Kobay Technology BhdXKLS:6971 +0.78%71 Operating Margin % is 11.76% as of Mar. 2026, which is 4% above its 10-year median of 11.34. GuruFocus rates XKLS:6971 with a GF Score™ of 71/100 and a GF Value™ of RM1.89 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 3,031 Industrial Products companies, Kobay Technology Bhd ranks better than 66.35% on this metric.
The historical rank and industry rank for Kobay Technology Bhd's Operating Margin % or its related term are showing as below:
XKLS:6971'
s Operating Margin % Range Over the Past 10 Years
Min: -4.38 Med: 11.34 Max: 19.81
Current: 10
XKLS:6971's Operating Margin % is ranked better than 66.35% of 3031
companies
in the Industrial Products industry
Industry Median: 6.53
vs XKLS:6971: 10.00
Kobay Technology Bhd's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
Kobay Technology Bhd (XKLS:6971) 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.
Kobay Technology Bhd Operating Margin % Related Terms
Kobay Technology Bhd Operating Margin % Historical Data
* Premium members only.
The historical data trend for Kobay Technology 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:6971 vs CRS, ATI, MLI: Operating Margin % Comparison
For the Metal Fabrication subindustry, Kobay Technology 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.
Kobay Technology Bhd Operating Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Kobay Technology Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Kobay Technology Bhd's Operating Margin % falls into.
Kobay Technology 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.
Kobay Technology Bhd's Operating Margin % for the fiscal year that ended in Jun. 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.
Kobay Technology Bhd (XKLS:6971) has a Operating Margin % of 11.76% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Kobay Technology Bhd and its competitors. This is near median its historical median of 11.34. According to the industry distribution chart, Kobay Technology Bhd ranks #1020 out of 3031 companies in the Industrial Products industry, placing it in the top 33.7%.
Is Kobay Technology Bhd's Operating Margin % too high?
Kobay Technology Bhd's current Operating Margin % of 11.76% is near median its 10-year median of 11.34. The Industrial Products industry median Operating Margin % is 6.53. Kobay Technology Bhd's value of 11.76% is 80.1% above this industry median. Based on the distribution chart, Kobay Technology Bhd ranks #1020 out of 3031 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Kobay Technology Bhd has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kobay Technology Bhd's Operating Margin % compare to CRS and ATI?
According to the Industrial Products industry distribution chart, Kobay Technology Bhd ranks #1020 out of 3031 companies for Operating Margin %. This puts Kobay Technology Bhd in the upper half of its industry. The industry median Operating Margin % is 6.53. Kobay Technology Bhd's value of 11.76% is 80.1% above this benchmark. While the company's 10-year median is 11.34 vs. the industry median of 6.53, Kobay Technology 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 3,031 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. Kobay Technology Bhd's current Operating Margin % of 11.76% is 80.1% 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 Kobay Technology 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. Kobay Technology Bhd's current Operating Margin % is 11.76%, which is near median its own 10-year median of 11.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kobay Technology Bhd stock overvalued right now?
Based on GuruFocus' analysis, Kobay Technology Bhd (XKLS:6971) is currently considered Significantly Overvalued. The stock's GF Value™ is RM1.89, compared to a current price of RM2.58 — trading 36.5% above its estimated fair value. The current Operating Margin % is 11.76%, which is near median its 10-year median of 11.34 and 80.1% above the Industrial Products industry median of 6.53. Kobay Technology Bhd's overall GF Score™ is 71/100 with 5 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 Kobay Technology Bhd (XKLS:6971), the current Operating Margin % is 11.76% 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 Kobay Technology Bhd (XKLS:6971) Overvalued in 2026?
Based on GuruFocus' analysis, Kobay Technology Bhd stock appears to be overvalued.
The current stock price of RM2.58 is trading 36.5% above its estimated GF Value™ of RM1.89.
GuruFocus considers Kobay Technology Bhd to be Significantly Overvalued.
Key valuation signals for XKLS:6971:
Operating Margin %: 11.76% (near median its 10-year median of 11.34)
GF Value™: RM1.89 vs. price of RM2.58 (36.5% above fair value)
Industry Position: 80.1% above the Industrial Products median (#1020 of 3031)
No single metric tells the full story. See the XKLS:6971 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kobay Technology Bhd is an investment holding company. Along with its subsidiaries, the company operates in the following segments: Manufacturing, Property development, Pharmaceutical and healthcare, Asset Management, Investment holding, and Others. It generates maximum revenue from the Manufacturing segment, which is engaged in the manufacturing of precision machined components, precision stamping, sheet metal parts, surface treatment, precision moulds, tooling and form dies, semiconductor assembly and testing equipment, metal works and structures, modules and parts for oil and gas production and extraction equipment, and components and sub-assemblies for aerospace parts. Geographically, it derives key revenue from Malaysia and the rest from Singapore, the USA, and other regions.
71GF Score
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