ShinMaywa IndustriesTSE:7224 +0.34%80 Operating Margin % is 8.37% as of Mar. 2026, which is 65% above its 10-year median of 5.06. GuruFocus rates TSE:7224 with a GF Score™ of 80/100 and a GF Value™ of 円1,581.09 (Modestly Overvalued). The stock has 1 warning sign investors should review. Among 545 Conglomerates companies, ShinMaywa Industries ranks worse than 50.83% 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.
ShinMaywa Industries Operating Margin % Related Terms
ShinMaywa Industries Operating Margin % Historical Data
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The historical data trend for ShinMaywa Industries'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:7224 vs HON, MMM: Operating Margin % Comparison
For the Conglomerates subindustry, ShinMaywa Industries'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.
ShinMaywa Industries Operating Margin % vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, ShinMaywa Industries's Operating Margin % distribution charts can be found below:
* The bar in red indicates where ShinMaywa Industries'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.
ShinMaywa Industries'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.
ShinMaywa Industries (TSE:7224) has a Operating Margin % of 8.37% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on ShinMaywa Industries and its competitors. This is 65% above median its historical median of 5.06. Over the past decade, ShinMaywa Industries' Operating Margin % has ranged from 4.13 to 6.49. According to the industry distribution chart, ShinMaywa Industries ranks #277 out of 545 companies in the Conglomerates industry, placing it in the top 50.8%.
Is ShinMaywa Industries' Operating Margin % too high?
ShinMaywa Industries' current Operating Margin % of 8.37% is 65% above median its 10-year median of 5.06. Over the past 10 years, this metric has ranged from a low of 4.13 to a high of 6.49. The Conglomerates industry median Operating Margin % is 5.93. ShinMaywa Industries' value of 8.37% is 41.1% above this industry median. Based on the distribution chart, ShinMaywa Industries ranks #277 out of 545 companies in the Conglomerates industry, which is below the industry midpoint. Overall, ShinMaywa Industries has a GF Score™ of 80/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ShinMaywa Industries' Operating Margin % compare to HON and MMM?
According to the Conglomerates industry distribution chart, ShinMaywa Industries ranks #277 out of 545 companies for Operating Margin %. This places ShinMaywa Industries in the lower half of its industry. The industry median Operating Margin % is 5.93. ShinMaywa Industries' value of 8.37% is 41.1% above this benchmark. Historically, ShinMaywa Industries' own Operating Margin % has ranged from 4.13 to 6.49 over the past decade. While the company's 10-year median is 5.06 vs. the industry median of 5.93, ShinMaywa Industries 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 Conglomerates company?
The median Operating Margin % among Conglomerates companies is 5.93, based on 545 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. ShinMaywa Industries's current Operating Margin % of 8.37% is 41.1% 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 ShinMaywa Industries and its competitors. For the Conglomerates industry, the median Operating Margin % is 5.93 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ShinMaywa Industries's current Operating Margin % is 8.37%, which is 65% above median its own 10-year median of 5.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ShinMaywa Industries stock overvalued right now?
Based on GuruFocus' analysis, ShinMaywa Industries (TSE:7224) is currently considered Modestly Overvalued. The stock's GF Value™ is 円1,581.09, compared to a current price of 円2,047.00 — trading 29.5% above its estimated fair value. The current Operating Margin % is 8.37%, which is 65% above median its 10-year median of 5.06 and 41.1% above the Conglomerates industry median of 5.93. ShinMaywa Industries' overall GF Score™ is 80/100 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 ShinMaywa Industries (TSE:7224), the current Operating Margin % is 8.37% 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 ShinMaywa Industries (TSE:7224) Overvalued in 2026?
Based on GuruFocus' analysis, ShinMaywa Industries stock appears to be overvalued.
The current stock price of 円2,047.00 is trading 29.5% above its estimated GF Value™ of 円1,581.09.
GuruFocus considers ShinMaywa Industries to be Modestly Overvalued.
Key valuation signals for TSE:7224:
Operating Margin %: 8.37% (65% above median its 10-year median of 5.06)
GF Value™: 円1,581.09 vs. price of 円2,047.00 (29.5% above fair value)
Industry Position: 41.1% above the Conglomerates median (#277 of 545)
No single metric tells the full story. See the TSE:7224 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ShinMaywa Industries Ltd manufactures a wide range of products, including parking systems, aircrafts, trucks, and other industrial systems. The company has four operating segments: aircraft, special-purpose truck, industrial machinery and environmental systems, and parking systems. The special-purpose truck segment generates roughly half of total sales and focuses on distributing dump trucks, lifters, compactors, and forestry machinery. The aircraft segment sells amphibian aircraft (capable of open-sea landing and takeoff) and aircraft parts to other manufacturers. Sales to customers located in Japan constitute about three fourths of total revenue.
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