Paragon Union BhdXKLS:9407 53 Operating Margin % is 4.47% as of Mar. 2026. GuruFocus rates XKLS:9407 with a GF Score™ of 53/100 and a GF Value™ of RM4.03 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 1,325 Vehicles & Parts companies, Paragon Union Bhd ranks better than 80.6% on this metric.
The historical rank and industry rank for Paragon Union Bhd's Operating Margin % or its related term are showing as below:
XKLS:9407'
s Operating Margin % Range Over the Past 10 Years
Min: -38.47 Med: -4.18 Max: 10.9
Current: 10.9
XKLS:9407's Operating Margin % is ranked better than 80.6% of 1325
companies
in the Vehicles & Parts industry
Industry Median: 4.86
vs XKLS:9407: 10.90
Paragon Union Bhd's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
Paragon Union Bhd (XKLS:9407) 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.
Paragon Union Bhd Operating Margin % Related Terms
Paragon Union Bhd Operating Margin % Historical Data
* Premium members only.
The historical data trend for Paragon Union 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:9407 vs ORLY, AZO: Operating Margin % Comparison
For the Auto Parts subindustry, Paragon Union 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.
Paragon Union Bhd Operating Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Paragon Union Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Paragon Union 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.
Paragon Union Bhd's Operating Margin % for the fiscal year that ended in Dec. 2023 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.
Paragon Union Bhd (XKLS:9407) has a Operating Margin % of 4.47% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Paragon Union Bhd and its competitors. According to the industry distribution chart, Paragon Union Bhd ranks #257 out of 1325 companies in the Vehicles & Parts industry, placing it in the top 19.4%.
Is Paragon Union Bhd's Operating Margin % too high?
Paragon Union Bhd's current Operating Margin % is 4.47%. The Vehicles & Parts industry median Operating Margin % is 4.86. Paragon Union Bhd's value of 4.47% is 8% below this industry median. Based on the distribution chart, Paragon Union Bhd ranks #257 out of 1325 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Paragon Union Bhd has a GF Score™ of 53/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Paragon Union Bhd's Operating Margin % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Paragon Union Bhd ranks #257 out of 1325 companies for Operating Margin %. This places Paragon Union Bhd in the top 19% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 4.86. Paragon Union Bhd's value of 4.47% is 8% below this benchmark. 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 Vehicles & Parts company?
The median Operating Margin % among Vehicles & Parts companies is 4.86, based on 1,325 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. Paragon Union Bhd's current Operating Margin % of 4.47% is 8% 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 Paragon Union Bhd and its competitors. For the Vehicles & Parts industry, the median Operating Margin % is 4.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paragon Union Bhd's current Operating Margin % is 4.47%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Paragon Union Bhd stock overvalued right now?
Based on GuruFocus' analysis, Paragon Union Bhd (XKLS:9407) is currently considered Significantly Undervalued. The stock's GF Value™ is RM4.03, compared to a current price of RM1.63 — trading 59.6% below its estimated fair value. The current Operating Margin % is 4.47% and 8% below the Vehicles & Parts industry median of 4.86. Paragon Union Bhd's overall GF Score™ is 53/100 with 4 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 Paragon Union Bhd (XKLS:9407), the current Operating Margin % is 4.47% 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 Paragon Union Bhd (XKLS:9407) Overvalued in 2026?
Based on GuruFocus' analysis, Paragon Union Bhd stock appears to be undervalued.
The current stock price of RM1.63 is trading 59.6% below its estimated GF Value™ of RM4.03.
GuruFocus considers Paragon Union Bhd to be Significantly Undervalued.
Key valuation signals for XKLS:9407:
Operating Margin %: 4.47%
GF Value™: RM4.03 vs. price of RM1.63 (59.6% below fair value)
Industry Position: 8% below the Vehicles & Parts median (#257 of 1325)
No single metric tells the full story. See the XKLS:9407 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Paragon Union Bhd, through its subsidiaries, engages in the manufacturing and distribution of commercial carpets, rugs, automotive carpets, and NVH components. It has three reportable business segments: Automotive, Recycling, and Commercial. The Automotive segment covers car carpets and components, while the Commercial segment produces commercial carpets. The Recycling segment includes metal recycling and waste management. The Automotive segment generates the highest revenue for the company. Geographically, the company operates in Malaysia, Australia, China, Hong Kong, and other markets, with the majority of revenue derived from Malaysia.
53GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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