Tosho CoTSE:8920 -0.67%88 Operating Margin % is 22.84% as of Mar. 2026, which is 7% above its 10-year median of 21.41. GuruFocus rates TSE:8920 with a GF Score™ of 88/100 and a GF Value™ of 円648.76 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 545 Conglomerates companies, Tosho Co ranks better than 93.58% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Tosho Co's Operating Income for the
three
months ended in Mar. 2026 was 円1,518 Mil. Tosho Co's Revenue for the
three
months ended in Mar. 2026 was 円6,644 Mil. Therefore, Tosho Co's Operating Margin % for the quarter that ended in Mar. 2026 was 22.84%.
Good Sign:
Tosho Co Ltd operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Tosho Co's Operating Margin % or its related term are showing as below:
TSE:8920'
s Operating Margin % Range Over the Past 10 Years
Min: 6.13 Med: 21.41 Max: 28.09
Current: 27.08
TSE:8920's Operating Margin % is ranked better than 93.58% of 545
companies
in the Conglomerates industry
Industry Median: 5.93
vs TSE:8920: 27.08
Tosho Co's 5-Year Average Operating Margin % Growth Rate was 23.40% per year.
Tosho Co's Operating Income for the
three
months ended in Mar. 2026 was 円1,518 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was 円7,472 Mil.
Tosho Co (TSE:8920) 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.
Tosho Co Operating Margin % Related Terms
Tosho Co Operating Margin % Historical Data
* Premium members only.
The historical data trend for Tosho 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:8920 vs HON, MMM: Operating Margin % Comparison
For the Conglomerates subindustry, Tosho 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.
Tosho Co Operating Margin % vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Tosho Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Tosho Co'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.
Tosho Co'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.
Tosho Co (TSE:8920) has a Operating Margin % of 22.84% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Tosho Co and its competitors. This is near median its historical median of 21.41. Over the past decade, Tosho Co's Operating Margin % has ranged from 6.13 to 28.09. According to the industry distribution chart, Tosho Co ranks #35 out of 545 companies in the Conglomerates industry, placing it in the top 6.4%.
Is Tosho Co's Operating Margin % too high?
Tosho Co's current Operating Margin % of 22.84% is near median its 10-year median of 21.41. Over the past 10 years, this metric has ranged from a low of 6.13 to a high of 28.09. The Conglomerates industry median Operating Margin % is 5.93. Tosho Co's value of 22.84% is 285.2% above this industry median. Based on the distribution chart, Tosho Co ranks #35 out of 545 companies in the Conglomerates industry, which is in the top quartile — a strong position relative to peers. Overall, Tosho Co has a GF Score™ of 88/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tosho Co's Operating Margin % compare to HON and MMM?
According to the Conglomerates industry distribution chart, Tosho Co ranks #35 out of 545 companies for Operating Margin %. This places Tosho Co in the top 6% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 5.93. Tosho Co's value of 22.84% is 285.2% above this benchmark. Historically, Tosho Co's own Operating Margin % has ranged from 6.13 to 28.09 over the past decade. While the company's 10-year median is 21.41 vs. the industry median of 5.93, Tosho Co 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. Tosho Co's current Operating Margin % of 22.84% is 285.2% 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 Tosho Co 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. Tosho Co's current Operating Margin % is 22.84%, which is near median its own 10-year median of 21.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tosho Co stock overvalued right now?
Based on GuruFocus' analysis, Tosho Co (TSE:8920) is currently considered Modestly Overvalued. The stock's GF Value™ is 円648.76, compared to a current price of 円736.00 — trading 13.4% above its estimated fair value. The current Operating Margin % is 22.84%, which is near median its 10-year median of 21.41 and 285.2% above the Conglomerates industry median of 5.93. Tosho Co's overall GF Score™ is 88/100 with 2 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 Tosho Co (TSE:8920), the current Operating Margin % is 22.84% 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 Tosho Co (TSE:8920) Overvalued in 2026?
Based on GuruFocus' analysis, Tosho Co stock appears to be overvalued.
The current stock price of 円736.00 is trading 13.4% above its estimated GF Value™ of 円648.76.
GuruFocus considers Tosho Co to be Modestly Overvalued.
Key valuation signals for TSE:8920:
Operating Margin %: 22.84% (near median its 10-year median of 21.41)
GF Value™: 円648.76 vs. price of 円736.00 (13.4% above fair value)
Industry Position: 285.2% above the Conglomerates median (#35 of 545)
No single metric tells the full story. See the TSE:8920 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tosho Co Ltd is mainly engaged in the operation of sports clubs in Japan. It mainly operates membership sports clubs under the name Holiday Sports Club and golf practice ranges under the name Holiday Golf Garden. The company's business segment includes Sports club business; Hotel business and Real estate business. It generates maximum revenue from the Sports club business segment.
88GF Score
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