AYS Ventures BhdXKLS:5021 -2.27%27 Operating Margin % is 1.93% as of Mar. 2026, which is 68% below its 10-year median of 6.05. GuruFocus rates XKLS:5021 with a GF Score™ of 27/100 and a GF Value™ of RM0.27 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 616 Steel companies, AYS Ventures Bhd ranks worse than 70.62% on this metric.
AYS Ventures Bhd (XKLS:5021) 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.
AYS Ventures Bhd Operating Margin % Related Terms
AYS Ventures Bhd Operating Margin % Historical Data
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The historical data trend for AYS Ventures 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:5021 vs NUE, STLD, RS: Operating Margin % Comparison
For the Steel subindustry, AYS Ventures 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.
AYS Ventures Bhd Operating Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, AYS Ventures Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where AYS Ventures Bhd'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.
AYS Ventures Bhd'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.
AYS Ventures Bhd (XKLS:5021) has a Operating Margin % of 1.93% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on AYS Ventures Bhd and its competitors. This is 68% below median its historical median of 6.05. Over the past decade, AYS Ventures Bhd's Operating Margin % has ranged from 0.31 to 14.95. According to the industry distribution chart, AYS Ventures Bhd ranks #435 out of 616 companies in the Steel industry, placing it in the top 70.6%.
Is AYS Ventures Bhd's Operating Margin % too high?
AYS Ventures Bhd's current Operating Margin % of 1.93% is 68% below median its 10-year median of 6.05. Over the past 10 years, this metric has ranged from a low of 0.31 to a high of 14.95. The Steel industry median Operating Margin % is 3.00. AYS Ventures Bhd's value of 1.93% is 35.7% below this industry median. Based on the distribution chart, AYS Ventures Bhd ranks #435 out of 616 companies in the Steel industry, which is below the industry midpoint. Overall, AYS Ventures Bhd has a GF Score™ of 27/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does AYS Ventures Bhd's Operating Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, AYS Ventures Bhd ranks #435 out of 616 companies for Operating Margin %. This places AYS Ventures Bhd in the lower half of its industry. The industry median Operating Margin % is 3.00. AYS Ventures Bhd's value of 1.93% is 35.7% below this benchmark. Historically, AYS Ventures Bhd's own Operating Margin % has ranged from 0.31 to 14.95 over the past decade. While the company's 10-year median is 6.05 vs. the industry median of 3.00, AYS Ventures Bhd 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 a Steel company?
The median Operating Margin % among Steel companies is 3.00, based on 616 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. AYS Ventures Bhd's current Operating Margin % of 1.93% is 35.7% 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 AYS Ventures Bhd and its competitors. For the Steel industry, the median Operating Margin % is 3.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AYS Ventures Bhd's current Operating Margin % is 1.93%, which is 68% below median its own 10-year median of 6.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AYS Ventures Bhd stock overvalued right now?
Based on GuruFocus' analysis, AYS Ventures Bhd (XKLS:5021) is currently considered Modestly Undervalued. The stock's GF Value™ is RM0.27, compared to a current price of RM0.22 — trading 20.4% below its estimated fair value. The current Operating Margin % is 1.93%, which is 68% below median its 10-year median of 6.05 and 35.7% below the Steel industry median of 3.00. AYS Ventures Bhd's overall GF Score™ is 27/100 with 7 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 AYS Ventures Bhd (XKLS:5021), the current Operating Margin % is 1.93% 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 AYS Ventures Bhd (XKLS:5021) Overvalued in 2026?
Based on GuruFocus' analysis, AYS Ventures Bhd stock appears to be undervalued.
The current stock price of RM0.22 is trading 20.4% below its estimated GF Value™ of RM0.27.
GuruFocus considers AYS Ventures Bhd to be Modestly Undervalued.
Key valuation signals for XKLS:5021:
Operating Margin %: 1.93% (68% below median its 10-year median of 6.05)
GF Value™: RM0.27 vs. price of RM0.22 (20.4% below fair value)
Industry Position: 35.7% below the Steel median (#435 of 616)
No single metric tells the full story. See the XKLS:5021 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
AYS Ventures Bhd is an investment holding company. Along with its subsidiaries, it is principally involved in the trading and manufacturing of steel, construction, and related products. The group's operating business segments are Trading and services, Manufacturing, and Others. The majority of its revenue is generated from the Trading and services segment, which is engaged in trading and marketing of steel products and all types of construction materials, warehousing, and storage services. The Manufacturing segment is involved in the manufacturing and trading of purlin, structural steel components, and other steel products. Geographically, the group generates maximum revenue from Malaysia, followed by Singapore, the Asia-Pacific Economic Cooperation countries, and other countries.
27GF Score
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