Universal Store HoldingsASX:UNI +1.32%68 Operating Margin % is 20.81% as of Dec. 2025, which is 30% above its 10-year median of 16.01. GuruFocus rates ASX:UNI with a GF Score™ of 68/100 and a GF Value™ of A$8.04 (Fairly Valued). The stock has 1 warning sign investors should review. Among 1,128 Retail - Cyclical companies, Universal Store Holdings ranks better than 92.2% on this metric.
Universal Store Holdings (ASX:UNI) 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.
Universal Store Holdings Operating Margin % Related Terms
Universal Store Holdings 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.
ASX:UNI vs TJX, ROST, BURL: Operating Margin % Comparison
For the Apparel Retail subindustry, Universal Store Holdings'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.
Universal Store Holdings Operating Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Universal Store Holdings's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Universal Store Holdings's Operating Margin % falls into.
Universal Store Holdings 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.
Universal Store Holdings'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.
Universal Store Holdings (ASX:UNI) has a Operating Margin % of 20.81% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Universal Store Holdings and its competitors. This is 30% above median its historical median of 16.01. Over the past decade, Universal Store Holdings' Operating Margin % has ranged from 15.35 to 17.07. According to the industry distribution chart, Universal Store Holdings ranks #88 out of 1128 companies in the Retail - Cyclical industry, placing it in the top 7.8%.
Is Universal Store Holdings' Operating Margin % too high?
Universal Store Holdings' current Operating Margin % of 20.81% is 30% above median its 10-year median of 16.01. Over the past 10 years, this metric has ranged from a low of 15.35 to a high of 17.07. The Retail - Cyclical industry median Operating Margin % is 3.91. Universal Store Holdings' value of 20.81% is 432.9% above this industry median. Based on the distribution chart, Universal Store Holdings ranks #88 out of 1128 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Universal Store Holdings has a GF Score™ of 68/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Universal Store Holdings' Operating Margin % compare to TJX and ROST?
According to the Retail - Cyclical industry distribution chart, Universal Store Holdings ranks #88 out of 1128 companies for Operating Margin %. This places Universal Store Holdings in the top 8% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.91. Universal Store Holdings' value of 20.81% is 432.9% above this benchmark. Historically, Universal Store Holdings' own Operating Margin % has ranged from 15.35 to 17.07 over the past decade. While the company's 10-year median is 16.01 vs. the industry median of 3.91, Universal Store Holdings 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. Universal Store Holdings's current Operating Margin % of 20.81% is 432.9% 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 Universal Store Holdings 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. Universal Store Holdings's current Operating Margin % is 20.81%, which is 30% above median its own 10-year median of 16.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Universal Store Holdings stock overvalued right now?
Based on GuruFocus' analysis, Universal Store Holdings (ASX:UNI) is currently considered Fairly Valued. The stock's GF Value™ is A$8.04, compared to a current price of A$7.70 — trading 4.2% below its estimated fair value. The current Operating Margin % is 20.81%, which is 30% above median its 10-year median of 16.01 and 432.9% above the Retail - Cyclical industry median of 3.91. Universal Store Holdings' overall GF Score™ is 68/100 with 1 warning sign 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 Universal Store Holdings (ASX:UNI), the current Operating Margin % is 20.81% 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 Universal Store Holdings (ASX:UNI) Overvalued in 2026?
Based on GuruFocus' analysis, Universal Store Holdings stock appears to be undervalued.
The current stock price of A$7.70 is trading 4.2% below its estimated GF Value™ of A$8.04.
GuruFocus considers Universal Store Holdings to be Fairly Valued.
Key valuation signals for ASX:UNI:
Operating Margin %: 20.81% (30% above median its 10-year median of 16.01)
GF Value™: A$8.04 vs. price of A$7.70 (4.2% below fair value)
Industry Position: 432.9% above the Retail - Cyclical median (#88 of 1128)
No single metric tells the full story. See the ASX:UNI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Universal Store Holdings Ltd is a specialty retailer of youth casual apparel. It offers casual apparel, footwear, and accessories to the customers. The company brand portfolio includes Champion, Perfect Stranger, Tommy Jeans, Kiss Chacey, Thrills, Barney Cools, and others. The company has two reportable segments namely, Universal store, and CTC. The majority of revenue is generated from the Universal store.
68GF Score
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