AHRO (Authentic Holdings) Degree of Operating Leverage : 0.38 (As of Sep. 2025)

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What is Authentic Holdings Degree of Operating Leverage?

Authentic Holdings AHRO Degree of Operating Leverage is 0.38 as of Sep. 2025. The stock has 5 warning signs investors should review. Among 986 Media - Diversified companies, Authentic Holdings ranks better than 54.67% on this metric.

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Authentic Holdings's Degree of Operating Leverage for the quarter that ended in Sep. 2025 was 0.38. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Authentic Holdings's Degree of Operating Leverage or its related term are showing as below:

AHRO's Degree of Operating Leverage is ranked better than
54.67% of 986 companies
in the Media - Diversified industry
Industry Median: 0.87 vs AHRO: 0.38

Authentic Holdings  (OTCPK:AHRO) 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.


Authentic Holdings Degree of Operating Leverage Related Terms


Authentic Holdings Degree of Operating Leverage Historical Data

* Premium members only.

The historical data trend for Authentic Holdings's Degree of Operating Leverage 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.

Authentic Holdings Degree of Operating Leverage Chart

Authentic Holdings Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.48 0.00 0.00 0.00

Authentic Holdings Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25
Degree of Operating Leverage 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 0.00 0.00 0.04 0.09 0.38

AHRO vs AERA, BRVO, ZNB: Degree of Operating Leverage Comparison

For the Entertainment subindustry, Authentic Holdings'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.


Authentic Holdings Degree of Operating Leverage vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Authentic Holdings's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Authentic Holdings's Degree of Operating Leverage falls into.



Authentic Holdings Degree of Operating Leverage Calculation

Authentic Holdings's Degree of Operating Leverage for the quarter that ended in Sep. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -1.619 (Sep. 2025) / -0.826 (Sep. 2024) - 1 )/( 0.582 (Sep. 2025) / 0.164 (Sep. 2024) - 1 )
=0.96/2.5488
=0.38***

* 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 0.38 mean?
Authentic Holdings (AHRO) has a Degree of Operating Leverage of 0.38 as of Sep. 2025. Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. View historical data for Authentic Holdings and its competitors. According to the industry distribution chart, Authentic Holdings ranks #447 out of 986 companies in the Media - Diversified industry, placing it in the top 45.3%.
Is Authentic Holdings' Degree of Operating Leverage too high?
Authentic Holdings' current Degree of Operating Leverage is 0.38. The Media - Diversified industry median Degree of Operating Leverage is 0.87. Authentic Holdings' value of 0.38 is 56.3% below this industry median. Based on the distribution chart, Authentic Holdings ranks #447 out of 986 companies in the Media - Diversified industry, which is above the industry midpoint.
How does Authentic Holdings' Degree of Operating Leverage compare to AERA and BRVO?
According to the Media - Diversified industry distribution chart, Authentic Holdings ranks #447 out of 986 companies for Degree of Operating Leverage. This puts Authentic Holdings in the upper half of its industry. The industry median Degree of Operating Leverage is 0.87. Authentic Holdings' value of 0.38 is 56.3% below this benchmark. 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 Media - Diversified company?
The median Degree of Operating Leverage among Media - Diversified companies is 0.87, based on 986 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. Authentic Holdings's current Degree of Operating Leverage of 0.38 is 56.3% below 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 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 Authentic Holdings and its competitors. For the Media - Diversified industry, the median Degree of Operating Leverage is 0.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Authentic Holdings's current Degree of Operating Leverage is 0.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Authentic Holdings stock overvalued right now?
Authentic Holdings (AHRO) has a current Degree of Operating Leverage of 0.38. The current Degree of Operating Leverage is 0.38 and 56.3% below the Media - Diversified industry median of 0.87. 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 Authentic Holdings (AHRO), the current Degree of Operating Leverage is 0.38 as of Sep. 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.

Authentic Holdings Business Description

Address 55 Madison Avenue, No.400, Morristown, NJ, USA, 07960
Authentic Holdings Inc is a diversified media and merchandising company building a next-generation entertainment ecosystem centered on premium owned content, digital streaming, authentic collectibles, and emerging Web3/digital asset opportunities. The company owns a powerful combination of intellectual property and operational assets that enable multiple revenue streams from the same core content and IP across traditional broadcasting, ad-supported streaming, merchandising, licensing, and digital tokenization.