Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
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.
Welspun Specialty Solutions Operating Margin % Related Terms
Welspun Specialty Solutions 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.
BOM:500365 vs NUE, STLD, RS: Operating Margin % Comparison
For the Steel subindustry, Welspun Specialty Solutions'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.
Welspun Specialty Solutions Operating Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Welspun Specialty Solutions's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Welspun Specialty Solutions'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.
Welspun Specialty Solutions's Operating Margin % for the fiscal year that ended in Mar. 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.
Welspun Specialty Solutions (BOM:500365) has a Operating Margin % of 3.17% as of Jun. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Welspun Specialty Solutions and its competitors. According to the industry distribution chart, Welspun Specialty Solutions ranks #261 out of 611 companies in the Steel industry, placing it in the top 42.7%.
Is Welspun Specialty Solutions' Operating Margin % too high?
Welspun Specialty Solutions' current Operating Margin % is 3.17%. The Steel industry median Operating Margin % is 3.01. Welspun Specialty Solutions' value of 3.17% is 5.3% above this industry median. Based on the distribution chart, Welspun Specialty Solutions ranks #261 out of 611 companies in the Steel industry, which is above the industry midpoint. Overall, Welspun Specialty Solutions has a GF Score™ of 56/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Welspun Specialty Solutions' Operating Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Welspun Specialty Solutions ranks #261 out of 611 companies for Operating Margin %. This puts Welspun Specialty Solutions in the upper half of its industry. The industry median Operating Margin % is 3.01. Welspun Specialty Solutions' value of 3.17% is 5.3% above this benchmark. 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 Steel company?
The median Operating Margin % among Steel companies is 3.01, based on 611 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. Welspun Specialty Solutions's current Operating Margin % of 3.17% is 5.3% 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 Welspun Specialty Solutions and its competitors. For the Steel industry, the median Operating Margin % is 3.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Welspun Specialty Solutions's current Operating Margin % is 3.17%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Welspun Specialty Solutions stock overvalued right now?
Based on GuruFocus' analysis, Welspun Specialty Solutions (BOM:500365) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹40.29, compared to a current price of ₹51.25 — trading 27.2% above its estimated fair value. The current Operating Margin % is 3.17% and 5.3% above the Steel industry median of 3.01. Welspun Specialty Solutions' overall GF Score™ is 56/100 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 Welspun Specialty Solutions (BOM:500365), the current Operating Margin % is 3.17% as of Jun. 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 Welspun Specialty Solutions (BOM:500365) Overvalued in 2026?
Based on GuruFocus' analysis, Welspun Specialty Solutions stock appears to be overvalued.
The current stock price of ₹51.25 is trading 27.2% above its estimated GF Value™ of ₹40.29.
GuruFocus considers Welspun Specialty Solutions to be Modestly Overvalued.
Key valuation signals for BOM:500365:
Operating Margin %: 3.17%
GF Value™: ₹40.29 vs. price of ₹51.25 (27.2% above fair value)
Industry Position: 5.3% above the Steel median (#261 of 611)
No single metric tells the full story. See the BOM:500365 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Welspun Specialty Solutions Ltd is involved in the production of alloy and stainless steel products. The company operates in a single reportable segment, which encompasses the manufacturing and sale of steel and steel products. Geographically, the company generates the majority of its revenue from operations within India.
56GF Score
Get the complete analysis for BOM:500365
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BOM:500365 has been successfully added to your 
