Academy Sports and OutdoorsASO -4.29%80 Operating Margin % is 5.18% as of Apr. 2026, which is 39% below its 10-year median of 8.46. GuruFocus rates ASO with a GF Score™ of 80/100 and a GF Value™ of $59.39 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,128 Retail - Cyclical companies, Academy Sports and Outdoors ranks better than 73.23% on this metric.
Academy Sports and Outdoors (NAS:ASO) 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.
Academy Sports and Outdoors Operating Margin % Related Terms
Academy Sports and Outdoors 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.
Academy Sports and Outdoors Operating Margin % Chart
ASO vs MNSO, RH, BBWI: Operating Margin % Comparison
For the Specialty Retail subindustry, Academy Sports and Outdoors'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.
Academy Sports and Outdoors Operating Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Academy Sports and Outdoors's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Academy Sports and Outdoors's Operating Margin % falls into.
Academy Sports and Outdoors 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.
Academy Sports and Outdoors's Operating Margin % for the fiscal year that ended in Jan. 2026 is calculated as
* 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.
Academy Sports and Outdoors (ASO) has a Operating Margin % of 5.18% as of Apr. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Academy Sports and Outdoors and its competitors. This is 39% below median its historical median of 8.46. Over the past decade, Academy Sports and Outdoors' Operating Margin % has ranged from 2.70 to 13.41. According to the industry distribution chart, Academy Sports and Outdoors ranks #302 out of 1128 companies in the Retail - Cyclical industry, placing it in the top 26.8%.
Is Academy Sports and Outdoors' Operating Margin % too high?
Academy Sports and Outdoors' current Operating Margin % of 5.18% is 39% below median its 10-year median of 8.46. Over the past 10 years, this metric has ranged from a low of 2.70 to a high of 13.41. The Retail - Cyclical industry median Operating Margin % is 3.91. Academy Sports and Outdoors' value of 5.18% is 32.7% above this industry median. Based on the distribution chart, Academy Sports and Outdoors ranks #302 out of 1128 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Academy Sports and Outdoors has a GF Score™ of 80/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Academy Sports and Outdoors' Operating Margin % compare to MNSO and RH?
According to the Retail - Cyclical industry distribution chart, Academy Sports and Outdoors ranks #302 out of 1128 companies for Operating Margin %. This puts Academy Sports and Outdoors in the upper half of its industry. The industry median Operating Margin % is 3.91. Academy Sports and Outdoors' value of 5.18% is 32.7% above this benchmark. Historically, Academy Sports and Outdoors' own Operating Margin % has ranged from 2.70 to 13.41 over the past decade. While the company's 10-year median is 8.46 vs. the industry median of 3.91, Academy Sports and Outdoors 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 a Retail - Cyclical company?
The median Operating Margin % among Retail - Cyclical companies is 3.91, based on 1,128 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. Academy Sports and Outdoors's current Operating Margin % of 5.18% is 32.7% 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 Academy Sports and Outdoors and its competitors. For the Retail - Cyclical industry, the median Operating Margin % is 3.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Academy Sports and Outdoors's current Operating Margin % is 5.18%, which is 39% below median its own 10-year median of 8.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Academy Sports and Outdoors stock overvalued right now?
Based on GuruFocus' analysis, Academy Sports and Outdoors (ASO) is currently considered Modestly Undervalued. The stock's GF Value™ is $59.39, compared to a current price of $49.02 — trading 17.5% below its estimated fair value. The current Operating Margin % is 5.18%, which is 39% below median its 10-year median of 8.46 and 32.7% above the Retail - Cyclical industry median of 3.91. Academy Sports and Outdoors' overall GF Score™ is 80/100 with 3 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 Academy Sports and Outdoors (ASO), the current Operating Margin % is 5.18% as of Apr. 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 Academy Sports and Outdoors (ASO) Overvalued in 2026?
Based on GuruFocus' analysis, Academy Sports and Outdoors stock appears to be undervalued.
The current stock price of $49.02 is trading 17.5% below its estimated GF Value™ of $59.39.
GuruFocus considers Academy Sports and Outdoors to be Modestly Undervalued.
Key valuation signals for ASO:
Operating Margin %: 5.18% (39% below median its 10-year median of 8.46)
GF Value™: $59.39 vs. price of $49.02 (17.5% below fair value)
Industry Position: 32.7% above the Retail - Cyclical median (#302 of 1128)
No single metric tells the full story. See the ASO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Academy Sports and Outdoors Inc is engaged in the full-line sporting goods and outdoor recreation retailer in the United States. The company's product categories are outdoors, apparel, sports & recreation, and footwear.
80GF Score
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