Ho Wah Genting BhdXKLS:9601 35 Operating Margin % is -3.74% as of Mar. 2026. GuruFocus rates XKLS:9601 with a GF Score™ of 35/100 and a GF Value™ of RM0.15 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 3,038 Industrial Products companies, Ho Wah Genting Bhd ranks worse than 76.56% on this metric.
The historical rank and industry rank for Ho Wah Genting Bhd's Operating Margin % or its related term are showing as below:
XKLS:9601'
s Operating Margin % Range Over the Past 10 Years
Min: -13.22 Med: -1.34 Max: 2.12
Current: 0.17
XKLS:9601's Operating Margin % is ranked worse than 76.56% of 3038
companies
in the Industrial Products industry
Industry Median: 6.53
vs XKLS:9601: 0.17
Ho Wah Genting Bhd's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
Ho Wah Genting Bhd has recorded a loss in operating income at least once over the past 3 years.
Ho Wah Genting Bhd (XKLS:9601) 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.
Ho Wah Genting Bhd Operating Margin % Related Terms
Ho Wah Genting Bhd Operating Margin % Historical Data
* Premium members only.
The historical data trend for Ho Wah Genting 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:9601 vs VRT, BE, NVT: Operating Margin % Comparison
For the Electrical Equipment & Parts subindustry, Ho Wah Genting 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.
Ho Wah Genting Bhd Operating Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Ho Wah Genting Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Ho Wah Genting 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.
Ho Wah Genting 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.
Ho Wah Genting Bhd (XKLS:9601) has a Operating Margin % of -3.74% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Ho Wah Genting Bhd and its competitors. According to the industry distribution chart, Ho Wah Genting Bhd ranks #2326 out of 3038 companies in the Industrial Products industry, placing it in the top 76.6%.
Is Ho Wah Genting Bhd's Operating Margin % too high?
Ho Wah Genting Bhd's current Operating Margin % is -3.74%. Based on the distribution chart, Ho Wah Genting Bhd ranks #2326 out of 3038 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Ho Wah Genting Bhd has a GF Score™ of 35/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Ho Wah Genting Bhd's Operating Margin % compare to VRT and BE?
According to the Industrial Products industry distribution chart, Ho Wah Genting Bhd ranks #2326 out of 3038 companies for Operating Margin %. This places Ho Wah Genting Bhd in the lower half of its industry. The industry median Operating Margin % is 6.53. 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. 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 Ho Wah Genting 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. Ho Wah Genting Bhd's current Operating Margin % is -3.74%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ho Wah Genting Bhd stock overvalued right now?
Based on GuruFocus' analysis, Ho Wah Genting Bhd (XKLS:9601) is currently considered Possible Value Trap. The stock's GF Value™ is RM0.15, compared to a current price of RM0.11 — trading 30% below its estimated fair value. The current Operating Margin % is -3.74%. Ho Wah Genting Bhd's overall GF Score™ is 35/100 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 Ho Wah Genting Bhd (XKLS:9601), the current Operating Margin % is -3.74% 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 Ho Wah Genting Bhd (XKLS:9601) Overvalued in 2026?
Based on GuruFocus' analysis, Ho Wah Genting Bhd stock appears to be undervalued.
The current stock price of RM0.11 is trading 30% below its estimated GF Value™ of RM0.15.
GuruFocus considers Ho Wah Genting Bhd to be Possible Value Trap.
Key valuation signals for XKLS:9601:
Operating Margin %: -3.74%
GF Value™: RM0.15 vs. price of RM0.11 (30% below fair value)
No single metric tells the full story. See the XKLS:9601 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ho Wah Genting Bhd is an integrated manufacturer engaged in manufacturing of wires and cables, power supply cord sets, and moulded cable assemblies for original equipment manufacturers (OEM) of electrical and electronic devices and for original design manufacturers (ODM). Its segments include Investment engaged in investment in properties and investment by the holding company; Moulded power supply cord sets engaged in manufacturing and trading of wires and cables, moulded power supply cord sets and cable assemblies for electrical and electronic devices and equipment; and Healthcare engaged in healthcare related businesses which includes the health supplement, biotechnology and healthcare technology.
35GF Score
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