Software industry, the median Operating Margin % is 3.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. eXmotion Co's current Operating Margin % is 16.00%, which is near median its own 10-year median of 16.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is eXmotion Co stock overvalued right now?
Based on GuruFocus' analysis, eXmotion Co (TSE:4394) is currently considered Significantly Overvalued. The stock's GF Value™ is 円378.98, compared to a current price of 円546.00 — trading 44.1% above its estimated fair value. The current Operating Margin % is 16.00%, which is near median its 10-year median of 16.26 and 312.4% above the Software industry median of 3.88. eXmotion Co's overall GF Score™ is 82/100 with 6 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 eXmotion Co (TSE:4394), the current Operating Margin % is 16.00% as of Feb. 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 eXmotion Co (TSE:4394) Overvalued in 2026?

Based on GuruFocus' analysis, eXmotion Co stock appears to be overvalued. The current stock price of 円546.00 is trading 44.1% above its estimated GF Value™ of 円378.98. GuruFocus considers eXmotion Co to be Significantly Overvalued.

Key valuation signals for TSE:4394:

  • Operating Margin %: 16.00% (near median its 10-year median of 16.26)
  • GF Value™: 円378.98 vs. price of 円546.00 (44.1% above fair value)
  • GF Score™: 82/100 with 6 warning signs
  • Industry Position: 312.4% above the Software median (#540 of 2813)

No single metric tells the full story. See the TSE:4394 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


eXmotion Co Business Description

Address 2-11-1, Osaki, Shinagawa-ku, Tokyo, JPN, 141-0032
eXmotion Co Ltd provides technical consulting and education services for systems and software. The company offers Consulting business, Education and human resource development business, Tool business and others.
82GF Score

Get the complete analysis for TSE:4394

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円546.00
Price
円378.98
GF Value