Megawide Construction (PHS:MWIDE) Degree of Operating Leverage : -0.94 (As of Mar. 2026)

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PHS:MWIDE Megawide Construction Corp PHS:MWIDE
71 GF Score
Price ₱4.27
GF Value ₱3.71
Valuation Modestly Overvalued
! 10 Warning Signs
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What is Megawide Construction Degree of Operating Leverage?

Megawide Construction PHS:MWIDE -0.47% 71 Degree of Operating Leverage is -0.94 as of Mar. 2026. GuruFocus rates PHS:MWIDE with a GF Score™ of 71/100 and a GF Value™ of ₱3.71 (Modestly Overvalued). The stock has 10 warning signs investors should review. Among 529 Conglomerates companies, Megawide Construction ranks better than 68.62% on this metric.

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Megawide Construction's Degree of Operating Leverage for the quarter that ended in Mar. 2026 was -0.94. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Megawide Construction's Degree of Operating Leverage or its related term are showing as below:

PHS:MWIDE's Degree of Operating Leverage is ranked better than
68.62% of 529 companies
in the Conglomerates industry
Industry Median: 0.98 vs PHS:MWIDE: -0.94

Megawide Construction  (PHS:MWIDE) 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.


Megawide Construction Degree of Operating Leverage Related Terms


Megawide Construction Degree of Operating Leverage Historical Data

* Premium members only.

The historical data trend for Megawide Construction'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.

Megawide Construction Degree of Operating Leverage Chart

Megawide Construction 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 0.97 107.68 -13.71 1.89 -0.53

Megawide Construction 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 2.07 12.72 -0.03 -0.53 -0.94

PHS:MWIDE vs MMM, HON: Degree of Operating Leverage Comparison

For the Conglomerates subindustry, Megawide Construction'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.


Megawide Construction Degree of Operating Leverage vs Conglomerates Industry

For the Conglomerates industry and Industrials sector, Megawide Construction's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Megawide Construction's Degree of Operating Leverage falls into.


PHS:MWIDE
71GF Score
Megawide Construction Corp PHS:MWIDE
Degree of Operating Leverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Megawide Construction Degree of Operating Leverage Calculation

Megawide Construction'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
=( 3517.622 (Mar. 2026) / 3126.198 (Mar. 2025) - 1 )/( 18285.17 (Mar. 2026) / 21083.52 (Mar. 2025) - 1 )
=0.1252/-0.1327
=-0.94***

* 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 -0.94 mean?
Megawide Construction (PHS:MWIDE) has a Degree of Operating Leverage of -0.94 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 Megawide Construction and its competitors. According to the industry distribution chart, Megawide Construction ranks #166 out of 529 companies in the Conglomerates industry, placing it in the top 31.4%.
Is Megawide Construction's Degree of Operating Leverage too high?
Megawide Construction's current Degree of Operating Leverage is -0.94. Based on the distribution chart, Megawide Construction ranks #166 out of 529 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Megawide Construction has a GF Score™ of 71/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Megawide Construction's Degree of Operating Leverage compare to MMM and HON?
According to the Conglomerates industry distribution chart, Megawide Construction ranks #166 out of 529 companies for Degree of Operating Leverage. This puts Megawide Construction in the upper half of its industry. The industry median Degree of Operating Leverage is 0.98. 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 Conglomerates company?
The median Degree of Operating Leverage among Conglomerates companies is 0.98, based on 529 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 Megawide Construction and its competitors. For the Conglomerates industry, the median Degree of Operating Leverage is 0.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Megawide Construction's current Degree of Operating Leverage is -0.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Megawide Construction stock overvalued right now?
Based on GuruFocus' analysis, Megawide Construction (PHS:MWIDE) is currently considered Modestly Overvalued. The stock's GF Value™ is ₱3.71, compared to a current price of ₱4.27 — trading 15.1% above its estimated fair value. The current Degree of Operating Leverage is -0.94. Megawide Construction's overall GF Score™ is 71/100 with 10 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 Megawide Construction (PHS:MWIDE), the current Degree of Operating Leverage is -0.94 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 Megawide Construction (PHS:MWIDE) Overvalued in 2026?

Based on GuruFocus' analysis, Megawide Construction stock appears to be overvalued. The current stock price of ₱4.27 is trading 15.1% above its estimated GF Value™ of ₱3.71. GuruFocus considers Megawide Construction to be Modestly Overvalued.

Key valuation signals for PHS:MWIDE:

  • Degree of Operating Leverage: -0.94
  • GF Value™: ₱3.71 vs. price of ₱4.27 (15.1% above fair value)
  • GF Score™: 71/100 with 10 warning signs

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


Megawide Construction Business Description

Address No. 20 N. Domingo Street, Barangay Valencia, Quezon, PHL, 1112
Megawide Construction Corp is engaged in the general construction business, including constructing, enlarging, repairing, or engaging in any work upon buildings, houses and condominium, roads, plants, bridges, piers, waterworks, railroads and other structures. It performs other allied construction business like the construction and sale of precast items, concrete production, and purchase sale and/or lease of formworks system and construction equipment. The company has three segment Construction operations; Landport operations; Real estate operations. The company generates majority of revenue from Construction operations principally refers to general construction business, including constructing and sale of precast items and concrete production and rental of construction equipment.
71GF 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.

₱4.27
Price
₱3.71
GF Value