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NeuroMetrix (NeuroMetrix) Operating Margin %

: -140.90% (As of Dec. 2023)
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Operating Margin % is calculated as Operating Income divided by its Revenue. NeuroMetrix's Operating Income for the three months ended in Dec. 2023 was $-1.86 Mil. NeuroMetrix's Revenue for the three months ended in Dec. 2023 was $1.32 Mil. Therefore, NeuroMetrix's Operating Margin % for the quarter that ended in Dec. 2023 was -140.90%.

Good Sign:

NeuroMetrix Inc operating margin is expanding. Margin expansion is usually a good sign.

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

NURO' s Operating Margin % Range Over the Past 10 Years
Min: -181.86   Med: -98.87   Max: -27.69
Current: -121.16


NURO's Operating Margin % is ranked worse than
78.7% of 817 companies
in the Medical Devices & Instruments industry
Industry Median: 1.19 vs NURO: -121.16

NeuroMetrix's 5-Year Average Operating Margin % Growth Rate was 0.10% per year.

NeuroMetrix's Operating Income for the three months ended in Dec. 2023 was $-1.86 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $-7.15 Mil.


NeuroMetrix Operating Margin % Historical Data

The historical data trend for NeuroMetrix'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.

NeuroMetrix Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -124.39 -28.40 -27.69 -57.44 -121.20

NeuroMetrix Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Operating Margin % 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 Premium Member Only Premium Member Only Premium Member Only -46.35 -99.13 -98.01 -163.01 -140.90

Competitive Comparison

For the Medical Devices subindustry, NeuroMetrix'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.


NeuroMetrix Operating Margin % Distribution

For the Medical Devices & Instruments industry and Healthcare sector, NeuroMetrix's Operating Margin % distribution charts can be found below:

* The bar in red indicates where NeuroMetrix's Operating Margin % falls into.



NeuroMetrix 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.

NeuroMetrix's Operating Margin % for the fiscal year that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=-7.152 / 5.901
=-121.20 %

NeuroMetrix's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=-1.857 / 1.318
=-140.90 %

* 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.


NeuroMetrix  (NAS:NURO) 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.


NeuroMetrix Operating Margin % Related Terms

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


NeuroMetrix (NeuroMetrix) Business Description

Traded in Other Exchanges
N/A
Address
4B Gill Street, Woburn, MA, USA, 01801
NeuroMetrix Inc is a commercial-stage healthcare company. Its core business activities are integrated with in-house capabilities spanning product development, manufacturing, regulatory affairs and compliance, sales and marketing, and customer support. The company produces bioelectrical and digital medicine to address chronic health conditions including chronic pain, sleep disorders, and diabetes. The product line of the company includes Wearable neuro-stimulation therapeutic devices and Point-of-care neuropathy diagnostic tests. The company operates in a single segment being Medical equipment and consumables.
Executives
Bradley M Fluegel director 120 MONUMENT CIRCLE, INDIANAPOLIS IN 46204
Thomas T Higgins officer: Chief Financial Officer
Topline Capital Management, Llc other: See Explanation in Footnotes 544 EUCLID STREET, SANTA MONICA CA 90402
Topline Capital Partners, Lp 10 percent owner 544 EUCLID STREET, SANTA MONICA CA 90402
Mcbirney Collin other: See Explanation in Footnotes 544 EUCLID STREET, SANTA MONICA CA 90402
Shai Gozani director, officer: Chairman, President and CEO C/O NEUROMETRIX, INC., 62 FOURTH AVENUE, WALTHAM MA 02451
Francis X Mcgillin officer: Senior VP, Consumer C/O NEUROMETRIX, INC., 62 FOURTH AVENUE, WALTHAM MA 02451
Avermaete David Van director C/O NEUROMETRIX, INC., 62 FOURTH AVENUE, WALTHAM MA 02451
Krishnamurthy Balachandran officer: S. VP and GM, International C/O NEUROMETRIX, INC., 62 FOURTH AVENUE, WALTHAM MA 02451
Nancy E Katz director CALYPTE BIOMEDICAL CORP, 1265 HARBOR BAY PKWY, ALAHEDA CA 94502
Neurometrix Inc officer: Senior Vice President & GM
Walter Christensen officer: Sr. VP, Global Sales C/O NEUROMETRIX, INC., 62 FOURTH AVENUE, WALTHAM MA 02451
Timothy R Surgenor director 100 FOXBOROUGH BOULEVARD, SUITE 240, FOXBOROUGH MA 02035
Deerfield Management Company, L.p. (series C) 10 percent owner 345 PARK AVENUE SOUTH, 12TH FLOOR, NEW YORK NY 10010
Deerfield Mgmt L.p. 10 percent owner 780 THIRD AVENUE, 37TH FLOOR, NEW YORK NY 10017