Hap Seng Consolidated BhdXKLS:3034 +0.37%64 Operating Margin % is 15.29% as of Mar. 2026, which is 12% below its 10-year median of 17.32. GuruFocus rates XKLS:3034 with a GF Score™ of 64/100 and a GF Value™ of RM2.91 (Fairly Valued). The stock has 6 warning signs investors should review. Among 548 Conglomerates companies, Hap Seng Consolidated Bhd ranks better than 89.23% on this metric.
Hap Seng Consolidated Bhd (XKLS:3034) 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.
Hap Seng Consolidated Bhd Operating Margin % Related Terms
Hap Seng Consolidated Bhd Operating Margin % Historical Data
* 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.
Hap Seng Consolidated Bhd Operating Margin % Chart
XKLS:3034 vs HON, MMM: Operating Margin % Comparison
For the Conglomerates subindustry, Hap Seng Consolidated 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.
Hap Seng Consolidated Bhd Operating Margin % vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Hap Seng Consolidated Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Hap Seng Consolidated Bhd's Operating Margin % falls into.
Hap Seng Consolidated 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.
Hap Seng Consolidated 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.
Hap Seng Consolidated Bhd (XKLS:3034) has a Operating Margin % of 15.29% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Hap Seng Consolidated Bhd and its competitors. This is 12% below median its historical median of 17.32. Over the past decade, Hap Seng Consolidated Bhd's Operating Margin % has ranged from 11.26 to 26.46. According to the industry distribution chart, Hap Seng Consolidated Bhd ranks #59 out of 548 companies in the Conglomerates industry, placing it in the top 10.8%.
Is Hap Seng Consolidated Bhd's Operating Margin % too high?
Hap Seng Consolidated Bhd's current Operating Margin % of 15.29% is 12% below median its 10-year median of 17.32. Over the past 10 years, this metric has ranged from a low of 11.26 to a high of 26.46. The Conglomerates industry median Operating Margin % is 5.82. Hap Seng Consolidated Bhd's value of 15.29% is 162.7% above this industry median. Based on the distribution chart, Hap Seng Consolidated Bhd ranks #59 out of 548 companies in the Conglomerates industry, which is in the top quartile — a strong position relative to peers. Overall, Hap Seng Consolidated Bhd has a GF Score™ of 64/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hap Seng Consolidated Bhd's Operating Margin % compare to HON and MMM?
According to the Conglomerates industry distribution chart, Hap Seng Consolidated Bhd ranks #59 out of 548 companies for Operating Margin %. This places Hap Seng Consolidated Bhd in the top 11% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 5.82. Hap Seng Consolidated Bhd's value of 15.29% is 162.7% above this benchmark. Historically, Hap Seng Consolidated Bhd's own Operating Margin % has ranged from 11.26 to 26.46 over the past decade. While the company's 10-year median is 17.32 vs. the industry median of 5.82, Hap Seng Consolidated 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 a Conglomerates company?
The median Operating Margin % among Conglomerates companies is 5.82, based on 548 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. Hap Seng Consolidated Bhd's current Operating Margin % of 15.29% is 162.7% 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 Hap Seng Consolidated Bhd and its competitors. For the Conglomerates industry, the median Operating Margin % is 5.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hap Seng Consolidated Bhd's current Operating Margin % is 15.29%, which is 12% below median its own 10-year median of 17.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hap Seng Consolidated Bhd stock overvalued right now?
Based on GuruFocus' analysis, Hap Seng Consolidated Bhd (XKLS:3034) is currently considered Fairly Valued. The stock's GF Value™ is RM2.91, compared to a current price of RM2.74 — trading 5.8% below its estimated fair value. The current Operating Margin % is 15.29%, which is 12% below median its 10-year median of 17.32 and 162.7% above the Conglomerates industry median of 5.82. Hap Seng Consolidated Bhd's overall GF Score™ is 64/100 with 6 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 Hap Seng Consolidated Bhd (XKLS:3034), the current Operating Margin % is 15.29% 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 Hap Seng Consolidated Bhd (XKLS:3034) Overvalued in 2026?
Based on GuruFocus' analysis, Hap Seng Consolidated Bhd stock appears to be undervalued.
The current stock price of RM2.74 is trading 5.8% below its estimated GF Value™ of RM2.91.
GuruFocus considers Hap Seng Consolidated Bhd to be Fairly Valued.
Key valuation signals for XKLS:3034:
Operating Margin %: 15.29% (12% below median its 10-year median of 17.32)
GF Value™: RM2.91 vs. price of RM2.74 (5.8% below fair value)
Industry Position: 162.7% above the Conglomerates median (#59 of 548)
No single metric tells the full story. See the XKLS:3034 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hap Seng Consolidated Bhd is an investment holding company. Its segment comprises: Plantation engaged in the cultivation of oil palm and processing of fresh fruit bunches; Property consists of Property investment, property development, and hospitality; Credit financing consists provision of financial services; Automotive engaged in trading in motor vehicles, spare parts and servicing of motor vehicles; Trading consists of Trading and distribution of fertilizers and agro-chemical, trading of general building materials and petroleum products; and Building materials comprise operation of stone quarries and asphalt plants, manufacture of bricks and tiles, distribution and others. The majority of the revenue is generated in Malaysia with smaller operations in Other Asian countries.
64GF Score
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