WITZ (TSE:4440) Operating Margin %: 12.98% (As of Feb. 2026) — 19% Above Median

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TSE:4440 WITZ Corp TSE:4440
83 GF Score
Price 円1,131.00
GF Value 円1,695.27
Valuation Significantly Undervalued
! 1 Warning Sign
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What is WITZ Operating Margin %?

WITZ TSE:4440 -0.62% 83 Operating Margin % is 12.98% as of Feb. 2026, which is 19% above its 10-year median of 10.95. GuruFocus rates TSE:4440 with a GF Score™ of 83/100 and a GF Value™ of 円1,695.27 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 2,822 Software companies, WITZ ranks better than 96.7% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. WITZ's Operating Income for the six months ended in Feb. 2026 was 円340 Mil. WITZ's Revenue for the six months ended in Feb. 2026 was 円2,619 Mil. Therefore, WITZ's Operating Margin % for the quarter that ended in Feb. 2026 was 12.98%.

Good Sign:

WITZ Corp operating margin is expanding. Margin expansion is usually a good sign.

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

TSE:4440' s Operating Margin % Range Over the Past 10 Years
Min: 7.48   Med: 10.95   Max: 37.19
Current: 35.82


TSE:4440's Operating Margin % is ranked better than
96.7% of 2822 companies
in the Software industry
Industry Median: 3.885 vs TSE:4440: 35.82

WITZ's 5-Year Average Operating Margin % Growth Rate was 24.40% per year.

WITZ's Operating Income for the six months ended in Feb. 2026 was 円340 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Feb. 2026 was 円1,840 Mil.


WITZ  (TSE:4440) 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.


WITZ Operating Margin % Related Terms


WITZ Operating Margin % Historical Data

* Premium members only.

The historical data trend for WITZ'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.

WITZ Operating Margin % Chart

WITZ Annual Data
Trend Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only 12.59 10.09 7.48 35.22 37.19

WITZ Semi-Annual Data
Aug17 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
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 8.39 55.28 13.09 59.57 12.98

TSE:4440 vs UBER, SHOP, CRM: Operating Margin % Comparison

For the Software - Application subindustry, WITZ'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.


WITZ Operating Margin % vs Software Industry

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

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


TSE:4440
83GF Score
WITZ Corp TSE:4440
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

WITZ 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.

WITZ's Operating Margin % for the fiscal year that ended in Aug. 2025 is calculated as

Operating Margin %=Operating Income (A: Aug. 2025 ) / Revenue (A: Aug. 2025 )
=1806.331 / 4856.61
=37.19 %

WITZ'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 )
=340.015 / 2618.706
=12.98 %

* 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 12.98% mean?
WITZ (TSE:4440) has a Operating Margin % of 12.98% as of Feb. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on WITZ and its competitors. This is 19% above median its historical median of 10.95. Over the past decade, WITZ's Operating Margin % has ranged from 7.48 to 37.19. According to the industry distribution chart, WITZ ranks #93 out of 2822 companies in the Software industry, placing it in the top 3.3%.
Is WITZ's Operating Margin % too high?
WITZ's current Operating Margin % of 12.98% is 19% above median its 10-year median of 10.95. Over the past 10 years, this metric has ranged from a low of 7.48 to a high of 37.19. The Software industry median Operating Margin % is 3.89. WITZ's value of 12.98% is 234.1% above this industry median. Based on the distribution chart, WITZ ranks #93 out of 2822 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, WITZ has a GF Score™ of 83/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does WITZ's Operating Margin % compare to UBER and SHOP?
According to the Software industry distribution chart, WITZ ranks #93 out of 2822 companies for Operating Margin %. This places WITZ in the top 3% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.89. WITZ's value of 12.98% is 234.1% above this benchmark. Historically, WITZ's own Operating Margin % has ranged from 7.48 to 37.19 over the past decade. While the company's 10-year median is 10.95 vs. the industry median of 3.89, WITZ 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 3.89, based on 2,822 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. WITZ's current Operating Margin % of 12.98% is 234.1% 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 WITZ and its competitors. For the Software industry, the median Operating Margin % is 3.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. WITZ's current Operating Margin % is 12.98%, which is 19% above median its own 10-year median of 10.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is WITZ stock overvalued right now?
Based on GuruFocus' analysis, WITZ (TSE:4440) is currently considered Significantly Undervalued. The stock's GF Value™ is 円1,695.27, compared to a current price of 円1,131.00 — trading 33.3% below its estimated fair value. The current Operating Margin % is 12.98%, which is 19% above median its 10-year median of 10.95 and 234.1% above the Software industry median of 3.89. WITZ's overall GF Score™ is 83/100 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 WITZ (TSE:4440), the current Operating Margin % is 12.98% 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 WITZ (TSE:4440) Overvalued in 2026?

Based on GuruFocus' analysis, WITZ stock appears to be undervalued. The current stock price of 円1,131.00 is trading 33.3% below its estimated GF Value™ of 円1,695.27. GuruFocus considers WITZ to be Significantly Undervalued.

Key valuation signals for TSE:4440:

  • Operating Margin %: 12.98% (19% above median its 10-year median of 10.95)
  • GF Value™: 円1,695.27 vs. price of 円1,131.00 (33.3% below fair value)
  • GF Score™: 83/100 with 1 warning sign
  • Industry Position: 234.1% above the Software median (#93 of 2822)

No single metric tells the full story. See the TSE:4440 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


WITZ Business Description

Address 3-3-21 Sakae, Naka-ku, Nagoya, JPN, 460-0008
WITZ Corp is engaged in the development and provision of software and sensing solutions. The group operates through four reportable segments: Software Development Business, Service Design Business, Sensing Business, and Industry Business. The Software Development segment focuses on control software and simulation technologies for automobiles and industrial products. The Service Design segment offers products and services built on embedded system development expertise. The Sensing segment is involved in the manufacture, sale, and maintenance of X-ray transmission and CT devices. The Industry segment, newly added after the acquisition of Tesco, handles the manufacturing, sale, and maintenance of X-ray and CT equipment.
83GF Score

Get the complete analysis for TSE:4440

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

円1,131.00
Price
円1,695.27
GF Value