Mediterranean Tourism Investment Co (AMM:MDTR) 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.
Mediterranean Tourism Investment Co Operating Margin % Related Terms
Mediterranean Tourism Investment 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.
Mediterranean Tourism Investment Co Operating Margin % Chart
AMM:MDTR vs MAR, HLT, HTHT: Operating Margin % Comparison
For the Lodging subindustry, Mediterranean Tourism Investment Co's Operating Margin %, along with its competitors' market caps and Operating 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.
Mediterranean Tourism Investment Co Operating Margin % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Mediterranean Tourism Investment Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Mediterranean Tourism Investment Co's Operating Margin % falls into.
Mediterranean Tourism Investment 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.
Mediterranean Tourism Investment Co (AMM:MDTR) has a Operating Margin % of 6.30% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Mediterranean Tourism Investment Co and its competitors. This is 32% below median its historical median of 9.31.
Is Mediterranean Tourism Investment Co's Operating Margin % too high?
Mediterranean Tourism Investment Co's current Operating Margin % of 6.30% is 32% below median its 10-year median of 9.31. The Travel & Leisure industry median Operating Margin % is 8.14. Mediterranean Tourism Investment Co's value of 6.30% is 22.6% below this industry median. Overall, Mediterranean Tourism Investment Co has a GF Score™ of 95/100, reflecting its overall financial health beyond just this single metric.
How does Mediterranean Tourism Investment Co's Operating Margin % compare to MAR and HLT?
Mediterranean Tourism Investment Co's Operating Margin % of 6.30% can be compared against companies in the Travel & Leisure industry. The industry median Operating Margin % is 8.14. Mediterranean Tourism Investment Co's value of 6.30% is 22.6% below this benchmark. While the company's 10-year median is 9.31 vs. the industry median of 8.14, Mediterranean Tourism Investment Co has consistently been below 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 a Travel & Leisure company?
The median Operating Margin % among Travel & Leisure companies is 8.14, based on 844 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. Mediterranean Tourism Investment Co's current Operating Margin % of 6.30% is 22.6% below 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 Mediterranean Tourism Investment Co and its competitors. For the Travel & Leisure industry, the median Operating Margin % is 8.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mediterranean Tourism Investment Co's current Operating Margin % is 6.30%, which is 32% below median its own 10-year median of 9.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mediterranean Tourism Investment Co stock overvalued right now?
Mediterranean Tourism Investment Co (AMM:MDTR) has a current Operating Margin % of 6.30%. The stock's GF Value™ is JOD2.17, compared to a current price of JOD1.92 — trading 11.5% below its estimated fair value. The current Operating Margin % is 6.30%, which is 32% below median its 10-year median of 9.31 and 22.6% below the Travel & Leisure industry median of 8.14. Mediterranean Tourism Investment Co's overall GF Score™ is 95/100 with 7 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 Mediterranean Tourism Investment Co (AMM:MDTR), the current Operating Margin % is 6.30% 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 Mediterranean Tourism Investment Co (AMM:MDTR) Overvalued in 2026?
Based on GuruFocus' analysis, Mediterranean Tourism Investment Co stock appears to be undervalued.
The current stock price of JOD1.92 is trading 11.5% below its estimated GF Value™ of JOD2.17.
Key valuation signals for AMM:MDTR:
Operating Margin %: 6.30% (32% below median its 10-year median of 9.31)
GF Value™: JOD2.17 vs. price of JOD1.92 (11.5% below fair value)
Industry Position: 22.6% below the Travel & Leisure median
No single metric tells the full story. See the AMM:MDTR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mediterranean Tourism Investment Co Business Description
Mediterranean Tourism Investment Co is engaged in the establishment and management of hotels, resorts and hotel facilities as well as the building of hotels, restaurants and swimming pools, including the establishment and operation of Four Seasons Hotel in Amman.
95GF Score
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