Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Zicom GroupASX:ZGL -12.50%31 Degree of Operating Leverage is 0.86 as of Jun. 2026. GuruFocus rates ASX:ZGL with a GF Score™ of 31/100 and a GF Value™ of A$0.06 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 2,990 Industrial Products companies, Zicom Group ranks better than 50.54% on this metric.
Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue.
Zicom Group's Degree of Operating Leverage for the quarter that ended in Jun. 2026 was 0.86. The higher Degree of Operating Leverage, the higher operating risk the company will take.
The industry rank for Zicom Group's Degree of Operating Leverage or its related term are showing as below:
ASX:ZGL's Degree of Operating Leverage is ranked better than 50.54% of 2990
companies
in the Industrial Products industry
Industry Median: 0.89
vs ASX:ZGL: 0.86
Zicom Group (ASX:ZGL) 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.
Zicom Group Degree of Operating Leverage Related Terms
Zicom Group Degree of Operating Leverage Historical Data
* Premium members only.
The historical data trend for Zicom Group'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.
ASX:ZGL vs GEV, ETN, PH: Degree of Operating Leverage Comparison
For the Specialty Industrial Machinery subindustry, Zicom Group'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.
Zicom Group Degree of Operating Leverage vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Zicom Group's Degree of Operating Leverage distribution charts can be found below:
* The bar in red indicates where Zicom Group'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 0.86 mean?
Zicom Group (ASX:ZGL) has a Degree of Operating Leverage of 0.86 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 Zicom Group and its competitors. According to the industry distribution chart, Zicom Group ranks #1479 out of 2990 companies in the Industrial Products industry, placing it in the top 49.5%.
Is Zicom Group's Degree of Operating Leverage too high?
Zicom Group's current Degree of Operating Leverage is 0.86. The Industrial Products industry median Degree of Operating Leverage is 0.89. Zicom Group's value of 0.86 is 3.4% below this industry median. Based on the distribution chart, Zicom Group ranks #1479 out of 2990 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Zicom Group has a GF Score™ of 31/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Zicom Group's Degree of Operating Leverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Zicom Group ranks #1479 out of 2990 companies for Degree of Operating Leverage. This puts Zicom Group in the upper half of its industry. The industry median Degree of Operating Leverage is 0.89. Zicom Group's value of 0.86 is 3.4% 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 an Industrial Products company?
The median Degree of Operating Leverage among Industrial Products companies is 0.89, based on 2,990 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. Zicom Group's current Degree of Operating Leverage of 0.86 is 3.4% 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 Zicom Group and its competitors. For the Industrial Products industry, the median Degree of Operating Leverage is 0.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zicom Group's current Degree of Operating Leverage is 0.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zicom Group stock overvalued right now?
Based on GuruFocus' analysis, Zicom Group (ASX:ZGL) is currently considered Significantly Overvalued. The stock's GF Value™ is A$0.06, compared to a current price of A$0.14 — trading 133.3% above its estimated fair value. The current Degree of Operating Leverage is 0.86 and 3.4% below the Industrial Products industry median of 0.89. Zicom Group's overall GF Score™ is 31/100 with 6 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 Zicom Group (ASX:ZGL), the current Degree of Operating Leverage is 0.86 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 Zicom Group (ASX:ZGL) Overvalued in 2026?
Based on GuruFocus' analysis, Zicom Group stock appears to be overvalued.
The current stock price of A$0.14 is trading 133.3% above its estimated GF Value™ of A$0.06.
GuruFocus considers Zicom Group to be Significantly Overvalued.
Key valuation signals for ASX:ZGL:
Degree of Operating Leverage: 0.86
GF Value™: A$0.06 vs. price of A$0.14 (133.3% above fair value)
Industry Position: 3.4% below the Industrial Products median (#1479 of 2990)
No single metric tells the full story. See the ASX:ZGL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zicom Group Ltd is engaged in engineering, procurement and construction of gas processing plants and compressor stations, design and supply of deck machinery, LNG propulsion systems, manufacturing of foundation equipment and concrete mixers, rental of foundation equipment, contract manufacturing of medical devices and full turnkey equipment, factory automation solutions and related parts and services. Its segments include Green Energy, Gas & Marine Equipment; Construction Equipment, and Precision Engineering & Technologies. Geographically, its operations are spread across Australia, Malaysia, Singapore, China, United States, Bangladesh, Thailand, New Zealand, Switzerland, Philippines, Others.
31GF Score
Get the complete analysis for ASX:ZGL
Degree of Operating Leverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ASX:ZGL has been successfully added to your 
