SFP Tech Holdings BhdXKLS:0251 +5.26%58 Operating Margin % is 27.61% as of Mar. 2026, which is 32% below its 10-year median of 40.88. GuruFocus rates XKLS:0251 with a GF Score™ of 58/100 and a GF Value™ of RM0.55 (Possible Value Trap). The stock has 9 warning signs investors should review. Among 3,038 Industrial Products companies, SFP Tech Holdings Bhd ranks better than 89.57% on this metric.
SFP Tech Holdings Bhd operating margin has been in a 5-year decline. The average rate of decline per year is -17.6%.
The historical rank and industry rank for SFP Tech Holdings Bhd's Operating Margin % or its related term are showing as below:
XKLS:0251'
s Operating Margin % Range Over the Past 10 Years
Min: 15.28 Med: 40.88 Max: 46.87
Current: 18.41
XKLS:0251's Operating Margin % is ranked better than 89.57% of 3038
companies
in the Industrial Products industry
Industry Median: 6.53
vs XKLS:0251: 18.41
SFP Tech Holdings Bhd's 5-Year Average Operating Margin % Growth Rate was -17.60% per year.
SFP Tech Holdings Bhd (XKLS:0251) 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.
SFP Tech Holdings Bhd Operating Margin % Related Terms
SFP Tech Holdings Bhd Operating Margin % Historical Data
* Premium members only.
The historical data trend for SFP Tech Holdings Bhd'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.
XKLS:0251 vs ATI, CRS, MLI: Operating Margin % Comparison
For the Metal Fabrication subindustry, SFP Tech Holdings Bhd'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.
SFP Tech Holdings Bhd Operating Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, SFP Tech Holdings Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where SFP Tech Holdings Bhd's Operating Margin % falls into.
SFP Tech Holdings Bhd 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.
SFP Tech Holdings Bhd's Operating Margin % for the fiscal year that ended in Dec. 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.
SFP Tech Holdings Bhd (XKLS:0251) has a Operating Margin % of 27.61% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on SFP Tech Holdings Bhd and its competitors. This is 32% below median its historical median of 40.88. Over the past decade, SFP Tech Holdings Bhd's Operating Margin % has ranged from 15.28 to 46.87. According to the industry distribution chart, SFP Tech Holdings Bhd ranks #317 out of 3038 companies in the Industrial Products industry, placing it in the top 10.4%.
Is SFP Tech Holdings Bhd's Operating Margin % too high?
SFP Tech Holdings Bhd's current Operating Margin % of 27.61% is 32% below median its 10-year median of 40.88. Over the past 10 years, this metric has ranged from a low of 15.28 to a high of 46.87. The Industrial Products industry median Operating Margin % is 6.53. SFP Tech Holdings Bhd's value of 27.61% is 322.8% above this industry median. Based on the distribution chart, SFP Tech Holdings Bhd ranks #317 out of 3038 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, SFP Tech Holdings Bhd has a GF Score™ of 58/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does SFP Tech Holdings Bhd's Operating Margin % compare to ATI and CRS?
According to the Industrial Products industry distribution chart, SFP Tech Holdings Bhd ranks #317 out of 3038 companies for Operating Margin %. This places SFP Tech Holdings Bhd in the top 10% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 6.53. SFP Tech Holdings Bhd's value of 27.61% is 322.8% above this benchmark. Historically, SFP Tech Holdings Bhd's own Operating Margin % has ranged from 15.28 to 46.87 over the past decade. While the company's 10-year median is 40.88 vs. the industry median of 6.53, SFP Tech Holdings Bhd 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 an Industrial Products company?
The median Operating Margin % among Industrial Products companies is 6.53, based on 3,038 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. SFP Tech Holdings Bhd's current Operating Margin % of 27.61% is 322.8% 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 SFP Tech Holdings Bhd 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. SFP Tech Holdings Bhd's current Operating Margin % is 27.61%, which is 32% below median its own 10-year median of 40.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SFP Tech Holdings Bhd stock overvalued right now?
Based on GuruFocus' analysis, SFP Tech Holdings Bhd (XKLS:0251) is currently considered Possible Value Trap. The stock's GF Value™ is RM0.55, compared to a current price of RM0.30 — trading 45.5% below its estimated fair value. The current Operating Margin % is 27.61%, which is 32% below median its 10-year median of 40.88 and 322.8% above the Industrial Products industry median of 6.53. SFP Tech Holdings Bhd's overall GF Score™ is 58/100 with 9 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 SFP Tech Holdings Bhd (XKLS:0251), the current Operating Margin % is 27.61% 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 SFP Tech Holdings Bhd (XKLS:0251) Overvalued in 2026?
Based on GuruFocus' analysis, SFP Tech Holdings Bhd stock appears to be undervalued.
The current stock price of RM0.30 is trading 45.5% below its estimated GF Value™ of RM0.55.
GuruFocus considers SFP Tech Holdings Bhd to be Possible Value Trap.
Key valuation signals for XKLS:0251:
Operating Margin %: 27.61% (32% below median its 10-year median of 40.88)
GF Value™: RM0.55 vs. price of RM0.30 (45.5% below fair value)
Industry Position: 322.8% above the Industrial Products median (#317 of 3038)
No single metric tells the full story. See the XKLS:0251 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
AddressPenang Science Park, MK13, Plot 322, Lorong Perindustrian Bukit Minyak 20, Kawasan Perindustrian Bukit Minyak, Bukit Mertajam, Seberang Perai Tengah, Seberang Perai, PNG, MYS, 14100
SFP Tech Holdings Bhd is a Malaysia-based integrated one-stop automation equipment solution and engineering supporting service provider. The company, along with its subsidiaries, provides engineering services ranging from customized sheet metal fabrication, precision CNC machining, to mechanical assembly and manufacturing services for its customers who are predominantly in the semiconductor, E&E, Solar PV, medical, and EMS industries. The group's reportable segments are Manufacturing and Automation. A majority of its revenue is generated from the Manufacturing segment, which represents the sales of precision machined parts and components, fabricated metal products, and mechanically assembled products. Geographically, it derives maximum revenue from Malaysia.
58GF Score
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