The a2 Milk CoASX:A2M +1.03%83 OCF Margin % is 9.59% as of Dec. 2025, which is 35% below its 10-year median of 14.70. GuruFocus rates ASX:A2M with a GF Score™ of 83/100 and a GF Value™ of A$6.67 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,955 Consumer Packaged Goods companies, The a2 Milk Co ranks better than 68.13% on this metric.
The historical rank and industry rank for The a2 Milk Co's OCF Margin % or its related term are showing as below:
ASX:A2M'
s OCF Margin % Range Over the Past 10 Years
Min: 6.09 Med: 14.7 Max: 25.06
Current: 10.94
During the past 13 years, the highest OCF Margin % of The a2 Milk Co was 25.06%. The lowest was 6.09%. And the median was 14.70%.
ASX:A2M's OCF Margin % is ranked better than 68.13% of 1955
companies
in the Consumer Packaged Goods industry
Industry Median: 6.47
vs ASX:A2M: 10.94
The a2 Milk Co OCF Margin % Related Terms
The a2 Milk Co OCF Margin % Historical Data
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The historical data trend for The a2 Milk Co's OCF Margin % 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.
For the Packaged Foods subindustry, The a2 Milk Co's OCF Margin %, along with its competitors' market caps and OCF Margin % 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.
The a2 Milk Co OCF Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, The a2 Milk Co's OCF Margin % distribution charts can be found below:
* The bar in red indicates where The a2 Milk Co's OCF Margin % 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.
The a2 Milk Co (ASX:A2M) has a OCF Margin % of 9.59% as of Dec. 2025. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on The a2 Milk Co and its competitors. This is 35% below median its historical median of 14.70. Over the past decade, The a2 Milk Co's OCF Margin % has ranged from 6.09 to 25.06. According to the industry distribution chart, The a2 Milk Co ranks #623 out of 1955 companies in the Consumer Packaged Goods industry, placing it in the top 31.9%.
Is The a2 Milk Co's OCF Margin % too high?
The a2 Milk Co's current OCF Margin % of 9.59% is 35% below median its 10-year median of 14.70. Over the past 10 years, this metric has ranged from a low of 6.09 to a high of 25.06. The Consumer Packaged Goods industry median OCF Margin % is 6.47. The a2 Milk Co's value of 9.59% is 48.2% above this industry median. Based on the distribution chart, The a2 Milk Co ranks #623 out of 1955 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, The a2 Milk Co has a GF Score™ of 83/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does The a2 Milk Co's OCF Margin % compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, The a2 Milk Co ranks #623 out of 1955 companies for OCF Margin %. This puts The a2 Milk Co in the upper half of its industry. The industry median OCF Margin % is 6.47. The a2 Milk Co's value of 9.59% is 48.2% above this benchmark. Historically, The a2 Milk Co's own OCF Margin % has ranged from 6.09 to 25.06 over the past decade. While the company's 10-year median is 14.70 vs. the industry median of 6.47, The a2 Milk Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good OCF Margin % for a Consumer Packaged Goods company?
The median OCF Margin % among Consumer Packaged Goods companies is 6.47, based on 1,955 companies in the industry. Companies in the top quartile (top 25%) have a OCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, OCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The a2 Milk Co's current OCF Margin % of 9.59% is 48.2% 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 OCF Margin % mean?
A high OCF Margin % can signal that a stock is expensive relative to its fundamentals. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on The a2 Milk Co and its competitors. For the Consumer Packaged Goods industry, the median OCF Margin % is 6.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The a2 Milk Co's current OCF Margin % is 9.59%, which is 35% below median its own 10-year median of 14.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The a2 Milk Co stock overvalued right now?
Based on GuruFocus' analysis, The a2 Milk Co (ASX:A2M) is currently considered Fairly Valued. The stock's GF Value™ is A$6.67, compared to a current price of A$6.85 — trading 2.7% above its estimated fair value. The current OCF Margin % is 9.59%, which is 35% below median its 10-year median of 14.70 and 48.2% above the Consumer Packaged Goods industry median of 6.47. The a2 Milk Co's overall GF Score™ is 83/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is OCF Margin % calculated?
OCF Margin % is calculated from a company's financial statements. For The a2 Milk Co (ASX:A2M), the current OCF Margin % is 9.59% as of Dec. 2025. 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 The a2 Milk Co (ASX:A2M) Overvalued in 2026?
Based on GuruFocus' analysis, The a2 Milk Co stock appears to be overvalued.
The current stock price of A$6.85 is trading 2.7% above its estimated GF Value™ of A$6.67.
GuruFocus considers The a2 Milk Co to be Fairly Valued.
Key valuation signals for ASX:A2M:
OCF Margin %: 9.59% (35% below median its 10-year median of 14.70)
GF Value™: A$6.67 vs. price of A$6.85 (2.7% above fair value)
Industry Position: 48.2% above the Consumer Packaged Goods median (#623 of 1955)
No single metric tells the full story. See the ASX:A2M stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
A2 Milk is a New Zealand licensor and marketer of fresh milk, infant formula, and other dairy products that lack the A1 beta-casein protein. The firm was founded in 2000 by Corran McLachlan, who developed a genetic test to determine which proteins a cow produces in its milk, and business partner Howard Paterson. The company has been through a tumultuous history of receivership, legal battles, and strategic shifts, but emerged in its current structure in 2006 and listed publicly in March 2013.
83GF Score
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