The Arab Pesticides & Veterinary Drugs Manufacturing Co (AMM:MBED) Operating Margin % Explanation
Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.
Be Aware
Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).
If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.
For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokias Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).
Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.
The Arab Pesticides & Veterinary Drugs Manufacturing Co Operating Margin % Related Terms
The Arab Pesticides & Veterinary Drugs Manufacturing Co Operating Margin % Historical Data
* 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 Arab Pesticides & Veterinary Drugs Manufacturing Co Operating Margin % Chart
The Arab Pesticides & Veterinary Drugs Manufacturing Co Annual Data
* 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 Arab Pesticides & Veterinary Drugs Manufacturing Co Operating Margin % vs Agriculture Industry
The Arab Pesticides & Veterinary Drugs Manufacturing Co Operating Margin % Calculation
Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.
* 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 Arab Pesticides & Veterinary Drugs Manufacturing Co (AMM:MBED) has a Operating Margin % of 26.06% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on The Arab Pesticides & Veterinary Drugs Manufacturing Co and its competitors. This is 25% above median its historical median of 20.86. Over the past decade, The Arab Pesticides & Veterinary Drugs Manufacturing Co's Operating Margin % has ranged from 13.84 to 22.84. According to the industry distribution chart, The Arab Pesticides & Veterinary Drugs Manufacturing Co ranks #16 out of 251 companies in the Agriculture industry, placing it in the top 6.4%.
Is The Arab Pesticides & Veterinary Drugs Manufacturing Co's Operating Margin % too high?
The Arab Pesticides & Veterinary Drugs Manufacturing Co's current Operating Margin % of 26.06% is 25% above median its 10-year median of 20.86. Over the past 10 years, this metric has ranged from a low of 13.84 to a high of 22.84. The Agriculture industry median Operating Margin % is 6.76. The Arab Pesticides & Veterinary Drugs Manufacturing Co's value of 26.06% is 285.5% above this industry median. Based on the distribution chart, The Arab Pesticides & Veterinary Drugs Manufacturing Co ranks #16 out of 251 companies in the Agriculture industry, which is in the top quartile — a strong position relative to peers. Overall, The Arab Pesticides & Veterinary Drugs Manufacturing Co has a GF Score™ of 97/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Arab Pesticides & Veterinary Drugs Manufacturing Co's Operating Margin % compare to CTVA and CF?
According to the Agriculture industry distribution chart, The Arab Pesticides & Veterinary Drugs Manufacturing Co ranks #16 out of 251 companies for Operating Margin %. This places The Arab Pesticides & Veterinary Drugs Manufacturing Co in the top 6% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 6.76. The Arab Pesticides & Veterinary Drugs Manufacturing Co's value of 26.06% is 285.5% above this benchmark. Historically, The Arab Pesticides & Veterinary Drugs Manufacturing Co's own Operating Margin % has ranged from 13.84 to 22.84 over the past decade. While the company's 10-year median is 20.86 vs. the industry median of 6.76, The Arab Pesticides & Veterinary Drugs Manufacturing 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 Operating Margin % for an Agriculture company?
The median Operating Margin % among Agriculture companies is 6.76, based on 251 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Arab Pesticides & Veterinary Drugs Manufacturing Co's current Operating Margin % of 26.06% is 285.5% 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 Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on The Arab Pesticides & Veterinary Drugs Manufacturing Co and its competitors. For the Agriculture industry, the median Operating Margin % is 6.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Arab Pesticides & Veterinary Drugs Manufacturing Co's current Operating Margin % is 26.06%, which is 25% above median its own 10-year median of 20.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Arab Pesticides & Veterinary Drugs Manufacturing Co stock overvalued right now?
Based on GuruFocus' analysis, The Arab Pesticides & Veterinary Drugs Manufacturing Co (AMM:MBED) is currently considered Significantly Overvalued. The stock's GF Value™ is JOD2.33, compared to a current price of JOD3.26 — trading 39.9% above its estimated fair value. The current Operating Margin % is 26.06%, which is 25% above median its 10-year median of 20.86 and 285.5% above the Agriculture industry median of 6.76. The Arab Pesticides & Veterinary Drugs Manufacturing Co's overall GF Score™ is 97/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For The Arab Pesticides & Veterinary Drugs Manufacturing Co (AMM:MBED), the current Operating Margin % is 26.06% 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 The Arab Pesticides & Veterinary Drugs Manufacturing Co (AMM:MBED) Overvalued in 2026?
Based on GuruFocus' analysis, The Arab Pesticides & Veterinary Drugs Manufacturing Co stock appears to be overvalued.
The current stock price of JOD3.26 is trading 39.9% above its estimated GF Value™ of JOD2.33.
GuruFocus considers The Arab Pesticides & Veterinary Drugs Manufacturing Co to be Significantly Overvalued.
Key valuation signals for AMM:MBED:
Operating Margin %: 26.06% (25% above median its 10-year median of 20.86)
GF Value™: JOD2.33 vs. price of JOD3.26 (39.9% above fair value)
Industry Position: 285.5% above the Agriculture median (#16 of 251)
No single metric tells the full story. See the AMM:MBED stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Arab Pesticides & Veterinary Drugs Manufacturing Co Business Description
The Arab Pesticides & Veterinary Drugs Manufacturing Co is a Jordan based company. It is a generic manufacturer of veterinary drugs and pesticides. The products included among pesticides are insecticides, nematicides, fungicides, and rodenticides, among others; and those among veterinary drugs include antibiotics, ectoparasiticides, and vitamins, among others. Geographically, company distributes in Africa, the Middle East, Southeast Asia, Latin America, and Europe.
97GF Score
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