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Array Digital InfrastructureAD 58 Degree of Operating Leverage is -13.84 as of Jun. 2026. GuruFocus rates AD with a GF Score™ of 58/100 and a GF Value™ of $75.04 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 361 Telecommunication Services companies, Array Digital Infrastructure ranks better than 89.2% on this metric.
Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue.
Array Digital Infrastructure's Degree of Operating Leverage for the quarter that ended in Jun. 2026 was -13.84. The higher Degree of Operating Leverage, the higher operating risk the company will take.
The industry rank for Array Digital Infrastructure's Degree of Operating Leverage or its related term are showing as below:
AD's Degree of Operating Leverage is ranked better than 89.2% of 361
companies
in the Telecommunication Services industry
Industry Median: 1.24
vs AD: -13.84
Array Digital Infrastructure (NYSE:AD) Degree of Operating Leverage Explanation
Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.
A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.
Be Aware
The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.
Array Digital Infrastructure Degree of Operating Leverage Related Terms
Array Digital Infrastructure Degree of Operating Leverage 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.
Array Digital Infrastructure Degree of Operating Leverage Chart
AD vs KYIV, LBTYA, TDS: Degree of Operating Leverage Comparison
For the Telecom Services subindustry, Array Digital Infrastructure's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating Leverage 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.
Array Digital Infrastructure Degree of Operating Leverage vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Array Digital Infrastructure's Degree of Operating Leverage distribution charts can be found below:
* The bar in red indicates where Array Digital Infrastructure's Degree of Operating Leverage falls into.
* 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.
** TTM data of EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.
What does a Degree of Operating Leverage of -13.84 mean?
Array Digital Infrastructure (AD) has a Degree of Operating Leverage of -13.84 as of Jun. 2026. Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. View historical data for Array Digital Infrastructure and its competitors. According to the industry distribution chart, Array Digital Infrastructure ranks #39 out of 361 companies in the Telecommunication Services industry, placing it in the top 10.8%.
Is Array Digital Infrastructure's Degree of Operating Leverage too high?
Array Digital Infrastructure's current Degree of Operating Leverage is -13.84. Based on the distribution chart, Array Digital Infrastructure ranks #39 out of 361 companies in the Telecommunication Services industry, which is in the top quartile — a strong position relative to peers. Overall, Array Digital Infrastructure has a GF Score™ of 58/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Array Digital Infrastructure's Degree of Operating Leverage compare to KYIV and LBTYA?
According to the Telecommunication Services industry distribution chart, Array Digital Infrastructure ranks #39 out of 361 companies for Degree of Operating Leverage. This places Array Digital Infrastructure in the top 11% of its industry — outperforming the majority of peers. The industry median Degree of Operating Leverage is 1.24. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Degree of Operating Leverage for a Telecommunication Services company?
The median Degree of Operating Leverage among Telecommunication Services companies is 1.24, based on 361 companies in the industry. Companies in the top quartile (top 25%) have a Degree of Operating Leverage significantly above this median, while those in the bottom quartile fall well below. However, Degree of Operating Leverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Degree of Operating Leverage mean?
A high Degree of Operating Leverage can signal that a stock is expensive relative to its fundamentals. Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. View historical data for Array Digital Infrastructure and its competitors. For the Telecommunication Services industry, the median Degree of Operating Leverage is 1.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Array Digital Infrastructure's current Degree of Operating Leverage is -13.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Array Digital Infrastructure stock overvalued right now?
Based on GuruFocus' analysis, Array Digital Infrastructure (AD) is currently considered Possible Value Trap. The stock's GF Value™ is $75.04, compared to a current price of $37.90 — trading 49.5% below its estimated fair value. The current Degree of Operating Leverage is -13.84. Array Digital Infrastructure's overall GF Score™ is 58/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Degree of Operating Leverage calculated?
Degree of Operating Leverage is calculated from a company's financial statements. For Array Digital Infrastructure (AD), the current Degree of Operating Leverage is -13.84 as of Jun. 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 Array Digital Infrastructure (AD) Overvalued in 2026?
Based on GuruFocus' analysis, Array Digital Infrastructure stock appears to be undervalued.
The current stock price of $37.90 is trading 49.5% below its estimated GF Value™ of $75.04.
GuruFocus considers Array Digital Infrastructure to be Possible Value Trap.
Key valuation signals for AD:
Degree of Operating Leverage: -13.84
GF Value™: $75.04 vs. price of $37.90 (49.5% below fair value)
No single metric tells the full story. See the AD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Array Digital Infrastructure, formerly US Cellular, sold its regional wireless operations serving about 4.4 million customers to T-Mobile in August 2025. The firm has agreed to sell most of its remaining spectrum licenses; however, it will still retain rights to C-band spectrum in several locations after these deals are closed. Array also owns a 5.5% stake in Verizon Wireless' Los Angeles operations, as well as other smaller wireless partnership interests in Oklahoma and upstate New York. The firm still operates a portfolio of about 4,400 wireless towers. Parent TDS has proposed to acquire the portion of Array that it doesn't already own in an all-stock transaction.
58GF Score
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