ATLPF (Atlas Copco AB) Degree of Operating Leverage : 2.81 (As of Jun. 2026)

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ATLPF Atlas Copco AB ATLPF
91 GF Score
Price $21.24
GF Value $17.73
Valuation Modestly Overvalued
! 6 Warning Signs
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What is Atlas Copco AB Degree of Operating Leverage?

Atlas Copco AB ATLPF 91 Degree of Operating Leverage is 2.81 as of Jun. 2026. GuruFocus rates ATLPF with a GF Score™ of 91/100 and a GF Value™ of $17.73 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 2,978 Industrial Products companies, Atlas Copco AB ranks worse than 68.17% on this metric.

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Atlas Copco AB's Degree of Operating Leverage for the quarter that ended in Jun. 2026 was 2.81. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Atlas Copco AB's Degree of Operating Leverage or its related term are showing as below:

ATLPF's Degree of Operating Leverage is ranked worse than
68.17% of 2978 companies
in the Industrial Products industry
Industry Median: 1.04 vs ATLPF: 2.81

Atlas Copco AB  (OTCPK:ATLPF) 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.


Atlas Copco AB Degree of Operating Leverage Related Terms


Atlas Copco AB Degree of Operating Leverage Historical Data

* Premium members only.

The historical data trend for Atlas Copco AB'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.

Atlas Copco AB Degree of Operating Leverage Chart

Atlas Copco AB Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.17 1.04 0.95 1.04 2.20

Atlas Copco AB Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 1.85 1.69 2.20 1.55 2.81

ATLPF vs GEV, ETN, PH: Degree of Operating Leverage Comparison

For the Specialty Industrial Machinery subindustry, Atlas Copco AB'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.


Atlas Copco AB Degree of Operating Leverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Atlas Copco AB's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Atlas Copco AB's Degree of Operating Leverage falls into.


ATLPF
91GF Score
Atlas Copco AB ATLPF
Degree of Operating Leverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Atlas Copco AB Degree of Operating Leverage Calculation

Atlas Copco AB's Degree of Operating Leverage for the quarter that ended in Jun. 2026 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 3670.075 (Jun. 2026) / 3543.938 (Jun. 2025) - 1 )/( 18121.583 (Jun. 2026) / 16933.43 (Jun. 2025) - 1 )
=0.0356/0.0702
=0.51***

* 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 2.81 mean?
Atlas Copco AB (ATLPF) has a Degree of Operating Leverage of 2.81 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 Atlas Copco AB and its competitors. According to the industry distribution chart, Atlas Copco AB ranks #2030 out of 2978 companies in the Industrial Products industry, placing it in the top 68.2%.
Is Atlas Copco AB's Degree of Operating Leverage too high?
Atlas Copco AB's current Degree of Operating Leverage is 2.81. The Industrial Products industry median Degree of Operating Leverage is 1.04. Atlas Copco AB's value of 2.81 is 170.2% above this industry median. Based on the distribution chart, Atlas Copco AB ranks #2030 out of 2978 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Atlas Copco AB has a GF Score™ of 91/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Atlas Copco AB's Degree of Operating Leverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Atlas Copco AB ranks #2030 out of 2978 companies for Degree of Operating Leverage. This places Atlas Copco AB in the lower half of its industry. The industry median Degree of Operating Leverage is 1.04. Atlas Copco AB's value of 2.81 is 170.2% above 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 1.04, based on 2,978 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. Atlas Copco AB's current Degree of Operating Leverage of 2.81 is 170.2% above 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 Atlas Copco AB and its competitors. For the Industrial Products industry, the median Degree of Operating Leverage is 1.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Atlas Copco AB's current Degree of Operating Leverage is 2.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Atlas Copco AB stock overvalued right now?
Based on GuruFocus' analysis, Atlas Copco AB (ATLPF) is currently considered Modestly Overvalued. The stock's GF Value™ is $17.73, compared to a current price of $21.24 — trading 19.8% above its estimated fair value. The current Degree of Operating Leverage is 2.81 and 170.2% above the Industrial Products industry median of 1.04. Atlas Copco AB's overall GF Score™ is 91/100 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 Atlas Copco AB (ATLPF), the current Degree of Operating Leverage is 2.81 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 Atlas Copco AB (ATLPF) Overvalued in 2026?

Based on GuruFocus' analysis, Atlas Copco AB stock appears to be overvalued. The current stock price of $21.24 is trading 19.8% above its estimated GF Value™ of $17.73. GuruFocus considers Atlas Copco AB to be Modestly Overvalued.

Key valuation signals for ATLPF:

  • Degree of Operating Leverage: 2.81
  • GF Value™: $17.73 vs. price of $21.24 (19.8% above fair value)
  • GF Score™: 91/100 with 6 warning signs
  • Industry Position: 170.2% above the Industrial Products median (#2030 of 2978)

No single metric tells the full story. See the ATLPF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Atlas Copco AB Business Description

Address Sickla Industrivag 19, Nacka, Stockholm, SWE, SE-105 23
Atlas Copco is a 140-year-old Swedish company that pioneered air compression technology and remains a leading air compressor manufacturer. Atlas Copco is also a leading manufacturer of vacuum pump equipment, industrial power tools, and portable power and air compression equipment. The company's operations match the geographic breadth of its customers, with a presence in 180 countries. Atlas Copco's revenue is derived from three sources: initial equipment sales, spare parts, and maintenance.
91GF Score

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Degree of Operating Leverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$21.24
Price
$17.73
GF Value