LEM HoldingXSWX:LEHN -0.22%64 Operating Margin % is 9.62% as of Mar. 2026, which is 52% below its 10-year median of 20.19. GuruFocus rates XSWX:LEHN with a GF Score™ of 64/100 and a GF Value™ of CHF818.58 (Significantly Undervalued). The stock has 6 warning signs investors should review. Among 2,472 Hardware companies, LEM Holding ranks better than 72.86% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. LEM Holding's Operating Income for the
six
months ended in Mar. 2026 was CHF13.4 Mil. LEM Holding's Revenue for the
six
months ended in Mar. 2026 was CHF139.4 Mil. Therefore, LEM Holding's Operating Margin % for the quarter that ended in Mar. 2026 was 9.62%.
Warning Sign:
LEM Holding SA operating margin has been in a 5-year decline. The average rate of decline per year is -18.4%.
The historical rank and industry rank for LEM Holding's Operating Margin % or its related term are showing as below:
XSWX:LEHN'
s Operating Margin % Range Over the Past 10 Years
Min: 8.72 Med: 20.19 Max: 23.66
Current: 9.12
XSWX:LEHN's Operating Margin % is ranked better than 72.86% of 2472
companies
in the Hardware industry
Industry Median: 3.81
vs XSWX:LEHN: 9.12
LEM Holding's 5-Year Average Operating Margin % Growth Rate was -18.40% per year.
LEM Holding's Operating Income for the
six
months ended in Mar. 2026 was CHF13.4 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was CHF26.2 Mil.
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.
LEM Holding Operating Margin % Related Terms
LEM Holding Operating Margin % Historical Data
* Premium members only.
The historical data trend for LEM Holding'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.
XSWX:LEHN vs APH, GLW, TEL: Operating Margin % Comparison
For the Electronic Components subindustry, LEM Holding'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.
LEM Holding Operating Margin % vs Hardware Industry
For the Hardware industry and Technology sector, LEM Holding's Operating Margin % distribution charts can be found below:
* The bar in red indicates where LEM Holding'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.
LEM Holding'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.
LEM Holding (XSWX:LEHN) has a Operating Margin % of 9.62% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on LEM Holding and its competitors. This is 52% below median its historical median of 20.19. Over the past decade, LEM Holding's Operating Margin % has ranged from 8.72 to 23.66. According to the industry distribution chart, LEM Holding ranks #671 out of 2472 companies in the Hardware industry, placing it in the top 27.1%.
Is LEM Holding's Operating Margin % too high?
LEM Holding's current Operating Margin % of 9.62% is 52% below median its 10-year median of 20.19. Over the past 10 years, this metric has ranged from a low of 8.72 to a high of 23.66. The Hardware industry median Operating Margin % is 3.81. LEM Holding's value of 9.62% is 152.5% above this industry median. Based on the distribution chart, LEM Holding ranks #671 out of 2472 companies in the Hardware industry, which is above the industry midpoint. Overall, LEM Holding has a GF Score™ of 64/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does LEM Holding's Operating Margin % compare to APH and GLW?
According to the Hardware industry distribution chart, LEM Holding ranks #671 out of 2472 companies for Operating Margin %. This puts LEM Holding in the upper half of its industry. The industry median Operating Margin % is 3.81. LEM Holding's value of 9.62% is 152.5% above this benchmark. Historically, LEM Holding's own Operating Margin % has ranged from 8.72 to 23.66 over the past decade. While the company's 10-year median is 20.19 vs. the industry median of 3.81, LEM Holding 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 Hardware company?
The median Operating Margin % among Hardware companies is 3.81, based on 2,472 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. LEM Holding's current Operating Margin % of 9.62% is 152.5% 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 LEM Holding and its competitors. For the Hardware industry, the median Operating Margin % is 3.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LEM Holding's current Operating Margin % is 9.62%, which is 52% below median its own 10-year median of 20.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LEM Holding stock overvalued right now?
Based on GuruFocus' analysis, LEM Holding (XSWX:LEHN) is currently considered Significantly Undervalued. The stock's GF Value™ is CHF818.58, compared to a current price of CHF447.50 — trading 45.3% below its estimated fair value. The current Operating Margin % is 9.62%, which is 52% below median its 10-year median of 20.19 and 152.5% above the Hardware industry median of 3.81. LEM Holding'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 LEM Holding (XSWX:LEHN), the current Operating Margin % is 9.62% 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 LEM Holding (XSWX:LEHN) Overvalued in 2026?
Based on GuruFocus' analysis, LEM Holding stock appears to be undervalued.
The current stock price of CHF447.50 is trading 45.3% below its estimated GF Value™ of CHF818.58.
GuruFocus considers LEM Holding to be Significantly Undervalued.
Key valuation signals for XSWX:LEHN:
Operating Margin %: 9.62% (52% below median its 10-year median of 20.19)
GF Value™: CHF818.58 vs. price of CHF447.50 (45.3% below fair value)
Industry Position: 152.5% above the Hardware median (#671 of 2472)
No single metric tells the full story. See the XSWX:LEHN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LEM Holding SA develops electrical measurement solutions for energy and mobility applications. Its products are used in customer systems for measurement, monitoring, and control purposes. Its product portfolio includes Energy meters, Rogowski coils, Voltage sensors, Current sensors, and Integrated current sensors. The company's operations are organized in two reportable segments, namely, i) Region of Asia which includes China, Japan, South Korea, India, Southeast Asia; ii) Region of Europe/Americas which includes Europe, the Middle East, Africa, NAFTA and Latin America. The majority of revenue is derived from the Asia segment.
64GF Score
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