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Investment Technology Group (Investment Technology Group) Operating Margin % : 18.72% (As of Sep. 2018)


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What is Investment Technology Group Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Investment Technology Group's Operating Income for the three months ended in Sep. 2018 was $22.6 Mil. Investment Technology Group's Revenue for the three months ended in Sep. 2018 was $120.8 Mil. Therefore, Investment Technology Group's Operating Margin % for the quarter that ended in Sep. 2018 was 18.72%.

The historical rank and industry rank for Investment Technology Group's Operating Margin % or its related term are showing as below:


ITG's Operating Margin % is not ranked *
in the Capital Markets industry.
Industry Median: 13.66
* Ranked among companies with meaningful Operating Margin % only.

Investment Technology Group's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Investment Technology Group's Operating Income for the three months ended in Sep. 2018 was $22.6 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2018 was $36.5 Mil.


Investment Technology Group Operating Margin % Historical Data

The historical data trend for Investment Technology Group'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.

* Premium members only.

Investment Technology Group Operating Margin % Chart

Investment Technology Group Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.61 12.02 19.38 -6.69 1.77

Investment Technology Group Quarterly Data
Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -1.27 0.06 10.30 0.18 18.72

Competitive Comparison of Investment Technology Group's Operating Margin %

For the Capital Markets subindustry, Investment Technology Group'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.


Investment Technology Group's Operating Margin % Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Investment Technology Group's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Investment Technology Group's Operating Margin % falls into.



Investment Technology Group 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.

Investment Technology Group's Operating Margin % for the fiscal year that ended in Dec. 2017 is calculated as

Operating Margin %=Operating Income (A: Dec. 2017 ) / Revenue (A: Dec. 2017 )
=8.55 / 483.694
=1.77 %

Investment Technology Group's Operating Margin % for the quarter that ended in Sep. 2018 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2018 ) / Revenue (Q: Sep. 2018 )
=22.61 / 120.769
=18.72 %

* 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.


Investment Technology Group  (NYSE:ITG) 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 Nokia’s 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.


Investment Technology Group Operating Margin % Related Terms

Thank you for viewing the detailed overview of Investment Technology Group's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Investment Technology Group (Investment Technology Group) Business Description

Traded in Other Exchanges
N/A
Address
165 Broadway, One Liberty Plaza, New York, NY, USA, 10006
Investment Technology Group Inc is a United States-based brokerage and financial technology company. The company provides a wide range of products and services, including electronic brokerage, research, sales and trading, and platforms and analytics. The company generates over half of its revenue from electronic brokerage, research, and sales and trading. The company has a global presence, with a network of offices in North America, Europe, and Asia-Pacific. Its business is categorized into four reporting segments: U.S. operations, Canadian operations, European operations, and Asia-Pacific operations. The U.S. is its largest market.
Executives
Lee Shavel director ONE LIBERTY PLAZA, NEW YORK NY 10006
Brian G. Cartwright director 3760 KILROY AIRPORT WAY SUITE 300, LONG BEACH CA 90806
R Jarrett Lilien director 250 WEST 34TH STREET, 3RD FLOOR, C/O WISDOMTREE, INC., NEW YORK NY 10119
Kevin J Lynch director 201 POST STREET, SUITE 1000, SAN FRANCISCO CA 94108
T Kelley Millet director ITG INC., ONE LIBERTY PLAZA, 165 BROADWAY, NEW YORK NY 10006
Christopher V Dodds director ITG INC., ONE LIBERTY PLAZA, 165 BROADWAY, NEW YORK NY 10006
D. E. Shaw & Co, L.p. 10 percent owner, other: See footnotes 1 and 2 1166 AVENUE OF THE AMERICAS, NINTH FLOOR, NEW YORK NY 10036
David E Shaw 10 percent owner, other: See footnotes 1 and 2 120 WEST FORTY-FIFTH STREET, 39TH FLOOR, NEW YORK NY 10036
D. E. Shaw & Co, L.l.c. 10 percent owner, other: See footnotes 1 and 2 1166 AVENUE OF THE AMERICAS, NINTH FLOOR, NEW YORK NY 10036
D. E. Shaw Laminar Portfolios, L.l.c. 10 percent owner, other: See footnotes 1 and 2. 120 WEST FORTY-FIFTH STREET, 39TH FLOOR, NEW YORK NY 10036
William I Jacobs director C/O MASTERCARD INTERNATIONAL INC, 2000 PURCHASE ST, PUCHASE NY 10577-2509
Killian Raymond L Jr director C/O INVESTMENT TECHNOLOGY GROUP INC, 900 THIRD AVE, NEW YORK NY 10022
Mark A Wolfson director C/O ARBOR INVESTORS, 2460 SAND HILL RD STE 300, MENLO PARK CA 94025

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