Operating Margin

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Price: 2 768 JPY -2.02% Market Closed

Market Cap: 238.4B JPY

8.9%

No historical data

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

8.9%

Operating Income

¥20.7B

Revenue

¥232B

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

8.9%

Operating Income

¥20.7B

Revenue

¥232B

Peer Comparison

Country		Company	Market Cap	Operating Margin
JP		Morinaga & Co Ltd TSE:2201	232.6B JPY	Loading...
JP	G	Goyo Foods Industry Co Ltd TSE:2230	53.2T JPY	Loading...
CH		Nestle SA SIX:NESN	184.6B CHF	Loading...
US		Mondelez International Inc NASDAQ:MDLZ	73.5B USD	Loading...
ZA	T	Tiger Brands Ltd JSE:TBS	55B Zac	Loading...
FR		Danone SA PAR:BN	43.4B EUR	Loading...
US		Hershey Co NYSE:HSY	39.6B USD	Loading...
CN		Muyuan Foods Co Ltd SZSE:002714	252.8B CNY	Loading...
ZA	A	Avi Ltd JSE:AVI	35.8B Zac	Loading...
CH		Chocoladefabriken Lindt & Spruengli AG SIX:LISN	26.1B CHF	Loading...
CN		Foshan Haitian Flavouring and Food Co Ltd SSE:603288	213.6B CNY	Loading...

Market Distribution

Min	-125 500%
30th Percentile	4.2%
Median	7%
70th Percentile	10.6%
Max	9 743.7%

Other Profitability Ratios

Morinaga & Co Ltd
Glance View

Market Cap

238.4B JPY

Industry

Food Products

Morinaga & Co., Ltd., a venerable stalwart in the sweet and snack categories, traces its origins to Japan's early 20th century industrial landscape. Founded in 1899 by Taichiro Morinaga, the company introduced Western confectionery to a Japanese audience enamored with traditional sweets. Its first success was the milk caramel, a product that captured the imagination and taste buds of a generation. As the decades rolled by, Morinaga expanded its repertoire to include chocolates, biscuits, ice creams, and health foods, underpinning its growth by marrying Western confectionery techniques with Japanese consumer preferences. The company fundamentally operates through widespread distribution channels, leveraging supermarkets, convenience stores, and specialty shops to ensure its products are readily accessible across Japan and increasingly, in international markets. Behind the colorful packaging and sweet aromas lies a robust business model that capitalizes on the brand's historical trust and innovative appeal. Morinaga doesn’t merely rest on its laurels; it perpetually searches for ways to adapt and expand. The company’s revenue streams are diversified across its confectionery portfolio, with a keen focus on meeting the diverse tastes and health-conscious demands of modern consumers. Products like Hi-Chew—a chewy candy that comes in various fruit flavors—underline Morinaga’s success in product innovation and global expansion. Furthermore, significant investments in technology and R&D ensure that the company remains a leading force in food safety and flavor development. The combination of traditional values and modern strategies propels Morinaga & Co., Ltd. as it continues to sweeten palates around the world.

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Morinaga & Co Ltd Intrinsic Value

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What is Intrinsic Value?

Economic Moat is a concept popularized by Warren Buffett to describe a company's durable competitive advantage. It represents the 'moat' that protects a company from competitors and helps it sustain profitability over the long term. Our analysis of the past 10 years showed that companies with a wide economic moat significantly outperformed the market, delivering +645% returns compared to +189% for the S&P 500.

Our research into Economic Moat performance spans the past 10 years and focuses on companies with a wide economic moat. For this analysis, we calculated the average stock price returns of these companies, comparing them to the performance of the S&P 500 index over the same period.

The results were compelling: wide moat stocks achieved a remarkable +645% average return, compared to +188% for the broader market. This difference highlights the long-term benefits of investing in businesses that can maintain their market position and pricing power over time.

Note: This research does not account for survivorship bias. Past performance is not indicative of future results.

Determining whether a company has an economic moat requires both a deep dive into financial metrics and a qualitative assessment of its competitive position. Our analysts conduct a rigorous evaluation that focuses on identifying structural advantages that enable a company to sustain profitability and defend its market share over the long term.

The process begins with an analysis of a company’s historical financial performance. We assess how consistently the company has generated returns above its cost of capital and whether those returns have been stable or improving. However, financial performance alone doesn’t reveal the full picture. To understand the sources of these advantages, we evaluate five key drivers of economic moats:

Network Effect: We analyze whether the value of a company’s product or service grows as its user base expands. Platforms like payment systems or marketplaces benefit from this self-reinforcing.

Switching Costs: We assess whether customers face significant costs or disruptions when switching to a competitor’s product or service. High switching costs create customer stickiness and provide pricing power.

Intangible Assets: Strong brands, patents, and regulatory licenses can protect a company’s market position by creating barriers for competitors or enabling premium pricing. For example, a well-recognized consumer brand may command higher customer loyalty and margins.

Efficient scale: Occurs when a market is optimally served by one or a few players, making it unprofitable for new entrants to compete. This typically happens in industries with high fixed costs or geographic constraints, such as utilities or pipelines.

Cost Advantage: Companies with structural cost advantages can produce goods or services at a lower cost than their competitors, enabling them to offer competitive pricing or maintain higher margins. These advantages often arise from economies of scale, superior supply chain management, or proprietary technology. Firms like Walmart leverage their massive scale to negotiate better terms with suppliers, allowing them to undercut competitors on price.

By examining these factors in combination with a company’s financial performance and market positioning, we classify each company into one of three categories:

This rigorous evaluation ensures that our moat ratings are both comprehensive and reliable, giving investors the tools they need to make well-informed, long-term decisions.

The AI Assistant may sometimes provide inaccurate information.

Make your own investment decisions or consult a licensed financial advisor.

Morinaga & Co Ltd
TSE:2201

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Market Distribution

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Morinaga & Co Ltd
Glance View

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Morinaga & Co Ltd TSE:2201