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.
Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue.
Chemical And Allied Products's Degree of Operating Leverage for the quarter that ended in Jun. 2026 was 1.83. The higher Degree of Operating Leverage, the higher operating risk the company will take.
The industry rank for Chemical And Allied Products's Degree of Operating Leverage or its related term are showing as below:
NSA:CAPP's Degree of Operating Leverage is ranked worse than 56.92% of 1560
companies
in the Chemicals industry
Industry Median: 1.26
vs NSA:CAPP: 1.83
Chemical And Allied Products (NSA:CAPP) 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.
Chemical And Allied Products Degree of Operating Leverage Related Terms
Chemical And Allied Products Degree of Operating Leverage Historical Data
* 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.
Chemical And Allied Products Degree of Operating Leverage Chart
NSA:CAPP vs LIN, SHW, ECL: Degree of Operating Leverage Comparison
For the Specialty Chemicals subindustry, Chemical And Allied Products'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.
Chemical And Allied Products Degree of Operating Leverage vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Chemical And Allied Products's Degree of Operating Leverage distribution charts can be found below:
* The bar in red indicates where Chemical And Allied Products'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 1.83 mean?
Chemical And Allied Products (NSA:CAPP) has a Degree of Operating Leverage of 1.83 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 Chemical And Allied Products and its competitors. According to the industry distribution chart, Chemical And Allied Products ranks #888 out of 1560 companies in the Chemicals industry, placing it in the top 56.9%.
Is Chemical And Allied Products' Degree of Operating Leverage too high?
Chemical And Allied Products' current Degree of Operating Leverage is 1.83. The Chemicals industry median Degree of Operating Leverage is 1.26. Chemical And Allied Products' value of 1.83 is 45.2% above this industry median. Based on the distribution chart, Chemical And Allied Products ranks #888 out of 1560 companies in the Chemicals industry, which is below the industry midpoint. Overall, Chemical And Allied Products has a GF Score™ of 68/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Chemical And Allied Products' Degree of Operating Leverage compare to LIN and SHW?
According to the Chemicals industry distribution chart, Chemical And Allied Products ranks #888 out of 1560 companies for Degree of Operating Leverage. This places Chemical And Allied Products in the lower half of its industry. The industry median Degree of Operating Leverage is 1.26. Chemical And Allied Products' value of 1.83 is 45.2% 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 a Chemicals company?
The median Degree of Operating Leverage among Chemicals companies is 1.26, based on 1,560 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. Chemical And Allied Products's current Degree of Operating Leverage of 1.83 is 45.2% 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 Chemical And Allied Products and its competitors. For the Chemicals industry, the median Degree of Operating Leverage is 1.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Chemical And Allied Products's current Degree of Operating Leverage is 1.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Chemical And Allied Products stock overvalued right now?
Based on GuruFocus' analysis, Chemical And Allied Products (NSA:CAPP) is currently considered Significantly Overvalued. The stock's GF Value™ is ₦61.89, compared to a current price of ₦115.45 — trading 86.5% above its estimated fair value. The current Degree of Operating Leverage is 1.83 and 45.2% above the Chemicals industry median of 1.26. Chemical And Allied Products' overall GF Score™ is 68/100 with 1 warning sign 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 Chemical And Allied Products (NSA:CAPP), the current Degree of Operating Leverage is 1.83 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 Chemical And Allied Products (NSA:CAPP) Overvalued in 2026?
Based on GuruFocus' analysis, Chemical And Allied Products stock appears to be overvalued.
The current stock price of ₦115.45 is trading 86.5% above its estimated GF Value™ of ₦61.89.
GuruFocus considers Chemical And Allied Products to be Significantly Overvalued.
Key valuation signals for NSA:CAPP:
Degree of Operating Leverage: 1.83
GF Value™: ₦61.89 vs. price of ₦115.45 (86.5% above fair value)
Industry Position: 45.2% above the Chemicals median (#888 of 1560)
No single metric tells the full story. See the NSA:CAPP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Chemical And Allied Products PLC is involved in the manufacturing and sale of paints. The company has only one reportable segment for the sale of paints in Nigeria. The company is is a technological licensee of AkzoNobel Coatings International B.V. The company also operates in the marine and protective coatings segment through distribution of the Hempel brand. It operates within the premium and standard segments of the Paints and Coatings market with flagship brands such as Dulux positioned in the premium segment, Caplux and Sandtex in the standard segment. Its brands are Dulux, caplux, Sandtex, and HEMPEL. Geographically, it derives the majority of its revenue from Nigeria.
68GF Score
Get the complete analysis for NSA:CAPP
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
NSA:CAPP has been successfully added to your 
