Alliance Aviation ServicesASX:AQZ +5.26%59 Operating Margin % is 0.98% as of Dec. 2025, which is 92% below its 10-year median of 12.28. GuruFocus rates ASX:AQZ with a GF Score™ of 59/100 and a GF Value™ of A$3.40 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 1,007 Transportation companies, Alliance Aviation Services ranks better than 51.74% on this metric.
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.
Alliance Aviation Services Operating Margin % Related Terms
Alliance Aviation Services 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.
For the Airports & Air Services subindustry, Alliance Aviation Services'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.
Alliance Aviation Services Operating Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, Alliance Aviation Services's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Alliance Aviation Services's Operating Margin % falls into.
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.
Alliance Aviation Services's Operating Margin % for the fiscal year that ended in Jun. 2025 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.
Alliance Aviation Services (ASX:AQZ) has a Operating Margin % of 0.98% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Alliance Aviation Services and its competitors. This is 92% below median its historical median of 12.28. Over the past decade, Alliance Aviation Services' Operating Margin % has ranged from 2.95 to 17.18. According to the industry distribution chart, Alliance Aviation Services ranks #486 out of 1007 companies in the Transportation industry, placing it in the top 48.3%.
Is Alliance Aviation Services' Operating Margin % too high?
Alliance Aviation Services' current Operating Margin % of 0.98% is 92% below median its 10-year median of 12.28. Over the past 10 years, this metric has ranged from a low of 2.95 to a high of 17.18. The Transportation industry median Operating Margin % is 7.36. Alliance Aviation Services' value of 0.98% is 86.7% below this industry median. Based on the distribution chart, Alliance Aviation Services ranks #486 out of 1007 companies in the Transportation industry, which is above the industry midpoint. Overall, Alliance Aviation Services has a GF Score™ of 59/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Alliance Aviation Services' Operating Margin % compare to JOBY?
According to the Transportation industry distribution chart, Alliance Aviation Services ranks #486 out of 1007 companies for Operating Margin %. This puts Alliance Aviation Services in the upper half of its industry. The industry median Operating Margin % is 7.36. Alliance Aviation Services' value of 0.98% is 86.7% below this benchmark. Historically, Alliance Aviation Services' own Operating Margin % has ranged from 2.95 to 17.18 over the past decade. While the company's 10-year median is 12.28 vs. the industry median of 7.36, Alliance Aviation Services 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 Transportation company?
The median Operating Margin % among Transportation companies is 7.36, based on 1,007 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. Alliance Aviation Services's current Operating Margin % of 0.98% is 86.7% 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 Alliance Aviation Services and its competitors. For the Transportation industry, the median Operating Margin % is 7.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alliance Aviation Services's current Operating Margin % is 0.98%, which is 92% below median its own 10-year median of 12.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alliance Aviation Services stock overvalued right now?
Based on GuruFocus' analysis, Alliance Aviation Services (ASX:AQZ) is currently considered Possible Value Trap. The stock's GF Value™ is A$3.40, compared to a current price of A$0.60 — trading 82.4% below its estimated fair value. The current Operating Margin % is 0.98%, which is 92% below median its 10-year median of 12.28 and 86.7% below the Transportation industry median of 7.36. Alliance Aviation Services' overall GF Score™ is 59/100 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 Alliance Aviation Services (ASX:AQZ), the current Operating Margin % is 0.98% 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 Alliance Aviation Services (ASX:AQZ) Overvalued in 2026?
Based on GuruFocus' analysis, Alliance Aviation Services stock appears to be undervalued.
The current stock price of A$0.60 is trading 82.4% below its estimated GF Value™ of A$3.40.
GuruFocus considers Alliance Aviation Services to be Possible Value Trap.
Key valuation signals for ASX:AQZ:
Operating Margin %: 0.98% (92% below median its 10-year median of 12.28)
GF Value™: A$3.40 vs. price of A$0.60 (82.4% below fair value)
Industry Position: 86.7% below the Transportation median (#486 of 1007)
No single metric tells the full story. See the ASX:AQZ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Alliance Aviation Services Ltd is an aviation services provider. The company is engaged in the provision of contract, charter, and allied aviation services to both the resource industry and airlines, both domestically and internationally. The group also provides specialised aviation services to airlines and clients, including aircraft dry leasing, airport management, aircraft trading, part sales, engine leasing, and engineering services.
59GF Score
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