GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » Strattec Security Corp (NAS:STRT) » Definitions » Degree of Operating Leverage

STRT (Strattec Security) Degree of Operating Leverage : 33.85 (As of Mar. 2025)


View and export this data going back to 1995. Start your Free Trial

What is Strattec Security Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Strattec Security's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 33.85. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

STRT's Degree of Operating Leverage is ranked worse than
94.26% of 1290 companies
in the Vehicles & Parts industry
Industry Median: 1.01 vs STRT: 33.85

Strattec Security Degree of Operating Leverage Historical Data

The historical data trend for Strattec Security'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.

* Premium members only.

Strattec Security Degree of Operating Leverage Chart

Strattec Security Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.96 -22.74 10.75 -18.98 -45.60

Strattec Security Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 -28.49 -45.60 -478.00 46.92 33.85

Competitive Comparison of Strattec Security's Degree of Operating Leverage

For the Auto Parts subindustry, Strattec Security'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.


Strattec Security's Degree of Operating Leverage Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Strattec Security's Degree of Operating Leverage distribution charts can be found below:

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


;
;

Strattec Security Degree of Operating Leverage Calculation

Strattec Security's Degree of Operating Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 27.083 (Mar. 2025) / 9.423 (Mar. 2024) - 1 )/( 556.108 (Mar. 2025) / 526.93 (Mar. 2024) - 1 )
=1.8741/0.0554
=33.85***

* 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.


Strattec Security  (NAS:STRT) 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.


Strattec Security Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Strattec Security's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Strattec Security Business Description

Traded in Other Exchanges
Address
3333 West Good Hope Road, Milwaukee, WI, USA, 53209
Strattec Security Corp designs develops, manufactures, and markets mechanical locks, electronically enhanced locks, and keys. It also produces ignition lock housings; and access control products, including latches, power sliding door systems, and door handles. Strattec ships products to customer locations in the United States, Canada, Mexico, Europe, South America, Korea, and China, and provides full-service aftermarket support. Strattec also supplies products for the heavy truck and recreational vehicle markets, as well as precision, die castings.
Executives
Rolando Guillot officer: Vice Pres.-Mexican Operations C/O STRATTEC SECURITY CORPORATION, 3333 WEST GOOD HOPE ROAD, MILWAUKEE WI 53209
Gamco Investors, Inc. Et Al 10 percent owner 191 MASON STREET, GREENWICH CT 06830
Al-waleed H. Hamdan officer: VP of Product Management 3333 WEST GOOD HOPE ROAD, MILWAUKEE WI 53209
Richard P Messina officer: VP-Strattec Power Access LLC C/O STRATTEC SECURITY CORPORATION, 3333 WEST GOOD HOPE ROAD, MILWAUKEE WI 53209
Liebau Frederic Jack Jr director P.O. BOX 2200, PASADENA CA 91102-2200
Florsheim Thomas W Jr director 333 W ESTABROOK BLVD, GLENDALE WI 53212
Bruce M Lisman director C/O MERCHANTS BANK, 275 KENNEDY DR, S. BURLINGTON VT 05403
Associated Capital Group, Inc. 10 percent owner 191 MASON STREET, GREENWICH CT 06830
Ggcp, Inc. 10 percent owner 189 MASON STREET, GREENWICH CT 06830
Mario J Gabelli 10 percent owner 191 MASON STREET, GREENWICH CT 06830
Dennis Bowe officer: Vice President and CFO 3333 WEST GOOD HOPE ROAD, MILWAUKEE WI 53209
Patrick J Hansen officer: Vice Pres., CFO and Secretary C/O MACHTEN, INC., 1516 BARLOW STREET, SUITE D, TRAVERSE CITY MI 49686
Frank Krejci director
Tina M Chang director 375 BISHOPS WAY, SUITE 105, BROOKFIELD WI 53005
Stratton Harold M Ii director, officer: Chairman of the Board & CEO P.O. BOX 8057, NAPLES FL 34101