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.
KWSAT SE KGaA's Degree of Operating Leverage for the quarter that ended in Mar. 2026 was 7.24. The higher Degree of Operating Leverage, the higher operating risk the company will take.
The industry rank for KWSAT SE KGaA's Degree of Operating Leverage or its related term are showing as below:
XSWX:KWS's Degree of Operating Leverage is ranked worse than 84.55% of 246
companies
in the Agriculture industry
Industry Median: 0.935
vs XSWX:KWS: 7.24
KWSAT SE KGaA (XSWX:KWS) 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.
KWSAT SE KGaA Degree of Operating Leverage Related Terms
KWSAT SE KGaA Degree of Operating Leverage Historical Data
* Premium members only.
The historical data trend for KWSAT SE KGaA'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.
XSWX:KWS vs CTVA, CF, MOS: Degree of Operating Leverage Comparison
For the Agricultural Inputs subindustry, KWSAT SE KGaA'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.
KWSAT SE KGaA Degree of Operating Leverage vs Agriculture Industry
For the Agriculture industry and Basic Materials sector, KWSAT SE KGaA's Degree of Operating Leverage distribution charts can be found below:
* The bar in red indicates where KWSAT SE KGaA'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 7.24 mean?
KWSAT SE KGaA (XSWX:KWS) has a Degree of Operating Leverage of 7.24 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 KWSAT SE KGaA and its competitors. According to the industry distribution chart, KWSAT SE KGaA ranks #208 out of 246 companies in the Agriculture industry, placing it in the top 84.6%.
Is KWSAT SE KGaA's Degree of Operating Leverage too high?
KWSAT SE KGaA's current Degree of Operating Leverage is 7.24. The Agriculture industry median Degree of Operating Leverage is 0.94. KWSAT SE KGaA's value of 7.24 is 674.3% above this industry median. Based on the distribution chart, KWSAT SE KGaA ranks #208 out of 246 companies in the Agriculture industry, which is in the bottom quartile relative to peers. Overall, KWSAT SE KGaA has a GF Score™ of 79/100, reflecting its overall financial health beyond just this single metric.
How does KWSAT SE KGaA's Degree of Operating Leverage compare to CTVA and CF?
According to the Agriculture industry distribution chart, KWSAT SE KGaA ranks #208 out of 246 companies for Degree of Operating Leverage. This places KWSAT SE KGaA in the lower half of its industry. The industry median Degree of Operating Leverage is 0.94. KWSAT SE KGaA's value of 7.24 is 674.3% 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 an Agriculture company?
The median Degree of Operating Leverage among Agriculture companies is 0.94, based on 246 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. KWSAT SE KGaA's current Degree of Operating Leverage of 7.24 is 674.3% 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 KWSAT SE KGaA and its competitors. For the Agriculture industry, the median Degree of Operating Leverage is 0.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. KWSAT SE KGaA's current Degree of Operating Leverage is 7.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is KWSAT SE KGaA stock overvalued right now?
KWSAT SE KGaA (XSWX:KWS) has a current Degree of Operating Leverage of 7.24. The stock's GF Value™ is CHF55.05, compared to a current price of CHF66.70 — trading 21.2% above its estimated fair value. The current Degree of Operating Leverage is 7.24 and 674.3% above the Agriculture industry median of 0.94. KWSAT SE KGaA's overall GF Score™ is 79/100 with 5 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 KWSAT SE KGaA (XSWX:KWS), the current Degree of Operating Leverage is 7.24 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 KWSAT SE KGaA (XSWX:KWS) Overvalued in 2026?
Based on GuruFocus' analysis, KWSAT SE KGaA stock appears to be overvalued.
The current stock price of CHF66.70 is trading 21.2% above its estimated GF Value™ of CHF55.05.
Key valuation signals for XSWX:KWS:
Degree of Operating Leverage: 7.24
GF Value™: CHF55.05 vs. price of CHF66.70 (21.2% above fair value)
Industry Position: 674.3% above the Agriculture median (#208 of 246)
No single metric tells the full story. See the XSWX:KWS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
KWS SAAT SE & Co KGaA breeds and distributes agriculture seeds internationally. The segments of the company focus on sugarbeet, corn, cereals, vegetables, and corporates. The company works on breeding new varieties and seed multiplication to produce the results for farmers. Plants and seeds are monitored at different stages of the lifecycle to ensure high quality. Products, processes, and consulting are marketed to farmers as certain expertise is needed in different regions of the world. The company generates key revenue from Sugarbeet and Corn.
79GF Score
Get the complete analysis for XSWX:KWS
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
XSWX:KWS has been successfully added to your 
