Kyoei SteelTSE:5440 74 Operating Margin % is 4.28% as of Mar. 2026, which is 16% below its 10-year median of 5.07. GuruFocus rates TSE:5440 with a GF Score™ of 74/100 and a GF Value™ of 円2,013.67 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 615 Steel companies, Kyoei Steel ranks better than 64.72% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Kyoei Steel's Operating Income for the
three
months ended in Mar. 2026 was 円3,525 Mil. Kyoei Steel's Revenue for the
three
months ended in Mar. 2026 was 円82,408 Mil. Therefore, Kyoei Steel's Operating Margin % for the quarter that ended in Mar. 2026 was 4.28%.
Good Sign:
Kyoei Steel Ltd operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Kyoei Steel's Operating Margin % or its related term are showing as below:
TSE:5440'
s Operating Margin % Range Over the Past 10 Years
Min: 2.23 Med: 5.07 Max: 8.11
Current: 5.39
TSE:5440's Operating Margin % is ranked better than 64.72% of 615
companies
in the Steel industry
Industry Median: 2.99
vs TSE:5440: 5.39
Kyoei Steel's 5-Year Average Operating Margin % Growth Rate was 4.80% per year.
Kyoei Steel's Operating Income for the
three
months ended in Mar. 2026 was 円3,525 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was 円16,967 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.
Kyoei Steel Operating Margin % Related Terms
Kyoei Steel Operating Margin % Historical Data
* Premium members only.
The historical data trend for Kyoei Steel'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:5440 vs NUE, STLD, RS: Operating Margin % Comparison
For the Steel subindustry, Kyoei Steel'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.
Kyoei Steel Operating Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Kyoei Steel's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Kyoei Steel'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.
Kyoei Steel'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.
Kyoei Steel (TSE:5440) has a Operating Margin % of 4.28% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Kyoei Steel and its competitors. This is 16% below median its historical median of 5.07. Over the past decade, Kyoei Steel's Operating Margin % has ranged from 2.23 to 8.11. According to the industry distribution chart, Kyoei Steel ranks #217 out of 615 companies in the Steel industry, placing it in the top 35.3%.
Is Kyoei Steel's Operating Margin % too high?
Kyoei Steel's current Operating Margin % of 4.28% is 16% below median its 10-year median of 5.07. Over the past 10 years, this metric has ranged from a low of 2.23 to a high of 8.11. The Steel industry median Operating Margin % is 2.99. Kyoei Steel's value of 4.28% is 43.1% above this industry median. Based on the distribution chart, Kyoei Steel ranks #217 out of 615 companies in the Steel industry, which is above the industry midpoint. Overall, Kyoei Steel has a GF Score™ of 74/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Kyoei Steel's Operating Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Kyoei Steel ranks #217 out of 615 companies for Operating Margin %. This puts Kyoei Steel in the upper half of its industry. The industry median Operating Margin % is 2.99. Kyoei Steel's value of 4.28% is 43.1% above this benchmark. Historically, Kyoei Steel's own Operating Margin % has ranged from 2.23 to 8.11 over the past decade. While the company's 10-year median is 5.07 vs. the industry median of 2.99, Kyoei Steel 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 Steel company?
The median Operating Margin % among Steel companies is 2.99, based on 615 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. Kyoei Steel's current Operating Margin % of 4.28% is 43.1% 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 Kyoei Steel and its competitors. For the Steel industry, the median Operating Margin % is 2.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kyoei Steel's current Operating Margin % is 4.28%, which is 16% below median its own 10-year median of 5.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kyoei Steel stock overvalued right now?
Based on GuruFocus' analysis, Kyoei Steel (TSE:5440) is currently considered Modestly Undervalued. The stock's GF Value™ is 円2,013.67, compared to a current price of 円1,707.00 — trading 15.2% below its estimated fair value. The current Operating Margin % is 4.28%, which is 16% below median its 10-year median of 5.07 and 43.1% above the Steel industry median of 2.99. Kyoei Steel's overall GF Score™ is 74/100 with 3 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 Kyoei Steel (TSE:5440), the current Operating Margin % is 4.28% 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 Kyoei Steel (TSE:5440) Overvalued in 2026?
Based on GuruFocus' analysis, Kyoei Steel stock appears to be undervalued.
The current stock price of 円1,707.00 is trading 15.2% below its estimated GF Value™ of 円2,013.67.
GuruFocus considers Kyoei Steel to be Modestly Undervalued.
Key valuation signals for TSE:5440:
Operating Margin %: 4.28% (16% below median its 10-year median of 5.07)
GF Value™: 円2,013.67 vs. price of 円1,707.00 (15.2% below fair value)
Industry Position: 43.1% above the Steel median (#217 of 615)
No single metric tells the full story. See the TSE:5440 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kyoei Steel Ltd is involved in the business Steel and Material recycling. Its primary activities include manufacture, processing, and sale of steel billets and products, collection, transportation and treatment of general, industrial and medical waste, recycling of automobiles and industrial waste, processing assembly of rebars, designing of steel production plants and sale of steelmaking technology. The firm's products include concrete steel bars, flat bars, I-beams, equal angle bars etc.
74GF Score
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