NetLink NBN TrustNETLF +1.52%32 Degree of Operating Leverage is -12.88 as of Mar. 2026. GuruFocus rates NETLF with a GF Score™ of 32/100 and a GF Value™ of $0.69 (Modestly Overvalued). The stock has 9 warning signs investors should review. Among 355 Telecommunication Services companies, NetLink NBN Trust ranks better than 87.89% on this metric.
Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue.
NetLink NBN Trust's Degree of Operating Leverage for the quarter that ended in Mar. 2026 was -12.88. The higher Degree of Operating Leverage, the higher operating risk the company will take.
The industry rank for NetLink NBN Trust's Degree of Operating Leverage or its related term are showing as below:
NETLF's Degree of Operating Leverage is ranked better than 87.89% of 355
companies
in the Telecommunication Services industry
Industry Median: 1.09
vs NETLF: -12.88
NetLink NBN Trust (OTCPK:NETLF) 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.
NetLink NBN Trust Degree of Operating Leverage Related Terms
NetLink NBN Trust Degree of Operating Leverage Historical Data
* Premium members only.
The historical data trend for NetLink NBN Trust'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.
NetLink NBN Trust Degree of Operating Leverage Chart
NETLF vs TMUS, VZ, T: Degree of Operating Leverage Comparison
For the Telecom Services subindustry, NetLink NBN Trust'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.
NetLink NBN Trust Degree of Operating Leverage vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, NetLink NBN Trust's Degree of Operating Leverage distribution charts can be found below:
* The bar in red indicates where NetLink NBN Trust'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 -12.88 mean?
NetLink NBN Trust (NETLF) has a Degree of Operating Leverage of -12.88 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 NetLink NBN Trust and its competitors. According to the industry distribution chart, NetLink NBN Trust ranks #43 out of 355 companies in the Telecommunication Services industry, placing it in the top 12.1%.
Is NetLink NBN Trust's Degree of Operating Leverage too high?
NetLink NBN Trust's current Degree of Operating Leverage is -12.88. Based on the distribution chart, NetLink NBN Trust ranks #43 out of 355 companies in the Telecommunication Services industry, which is in the top quartile — a strong position relative to peers. Overall, NetLink NBN Trust has a GF Score™ of 32/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does NetLink NBN Trust's Degree of Operating Leverage compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, NetLink NBN Trust ranks #43 out of 355 companies for Degree of Operating Leverage. This places NetLink NBN Trust in the top 12% of its industry — outperforming the majority of peers. The industry median Degree of Operating Leverage is 1.09. 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 Telecommunication Services company?
The median Degree of Operating Leverage among Telecommunication Services companies is 1.09, based on 355 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. 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 NetLink NBN Trust and its competitors. For the Telecommunication Services industry, the median Degree of Operating Leverage is 1.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NetLink NBN Trust's current Degree of Operating Leverage is -12.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NetLink NBN Trust stock overvalued right now?
Based on GuruFocus' analysis, NetLink NBN Trust (NETLF) is currently considered Modestly Overvalued. The stock's GF Value™ is $0.69, compared to a current price of $0.77 — trading 11.4% above its estimated fair value. The current Degree of Operating Leverage is -12.88. NetLink NBN Trust's overall GF Score™ is 32/100 with 9 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 NetLink NBN Trust (NETLF), the current Degree of Operating Leverage is -12.88 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 NetLink NBN Trust (NETLF) Overvalued in 2026?
Based on GuruFocus' analysis, NetLink NBN Trust stock appears to be overvalued.
The current stock price of $0.77 is trading 11.4% above its estimated GF Value™ of $0.69.
GuruFocus considers NetLink NBN Trust to be Modestly Overvalued.
Key valuation signals for NETLF:
Degree of Operating Leverage: -12.88
GF Value™: $0.69 vs. price of $0.77 (11.4% above fair value)
No single metric tells the full story. See the NETLF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NetLink NBN Trust is a national provider of internet service. It designs, builds, owns, and operates network infrastructure comprising ducts, manholes, and fiber cables. Its non-building address point (NBAP) applications include infrastructure for telecommunications operators such as wireless network base stations, cameras, sensors, signage, and outdoor kiosks. The company generates the majority of its revenue from Installation-related revenue and Ancillary project revenue. The company operates in Singapore, the USA, the UK, and the rest of the World.
32GF Score
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