South Basic Chemicals JSC (STC:CSV) Degree of Operating Leverage : 0.55 (As of Jun. 2026)

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STC:CSV South Basic Chemicals JSC STC:CSV
68 GF Score
Price ₫20,950.00
GF Value ₫38,538.93
Valuation Possible Value Trap
! 4 Warning Signs
View Full Analysis

What is South Basic Chemicals JSC Degree of Operating Leverage?

South Basic Chemicals JSC STC:CSV -0.95% 68 Degree of Operating Leverage is 0.55 as of Jun. 2026. GuruFocus rates STC:CSV with a GF Score™ of 68/100 and a GF Value™ of ₫38,538.93 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 1,556 Chemicals companies, South Basic Chemicals JSC ranks better than 58.87% on this metric.

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. South Basic Chemicals JSC's Degree of Operating Leverage for the quarter that ended in Jun. 2026 was 0.55. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for South Basic Chemicals JSC's Degree of Operating Leverage or its related term are showing as below:

STC:CSV's Degree of Operating Leverage is ranked better than
58.87% of 1556 companies
in the Chemicals industry
Industry Median: 1.285 vs STC:CSV: 0.55

South Basic Chemicals JSC  (STC:CSV) 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.


South Basic Chemicals JSC Degree of Operating Leverage Related Terms


South Basic Chemicals JSC Degree of Operating Leverage Historical Data

* Premium members only.

The historical data trend for South Basic Chemicals JSC'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.

South Basic Chemicals JSC Degree of Operating Leverage Chart

South Basic Chemicals JSC Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Degree of Operating Leverage
Get a 7-Day Free Trial 0.94 2.53 1.74 0.56 -0.29

South Basic Chemicals JSC Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 0.65 0.06 -0.29 -0.61 0.55

STC:CSV vs LIN, SHW, ECL: Degree of Operating Leverage Comparison

For the Specialty Chemicals subindustry, South Basic Chemicals JSC'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.


South Basic Chemicals JSC Degree of Operating Leverage vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, South Basic Chemicals JSC's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where South Basic Chemicals JSC's Degree of Operating Leverage falls into.


STC:CSV
68GF Score
South Basic Chemicals JSC STC:CSV
Degree of Operating Leverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

South Basic Chemicals JSC Degree of Operating Leverage Calculation

South Basic Chemicals JSC's Degree of Operating Leverage for the quarter that ended in Jun. 2026 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 361531.779 (Jun. 2026) / 315910.127 (Jun. 2025) - 1 )/( 2407090.404 (Jun. 2026) / 1904166.875 (Jun. 2025) - 1 )
=0.1444/0.2641
=0.55***

* 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 0.55 mean?
South Basic Chemicals JSC (STC:CSV) has a Degree of Operating Leverage of 0.55 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 South Basic Chemicals JSC and its competitors. According to the industry distribution chart, South Basic Chemicals JSC ranks #640 out of 1556 companies in the Chemicals industry, placing it in the top 41.1%.
Is South Basic Chemicals JSC's Degree of Operating Leverage too high?
South Basic Chemicals JSC's current Degree of Operating Leverage is 0.55. The Chemicals industry median Degree of Operating Leverage is 1.29. South Basic Chemicals JSC's value of 0.55 is 57.2% below this industry median. Based on the distribution chart, South Basic Chemicals JSC ranks #640 out of 1556 companies in the Chemicals industry, which is above the industry midpoint. Overall, South Basic Chemicals JSC has a GF Score™ of 68/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does South Basic Chemicals JSC's Degree of Operating Leverage compare to LIN and SHW?
According to the Chemicals industry distribution chart, South Basic Chemicals JSC ranks #640 out of 1556 companies for Degree of Operating Leverage. This puts South Basic Chemicals JSC in the upper half of its industry. The industry median Degree of Operating Leverage is 1.29. South Basic Chemicals JSC's value of 0.55 is 57.2% below 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 1.29, based on 1,556 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. South Basic Chemicals JSC's current Degree of Operating Leverage of 0.55 is 57.2% below 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 South Basic Chemicals JSC and its competitors. For the Chemicals industry, the median Degree of Operating Leverage is 1.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. South Basic Chemicals JSC's current Degree of Operating Leverage is 0.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is South Basic Chemicals JSC stock overvalued right now?
Based on GuruFocus' analysis, South Basic Chemicals JSC (STC:CSV) is currently considered Possible Value Trap. The stock's GF Value™ is ₫38,538.93, compared to a current price of ₫20,950.00 — trading 45.6% below its estimated fair value. The current Degree of Operating Leverage is 0.55 and 57.2% below the Chemicals industry median of 1.29. South Basic Chemicals JSC's overall GF Score™ is 68/100 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 South Basic Chemicals JSC (STC:CSV), the current Degree of Operating Leverage is 0.55 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 South Basic Chemicals JSC (STC:CSV) Overvalued in 2026?

Based on GuruFocus' analysis, South Basic Chemicals JSC stock appears to be undervalued. The current stock price of ₫20,950.00 is trading 45.6% below its estimated GF Value™ of ₫38,538.93. GuruFocus considers South Basic Chemicals JSC to be Possible Value Trap.

Key valuation signals for STC:CSV:

  • Degree of Operating Leverage: 0.55
  • GF Value™: ₫38,538.93 vs. price of ₫20,950.00 (45.6% below fair value)
  • GF Score™: 68/100 with 4 warning signs
  • Industry Position: 57.2% below the Chemicals median (#640 of 1556)

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


South Basic Chemicals JSC Business Description

Address 22 Ly Tu Trong Street, Sai Gon ward, Ho Chi Minh, VNM, HCMC
South Basic Chemicals JSC is a manufacturer of basic inorganic chemicals. The company operates in the area of manufacturing chemical products and the chemical business. Its other activities include the exploitation and processing of bauxite minerals and, processing of salt product, Production of chemical materials and equipment; processing and manufacturing of specialized equipment, technological pipelines and pipelines for industrial waste water supply industry (not subject to pressure - except recycling of metal waste, electroplating slag, casting metallurgy, Production of fertilizers and nitrogen compounds, Experimental research activities and other services. It offers products such as basic inorganic chemicals, water treatment chemicals, salts, and other products.
68GF Score

Get the complete analysis for STC:CSV

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

₫20,950.00
Price
₫38,538.93
GF Value