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.
Starco BrandsSTCB Degree of Operating Leverage is -231.44 as of Jun. 2026. The stock has 4 warning signs investors should review. Among 1,913 Consumer Packaged Goods companies, Starco Brands ranks better than 98.22% on this metric.
Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue.
Starco Brands's Degree of Operating Leverage for the quarter that ended in Jun. 2026 was -231.44. The higher Degree of Operating Leverage, the higher operating risk the company will take.
The industry rank for Starco Brands's Degree of Operating Leverage or its related term are showing as below:
STCB's Degree of Operating Leverage is ranked better than 98.22% of 1913
companies
in the Consumer Packaged Goods industry
Industry Median: 1.04
vs STCB: -231.44
Starco Brands (OTCPK:STCB) 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.
Starco Brands Degree of Operating Leverage Related Terms
Starco Brands Degree of Operating Leverage Historical Data
* Premium members only.
The historical data trend for Starco Brands'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.
STCB vs BRLS, HRGN, DTEAF: Degree of Operating Leverage Comparison
For the Packaged Foods subindustry, Starco Brands'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.
Starco Brands Degree of Operating Leverage vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Starco Brands's Degree of Operating Leverage distribution charts can be found below:
* The bar in red indicates where Starco Brands'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 -231.44 mean?
Starco Brands (STCB) has a Degree of Operating Leverage of -231.44 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 Starco Brands and its competitors. According to the industry distribution chart, Starco Brands ranks #34 out of 1913 companies in the Consumer Packaged Goods industry, placing it in the top 1.8%.
Is Starco Brands' Degree of Operating Leverage too high?
Starco Brands' current Degree of Operating Leverage is -231.44. Based on the distribution chart, Starco Brands ranks #34 out of 1913 companies in the Consumer Packaged Goods industry, which is in the top quartile — a strong position relative to peers.
How does Starco Brands' Degree of Operating Leverage compare to BRLS and HRGN?
According to the Consumer Packaged Goods industry distribution chart, Starco Brands ranks #34 out of 1913 companies for Degree of Operating Leverage. This places Starco Brands in the top 2% of its industry — outperforming the majority of peers. The industry median Degree of Operating Leverage is 1.04. 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 1.04, based on 1,913 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 Starco Brands and its competitors. For the Consumer Packaged Goods industry, the median Degree of Operating Leverage is 1.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Starco Brands's current Degree of Operating Leverage is -231.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Starco Brands stock overvalued right now?
Based on GuruFocus' analysis, Starco Brands (STCB) is currently considered Fairly Valued. The stock's GF Value™ is $0.03, compared to a current price of $0.03 — trading 6% above its estimated fair value. The current Degree of Operating Leverage is -231.44. 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 Starco Brands (STCB), the current Degree of Operating Leverage is -231.44 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.
Starco Brands Inc is engaged in the direct response marketing of consumer products. The company engages in marketing, distributing, & developing consumer products to be sold through retail channels. It mainly selects products invented by others for use in a direct response marketing program, and also develops its own products for sale. The company retails various products in the following categories: household, DIY/hardware, automotive, food products, personal care, suncare, spirits & beverages under different brands such as Winona Pure, Whipshots, Skylar, Soylent, Art of Sport, etc. The company has three reportable segments: Starco Brands, Skylar, and Soylent. Maximum revenue is generated from the Soylent segment, which is engaged in the sale of nutritional products, mainly drinks.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
STCB has been successfully added to your 
