Daiko Xtech (TSE:8023) Operating Margin %: 8.71% (As of Mar. 2026) — 96% Above Median

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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.

TSE:8023 Daiko Xtech Ltd TSE:8023
69 GF Score
Price 円1,017.00
GF Value 円942.44
Valuation Fairly Valued
! 1 Warning Sign
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What is Daiko Xtech Operating Margin %?

Daiko Xtech TSE:8023 -0.68% 69 Operating Margin % is 8.71% as of Mar. 2026, which is 96% above its 10-year median of 4.44. GuruFocus rates TSE:8023 with a GF Score™ of 69/100 and a GF Value™ of 円942.44 (Fairly Valued). The stock has 1 warning sign investors should review. Among 2,475 Hardware companies, Daiko Xtech ranks better than 53.58% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Daiko Xtech's Operating Income for the three months ended in Mar. 2026 was 円1,039 Mil. Daiko Xtech's Revenue for the three months ended in Mar. 2026 was 円11,931 Mil. Therefore, Daiko Xtech's Operating Margin % for the quarter that ended in Mar. 2026 was 8.71%.

Good Sign:

Daiko Xtech Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

TSE:8023' s Operating Margin % Range Over the Past 10 Years
Min: 1.56   Med: 4.44   Max: 6.68
Current: 4.48


TSE:8023's Operating Margin % is ranked better than
53.58% of 2475 companies
in the Hardware industry
Industry Median: 3.89 vs TSE:8023: 4.48

Daiko Xtech's 5-Year Average Operating Margin % Growth Rate was 8.50% per year.

Daiko Xtech's Operating Income for the three months ended in Mar. 2026 was 円1,039 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was 円1,904 Mil.


Daiko Xtech  (TSE:8023) 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.


Daiko Xtech Operating Margin % Related Terms


Daiko Xtech Operating Margin % Historical Data

* Premium members only.

The historical data trend for Daiko Xtech'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.

Daiko Xtech Operating Margin % Chart

Daiko Xtech 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 4.40 4.98 6.68 5.65 4.48

Daiko Xtech Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Sep24 Mar25 Jun25 Sep25 Dec25 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 0.00 2.96 3.60 1.88 8.71

TSE:8023 vs SNX, ARW, AVT: Operating Margin % Comparison

For the Electronics & Computer Distribution subindustry, Daiko Xtech'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.


Daiko Xtech Operating Margin % vs Hardware Industry

For the Hardware industry and Technology sector, Daiko Xtech's Operating Margin % distribution charts can be found below:

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


TSE:8023
69GF Score
Daiko Xtech Ltd TSE:8023
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Daiko Xtech 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.

Daiko Xtech'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 )
=1903.808 / 42500.54
=4.48 %

Daiko Xtech'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 )
=1039.289 / 11931.366
=8.71 %

* 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 8.71% mean?
Daiko Xtech (TSE:8023) has a Operating Margin % of 8.71% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Daiko Xtech and its competitors. This is 96% above median its historical median of 4.44. Over the past decade, Daiko Xtech's Operating Margin % has ranged from 1.56 to 6.68. According to the industry distribution chart, Daiko Xtech ranks #1149 out of 2475 companies in the Hardware industry, placing it in the top 46.4%.
Is Daiko Xtech's Operating Margin % too high?
Daiko Xtech's current Operating Margin % of 8.71% is 96% above median its 10-year median of 4.44. Over the past 10 years, this metric has ranged from a low of 1.56 to a high of 6.68. The Hardware industry median Operating Margin % is 3.89. Daiko Xtech's value of 8.71% is 123.9% above this industry median. Based on the distribution chart, Daiko Xtech ranks #1149 out of 2475 companies in the Hardware industry, which is above the industry midpoint. Overall, Daiko Xtech has a GF Score™ of 69/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Daiko Xtech's Operating Margin % compare to SNX and ARW?
According to the Hardware industry distribution chart, Daiko Xtech ranks #1149 out of 2475 companies for Operating Margin %. This puts Daiko Xtech in the upper half of its industry. The industry median Operating Margin % is 3.89. Daiko Xtech's value of 8.71% is 123.9% above this benchmark. Historically, Daiko Xtech's own Operating Margin % has ranged from 1.56 to 6.68 over the past decade. While the company's 10-year median is 4.44 vs. the industry median of 3.89, Daiko Xtech 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 Hardware company?
The median Operating Margin % among Hardware companies is 3.89, based on 2,475 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. Daiko Xtech's current Operating Margin % of 8.71% is 123.9% 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 Daiko Xtech and its competitors. For the Hardware 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. Daiko Xtech's current Operating Margin % is 8.71%, which is 96% above median its own 10-year median of 4.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Daiko Xtech stock overvalued right now?
Based on GuruFocus' analysis, Daiko Xtech (TSE:8023) is currently considered Fairly Valued. The stock's GF Value™ is 円942.44, compared to a current price of 円1,017.00 — trading 7.9% above its estimated fair value. The current Operating Margin % is 8.71%, which is 96% above median its 10-year median of 4.44 and 123.9% above the Hardware industry median of 3.89. Daiko Xtech's overall GF Score™ is 69/100 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 Daiko Xtech (TSE:8023), the current Operating Margin % is 8.71% 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 Daiko Xtech (TSE:8023) Overvalued in 2026?

Based on GuruFocus' analysis, Daiko Xtech stock appears to be overvalued. The current stock price of 円1,017.00 is trading 7.9% above its estimated GF Value™ of 円942.44. GuruFocus considers Daiko Xtech to be Fairly Valued.

Key valuation signals for TSE:8023:

  • Operating Margin %: 8.71% (96% above median its 10-year median of 4.44)
  • GF Value™: 円942.44 vs. price of 円1,017.00 (7.9% above fair value)
  • GF Score™: 69/100 with 1 warning sign
  • Industry Position: 123.9% above the Hardware median (#1149 of 2475)

No single metric tells the full story. See the TSE:8023 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Daiko Xtech Business Description

Address 2-1 Ageba-cho, Shinjuku-ku, Tokyo, JPN, 162-8565
Daiko Xtech Ltd formerly Daiko Denshi Tsushin Ltd s engaged in the sale of information communications equipment and the provision of related services. The principal business activities of the company include system consultancy, sales and maintenances of various types of computers, development and maintenances of software, sales and maintenances of a network, sales of computer-related products and construction of office facility.
69GF Score

Get the complete analysis for TSE:8023

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

円1,017.00
Price
円942.44
GF Value