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.
Libstar HoldingsJSE:LBR 73 Degree of Operating Leverage is 18.18 as of Jun. 2026. GuruFocus rates JSE:LBR with a GF Score™ of 73/100 and a GF Value™ of R4.29 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 1,928 Consumer Packaged Goods companies, Libstar Holdings ranks worse than 88.38% on this metric.
Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue.
Libstar Holdings's Degree of Operating Leverage for the quarter that ended in Jun. 2026 was 18.18. The higher Degree of Operating Leverage, the higher operating risk the company will take.
The industry rank for Libstar Holdings's Degree of Operating Leverage or its related term are showing as below:
JSE:LBR's Degree of Operating Leverage is ranked worse than 88.38% of 1928
companies
in the Consumer Packaged Goods industry
Industry Median: 0.995
vs JSE:LBR: 18.18
Libstar Holdings (JSE:LBR) 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.
Libstar Holdings Degree of Operating Leverage Related Terms
Libstar Holdings Degree of Operating Leverage Historical Data
* Premium members only.
The historical data trend for Libstar 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.
Libstar Holdings Degree of Operating Leverage Chart
JSE:LBR vs KHC, GIS, MKC: Degree of Operating Leverage Comparison
For the Packaged Foods subindustry, Libstar 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.
Libstar Holdings Degree of Operating Leverage vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Libstar Holdings's Degree of Operating Leverage distribution charts can be found below:
* The bar in red indicates where Libstar Holdings'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 18.18 mean?
Libstar Holdings (JSE:LBR) has a Degree of Operating Leverage of 18.18 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 Libstar Holdings and its competitors. According to the industry distribution chart, Libstar Holdings ranks #1704 out of 1928 companies in the Consumer Packaged Goods industry, placing it in the top 88.4%.
Is Libstar Holdings' Degree of Operating Leverage too high?
Libstar Holdings' current Degree of Operating Leverage is 18.18. The Consumer Packaged Goods industry median Degree of Operating Leverage is 1.00. Libstar Holdings' value of 18.18 is 1727.1% above this industry median. Based on the distribution chart, Libstar Holdings ranks #1704 out of 1928 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, Libstar Holdings has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Libstar Holdings' Degree of Operating Leverage compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Libstar Holdings ranks #1704 out of 1928 companies for Degree of Operating Leverage. This places Libstar Holdings in the lower half of its industry. The industry median Degree of Operating Leverage is 1.00. Libstar Holdings' value of 18.18 is 1727.1% 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 Consumer Packaged Goods company?
The median Degree of Operating Leverage among Consumer Packaged Goods companies is 1.00, based on 1,928 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. Libstar Holdings's current Degree of Operating Leverage of 18.18 is 1727.1% 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 Libstar Holdings and its competitors. For the Consumer Packaged Goods industry, the median Degree of Operating Leverage is 1.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Libstar Holdings's current Degree of Operating Leverage is 18.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Libstar Holdings stock overvalued right now?
Based on GuruFocus' analysis, Libstar Holdings (JSE:LBR) is currently considered Modestly Undervalued. The stock's GF Value™ is R4.29, compared to a current price of R3.60 — trading 16.1% below its estimated fair value. The current Degree of Operating Leverage is 18.18 and 1727.1% above the Consumer Packaged Goods industry median of 1.00. Libstar Holdings' overall GF Score™ is 73/100 with 4 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 Libstar Holdings (JSE:LBR), the current Degree of Operating Leverage is 18.18 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 Libstar Holdings (JSE:LBR) Overvalued in 2026?
Based on GuruFocus' analysis, Libstar Holdings stock appears to be undervalued.
The current stock price of R3.60 is trading 16.1% below its estimated GF Value™ of R4.29.
GuruFocus considers Libstar Holdings to be Modestly Undervalued.
Key valuation signals for JSE:LBR:
Degree of Operating Leverage: 18.18
GF Value™: R4.29 vs. price of R3.60 (16.1% below fair value)
Industry Position: 1727.1% above the Consumer Packaged Goods median (#1704 of 1928)
No single metric tells the full story. See the JSE:LBR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Libstar Holdings Ltd is a manufacturer, distributor, and marketer of branded and private-label consumer packaged goods. Its portfolio comprises: Perishable Products, such as dairy, meat, fresh mushrooms, and convenience meals; Ambient Products that include dry and wet condiments, meal ingredients, baked goods, snacks, and spreads; and Household and Personal Care products. Products are sold in South Africa and globally across four channels (Retail and wholesale, Food service, Exports, and Industrial and contract manufacturing). The company's operating segment includes Perishable Products, Ambient Products, and Household and Personal Care Products. It generates maximum revenue from the Ambient Products. The company's manufacturing facilities are situated in South Africa.
73GF Score
Get the complete analysis for JSE:LBR
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
JSE:LBR has been successfully added to your 
