Hakudo Co (TSE:7637) Operating Margin %: 5.27% (As of Mar. 2026) — Near Median


TSE:7637 Hakudo Co Ltd TSE:7637
83 GF Score
Price 円3,280.00
GF Value 円2,625.03
Valuation Modestly Overvalued
! 3 Warning Signs
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What is Hakudo Co Operating Margin %?

Hakudo Co TSE:7637 -1.06% 83 Operating Margin % is 5.27% as of Mar. 2026, which is 5% above its 10-year median of 5.01. GuruFocus rates TSE:7637 with a GF Score™ of 83/100 and a GF Value™ of 円2,625.03 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 3,027 Industrial Products companies, Hakudo Co ranks worse than 61.84% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Hakudo Co's Operating Income for the six months ended in Mar. 2026 was 円1,866 Mil. Hakudo Co's Revenue for the six months ended in Mar. 2026 was 円35,410 Mil. Therefore, Hakudo Co's Operating Margin % for the quarter that ended in Mar. 2026 was 5.27%.

Warning Sign:

Hakudo Co Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -7.8%.

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

TSE:7637' s Operating Margin % Range Over the Past 10 Years
Min: 3.97   Med: 5.01   Max: 7.68
Current: 4.22


TSE:7637's Operating Margin % is ranked worse than
61.84% of 3027 companies
in the Industrial Products industry
Industry Median: 6.53 vs TSE:7637: 4.22

Hakudo Co's 5-Year Average Operating Margin % Growth Rate was -7.80% per year.

Hakudo Co's Operating Income for the six months ended in Mar. 2026 was 円1,866 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was 円2,872 Mil.


Hakudo Co  (TSE:7637) 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.


Hakudo Co Operating Margin % Related Terms


Hakudo Co Operating Margin % Historical Data

* Premium members only.

The historical data trend for Hakudo 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.

Hakudo Co Operating Margin % Chart

Hakudo Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.68 6.13 4.41 4.49 4.22

Hakudo Co Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
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 4.56 4.83 4.16 3.08 5.27

TSE:7637 vs CRS, ATI, MLI: Operating Margin % Comparison

For the Metal Fabrication subindustry, Hakudo 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.


Hakudo Co Operating Margin % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Hakudo Co's Operating Margin % distribution charts can be found below:

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


TSE:7637
83GF Score
Hakudo Co Ltd TSE:7637
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Hakudo 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.

Hakudo Co's Operating Margin % for the fiscal year that ended in Mar. 2026 is calculated as

Operating Margin %=Operating Income (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=2872.207 / 68109.588
=4.22 %

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

Operating Margin %=Operating Income (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=1866.462 / 35409.915
=5.27 %

* 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 5.27% mean?
Hakudo Co (TSE:7637) has a Operating Margin % of 5.27% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Hakudo Co and its competitors. This is near median its historical median of 5.01. Over the past decade, Hakudo Co's Operating Margin % has ranged from 3.97 to 7.68. According to the industry distribution chart, Hakudo Co ranks #1872 out of 3027 companies in the Industrial Products industry, placing it in the top 61.8%.
Is Hakudo Co's Operating Margin % too high?
Hakudo Co's current Operating Margin % of 5.27% is near median its 10-year median of 5.01. Over the past 10 years, this metric has ranged from a low of 3.97 to a high of 7.68. The Industrial Products industry median Operating Margin % is 6.53. Hakudo Co's value of 5.27% is 19.3% below this industry median. Based on the distribution chart, Hakudo Co ranks #1872 out of 3027 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Hakudo Co has a GF Score™ of 83/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hakudo Co's Operating Margin % compare to CRS and ATI?
According to the Industrial Products industry distribution chart, Hakudo Co ranks #1872 out of 3027 companies for Operating Margin %. This places Hakudo Co in the lower half of its industry. The industry median Operating Margin % is 6.53. Hakudo Co's value of 5.27% is 19.3% below this benchmark. Historically, Hakudo Co's own Operating Margin % has ranged from 3.97 to 7.68 over the past decade. While the company's 10-year median is 5.01 vs. the industry median of 6.53, Hakudo 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 6.53, based on 3,027 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. Hakudo Co's current Operating Margin % of 5.27% is 19.3% 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 Hakudo Co and its competitors. For the Industrial Products industry, the median Operating Margin % is 6.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hakudo Co's current Operating Margin % is 5.27%, which is near median its own 10-year median of 5.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hakudo Co stock overvalued right now?
Based on GuruFocus' analysis, Hakudo Co (TSE:7637) is currently considered Modestly Overvalued. The stock's GF Value™ is 円2,625.03, compared to a current price of 円3,280.00 — trading 25% above its estimated fair value. The current Operating Margin % is 5.27%, which is near median its 10-year median of 5.01 and 19.3% below the Industrial Products industry median of 6.53. Hakudo Co's overall GF Score™ is 83/100 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 Hakudo Co (TSE:7637), the current Operating Margin % is 5.27% 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 Hakudo Co (TSE:7637) Overvalued in 2026?

Based on GuruFocus' analysis, Hakudo Co stock appears to be overvalued. The current stock price of 円3,280.00 is trading 25% above its estimated GF Value™ of 円2,625.03. GuruFocus considers Hakudo Co to be Modestly Overvalued.

Key valuation signals for TSE:7637:

  • Operating Margin %: 5.27% (near median its 10-year median of 5.01)
  • GF Value™: 円2,625.03 vs. price of 円3,280.00 (25% above fair value)
  • GF Score™: 83/100 with 3 warning signs
  • Industry Position: 19.3% below the Industrial Products median (#1872 of 3027)

No single metric tells the full story. See the TSE:7637 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hakudo Co Business Description

Address 11th Floor, Mitsubishi Building, 2-5-2, Marunouchi,Chiyoda-ku, Tokyo, JPN, 107-6322
Hakudo Co Ltd is the metal and plastic distributor in Japan, specializing in cutting and processing materials. The company offers non-ferrous metals such as aluminium and copper, as well as stainless steel, special steel, titanium and engineering plastics. In addition, the company also offers metal and plastic materials.
83GF Score

Get the complete analysis for TSE:7637

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

円3,280.00
Price
円2,625.03
GF Value