Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Eiken Industries CoTSE:7265 +0.39%74 Operating Margin % is 2.63% as of Apr. 2026, which is 59% below its 10-year median of 6.43. GuruFocus rates TSE:7265 with a GF Score™ of 74/100 and a GF Value™ of 円3,592.57 (Fairly Valued). The stock has 3 warning signs investors should review. Among 3,034 Industrial Products companies, Eiken Industries Co ranks worse than 65.82% on this metric.
Eiken Industries Co (TSE:7265) 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 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.
Eiken Industries Co Operating Margin % Related Terms
Eiken Industries Co Operating Margin % Historical Data
* Premium members only.
The historical data trend for Eiken Industries 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.
TSE:7265 vs VLTO, ZWS, CECO: Operating Margin % Comparison
For the Pollution & Treatment Controls subindustry, Eiken Industries 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.
Eiken Industries Co Operating Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Eiken Industries Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Eiken Industries Co's Operating Margin % falls into.
Eiken Industries 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.
Eiken Industries Co's Operating Margin % for the fiscal year that ended in Oct. 2025 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.
Eiken Industries Co (TSE:7265) has a Operating Margin % of 2.63% as of Apr. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Eiken Industries Co and its competitors. This is 59% below median its historical median of 6.43. Over the past decade, Eiken Industries Co's Operating Margin % has ranged from 1.71 to 9.10. According to the industry distribution chart, Eiken Industries Co ranks #1997 out of 3034 companies in the Industrial Products industry, placing it in the top 65.8%.
Is Eiken Industries Co's Operating Margin % too high?
Eiken Industries Co's current Operating Margin % of 2.63% is 59% below median its 10-year median of 6.43. Over the past 10 years, this metric has ranged from a low of 1.71 to a high of 9.10. The Industrial Products industry median Operating Margin % is 6.50. Eiken Industries Co's value of 2.63% is 59.5% below this industry median. Based on the distribution chart, Eiken Industries Co ranks #1997 out of 3034 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Eiken Industries Co has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Eiken Industries Co's Operating Margin % compare to VLTO and ZWS?
According to the Industrial Products industry distribution chart, Eiken Industries Co ranks #1997 out of 3034 companies for Operating Margin %. This places Eiken Industries Co in the lower half of its industry. The industry median Operating Margin % is 6.50. Eiken Industries Co's value of 2.63% is 59.5% below this benchmark. Historically, Eiken Industries Co's own Operating Margin % has ranged from 1.71 to 9.10 over the past decade. While the company's 10-year median is 6.43 vs. the industry median of 6.50, Eiken Industries Co has consistently been below 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 an Industrial Products company?
The median Operating Margin % among Industrial Products companies is 6.50, based on 3,034 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. Eiken Industries Co's current Operating Margin % of 2.63% is 59.5% below 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 Eiken Industries Co and its competitors. For the Industrial Products industry, the median Operating Margin % is 6.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eiken Industries Co's current Operating Margin % is 2.63%, which is 59% below median its own 10-year median of 6.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eiken Industries Co stock overvalued right now?
Based on GuruFocus' analysis, Eiken Industries Co (TSE:7265) is currently considered Fairly Valued. The stock's GF Value™ is 円3,592.57, compared to a current price of 円3,845.00 — trading 7% above its estimated fair value. The current Operating Margin % is 2.63%, which is 59% below median its 10-year median of 6.43 and 59.5% below the Industrial Products industry median of 6.50. Eiken Industries Co'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 Eiken Industries Co (TSE:7265), the current Operating Margin % is 2.63% as of Apr. 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 Eiken Industries Co (TSE:7265) Overvalued in 2026?
Based on GuruFocus' analysis, Eiken Industries Co stock appears to be overvalued.
The current stock price of 円3,845.00 is trading 7% above its estimated GF Value™ of 円3,592.57.
GuruFocus considers Eiken Industries Co to be Fairly Valued.
Key valuation signals for TSE:7265:
Operating Margin %: 2.63% (59% below median its 10-year median of 6.43)
GF Value™: 円3,592.57 vs. price of 円3,845.00 (7% above fair value)
Industry Position: 59.5% below the Industrial Products median (#1997 of 3034)
No single metric tells the full story. See the TSE:7265 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Eiken Industries Co Ltd is a Japan-based company filtration equipment manufacturer. The products offered by the company include oil filter, air filter, fuel filter, cabin filter, and burners.
74GF Score
Get the complete analysis for TSE:7265
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
TSE:7265 has been successfully added to your 
