Zhaojin Mining Industry CoZHAOF 88 Operating Margin % is 41.31% as of Dec. 2025, which is 64% above its 10-year median of 25.13. GuruFocus rates ZHAOF with a GF Score™ of 88/100 and a GF Value™ of $3.81 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 841 Metals & Mining companies, Zhaojin Mining Industry Co ranks better than 80.62% on this metric.
Zhaojin Mining Industry Co (OTCPK:ZHAOF) 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.
Zhaojin Mining Industry Co Operating Margin % Related Terms
Zhaojin Mining Industry Co Operating Margin % Historical Data
* 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.
Zhaojin Mining Industry Co Operating Margin % Chart
ZHAOF vs NEM, AU, CDE: Operating Margin % Comparison
For the Gold subindustry, Zhaojin Mining Industry Co'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.
Zhaojin Mining Industry Co Operating Margin % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Zhaojin Mining Industry Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Zhaojin Mining Industry Co's Operating Margin % falls into.
Zhaojin Mining Industry Co 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.
Zhaojin Mining Industry Co'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.
Zhaojin Mining Industry Co (ZHAOF) has a Operating Margin % of 41.31% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Zhaojin Mining Industry Co and its competitors. This is 64% above median its historical median of 25.13. Over the past decade, Zhaojin Mining Industry Co's Operating Margin % has ranged from 16.83 to 32.68. According to the industry distribution chart, Zhaojin Mining Industry Co ranks #163 out of 841 companies in the Metals & Mining industry, placing it in the top 19.4%.
Is Zhaojin Mining Industry Co's Operating Margin % too high?
Zhaojin Mining Industry Co's current Operating Margin % of 41.31% is 64% above median its 10-year median of 25.13. Over the past 10 years, this metric has ranged from a low of 16.83 to a high of 32.68. The Metals & Mining industry median Operating Margin % is 5.72. Zhaojin Mining Industry Co's value of 41.31% is 622.2% above this industry median. Based on the distribution chart, Zhaojin Mining Industry Co ranks #163 out of 841 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, Zhaojin Mining Industry Co has a GF Score™ of 88/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Zhaojin Mining Industry Co's Operating Margin % compare to NEM and AU?
According to the Metals & Mining industry distribution chart, Zhaojin Mining Industry Co ranks #163 out of 841 companies for Operating Margin %. This places Zhaojin Mining Industry Co in the top 19% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 5.72. Zhaojin Mining Industry Co's value of 41.31% is 622.2% above this benchmark. Historically, Zhaojin Mining Industry Co's own Operating Margin % has ranged from 16.83 to 32.68 over the past decade. While the company's 10-year median is 25.13 vs. the industry median of 5.72, Zhaojin Mining Industry Co 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 Metals & Mining company?
The median Operating Margin % among Metals & Mining companies is 5.72, based on 841 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. Zhaojin Mining Industry Co's current Operating Margin % of 41.31% is 622.2% 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 Zhaojin Mining Industry Co and its competitors. For the Metals & Mining industry, the median Operating Margin % is 5.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zhaojin Mining Industry Co's current Operating Margin % is 41.31%, which is 64% above median its own 10-year median of 25.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zhaojin Mining Industry Co stock overvalued right now?
Based on GuruFocus' analysis, Zhaojin Mining Industry Co (ZHAOF) is currently considered Possible Value Trap. The stock's GF Value™ is $3.81, compared to a current price of $2.06 — trading 45.9% below its estimated fair value. The current Operating Margin % is 41.31%, which is 64% above median its 10-year median of 25.13 and 622.2% above the Metals & Mining industry median of 5.72. Zhaojin Mining Industry Co's overall GF Score™ is 88/100 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 Zhaojin Mining Industry Co (ZHAOF), the current Operating Margin % is 41.31% as of Dec. 2025. 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 Zhaojin Mining Industry Co (ZHAOF) Overvalued in 2026?
Based on GuruFocus' analysis, Zhaojin Mining Industry Co stock appears to be undervalued.
The current stock price of $2.06 is trading 45.9% below its estimated GF Value™ of $3.81.
GuruFocus considers Zhaojin Mining Industry Co to be Possible Value Trap.
Key valuation signals for ZHAOF:
Operating Margin %: 41.31% (64% above median its 10-year median of 25.13)
GF Value™: $3.81 vs. price of $2.06 (45.9% below fair value)
Industry Position: 622.2% above the Metals & Mining median (#163 of 841)
No single metric tells the full story. See the ZHAOF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zhaojin Mining Industry Co Ltd is engaged in the mining, processing, smelting, and sale of gold and silver products. The company has three reportable operating segments as follows: the Gold operations segment consists of gold mining and smelting operations; the Copper operations segment consists of copper mining and smelting operations; the Others segment comprises, principally, the Group's other investment activities, operation of a finance company, operation and catering services of a hotel, exploration services, engineering design and consulting services, and overseas operations.
88GF Score
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