Al Ramz Investment and Development Co (DFM:ALRAMZ) Degree of Operating Leverage : 1.58 (As of Mar. 2026)

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DFM:ALRAMZ Al Ramz Corporation Investment and Development Co DFM:ALRAMZ
76 GF Score
Price د.إ1.50
GF Value د.إ1.95
Valuation Modestly Undervalued
! 7 Warning Signs
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What is Al Ramz Investment and Development Co Degree of Operating Leverage?

Al Ramz Investment and Development Co DFM:ALRAMZ 76 Degree of Operating Leverage is 1.58 as of Mar. 2026. GuruFocus rates DFM:ALRAMZ with a GF Score™ of 76/100 and a GF Value™ of د.إ1.95 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 645 Capital Markets companies, Al Ramz Investment and Development Co ranks worse than 63.41% on this metric.

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Al Ramz Investment and Development Co's Degree of Operating Leverage for the quarter that ended in Mar. 2026 was 1.58. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Al Ramz Investment and Development Co's Degree of Operating Leverage or its related term are showing as below:

DFM:ALRAMZ's Degree of Operating Leverage is ranked worse than
63.41% of 645 companies
in the Capital Markets industry
Industry Median: 0.97 vs DFM:ALRAMZ: 1.58

Al Ramz Investment and Development Co  (DFM:ALRAMZ) 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.


Al Ramz Investment and Development Co Degree of Operating Leverage Related Terms


Al Ramz Investment and Development Co Degree of Operating Leverage Historical Data

* Premium members only.

The historical data trend for Al Ramz Investment and Development Co'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.

Al Ramz Investment and Development Co Degree of Operating Leverage Chart

Al Ramz Investment and Development Co 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 -39.02 -4.80 -2.74 -1.50 2.55

Al Ramz Investment and Development Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 1.41 1.82 1.36 2.55 1.58

DFM:ALRAMZ vs MS, GS, SCHW: Degree of Operating Leverage Comparison

For the Capital Markets subindustry, Al Ramz Investment and Development Co'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.


Al Ramz Investment and Development Co Degree of Operating Leverage vs Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Al Ramz Investment and Development Co's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Al Ramz Investment and Development Co's Degree of Operating Leverage falls into.


DFM:ALRAMZ
76GF Score
Al Ramz Corporation Investment and Development Co DFM:ALRAMZ
Degree of Operating Leverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Al Ramz Investment and Development Co Degree of Operating Leverage Calculation

Al Ramz Investment and Development Co's Degree of Operating Leverage for the quarter that ended in Mar. 2026 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 84.299 (Mar. 2026) / 51.586 (Mar. 2025) - 1 )/( 165.187 (Mar. 2026) / 117.874 (Mar. 2025) - 1 )
=0.6341/0.4014
=1.58***

* 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 1.58 mean?
Al Ramz Investment and Development Co (DFM:ALRAMZ) has a Degree of Operating Leverage of 1.58 as of Mar. 2026. Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. View historical data for Al Ramz Investment and Development Co and its competitors. According to the industry distribution chart, Al Ramz Investment and Development Co ranks #409 out of 645 companies in the Capital Markets industry, placing it in the top 63.4%.
Is Al Ramz Investment and Development Co's Degree of Operating Leverage too high?
Al Ramz Investment and Development Co's current Degree of Operating Leverage is 1.58. The Capital Markets industry median Degree of Operating Leverage is 0.97. Al Ramz Investment and Development Co's value of 1.58 is 62.9% above this industry median. Based on the distribution chart, Al Ramz Investment and Development Co ranks #409 out of 645 companies in the Capital Markets industry, which is below the industry midpoint. Overall, Al Ramz Investment and Development Co has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Al Ramz Investment and Development Co's Degree of Operating Leverage compare to MS and GS?
According to the Capital Markets industry distribution chart, Al Ramz Investment and Development Co ranks #409 out of 645 companies for Degree of Operating Leverage. This places Al Ramz Investment and Development Co in the lower half of its industry. The industry median Degree of Operating Leverage is 0.97. Al Ramz Investment and Development Co's value of 1.58 is 62.9% 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 a Capital Markets company?
The median Degree of Operating Leverage among Capital Markets companies is 0.97, based on 645 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. Al Ramz Investment and Development Co's current Degree of Operating Leverage of 1.58 is 62.9% 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 Al Ramz Investment and Development Co and its competitors. For the Capital Markets industry, the median Degree of Operating Leverage is 0.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Al Ramz Investment and Development Co's current Degree of Operating Leverage is 1.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al Ramz Investment and Development Co stock overvalued right now?
Based on GuruFocus' analysis, Al Ramz Investment and Development Co (DFM:ALRAMZ) is currently considered Modestly Undervalued. The stock's GF Value™ is د.إ1.95, compared to a current price of د.إ1.50 — trading 23.1% below its estimated fair value. The current Degree of Operating Leverage is 1.58 and 62.9% above the Capital Markets industry median of 0.97. Al Ramz Investment and Development Co's overall GF Score™ is 76/100 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 Al Ramz Investment and Development Co (DFM:ALRAMZ), the current Degree of Operating Leverage is 1.58 as of Mar. 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 Al Ramz Investment and Development Co (DFM:ALRAMZ) Overvalued in 2026?

Based on GuruFocus' analysis, Al Ramz Investment and Development Co stock appears to be undervalued. The current stock price of د.إ1.50 is trading 23.1% below its estimated GF Value™ of د.إ1.95. GuruFocus considers Al Ramz Investment and Development Co to be Modestly Undervalued.

Key valuation signals for DFM:ALRAMZ:

  • Degree of Operating Leverage: 1.58
  • GF Value™: د.إ1.95 vs. price of د.إ1.50 (23.1% below fair value)
  • GF Score™: 76/100 with 7 warning signs
  • Industry Position: 62.9% above the Capital Markets median (#409 of 645)

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


Al Ramz Investment and Development Co Business Description

Address Sheikh zayed road, Rolex tower, Level 9, P.O.Box 121200, Dubai, ARE
Al Ramz Corporation Investment and Development Co is a financial institution providing a variety of services including asset management, corporate finance, brokerage, lending, market making, liquidity providing, and research. The main activities of the company and its subsidiaries are to invest and manage commercial, industrial, and agricultural enterprises and to provide brokerage services including brokerage in selling and buying shares, margin trading, market making, and liquidity providing, and to perform all related transactions and activities.
76GF Score

Get the complete analysis for DFM:ALRAMZ

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

د.إ1.50
Price
د.إ1.95
GF Value