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.
Garware Offshore Services Operating Margin % Related Terms
Garware Offshore 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 Marine Shipping subindustry, Garware Offshore 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.
Garware Offshore Services Operating Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, Garware Offshore Services's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Garware Offshore 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.
Garware Offshore Services'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.
Garware Offshore Services (BOM:501848) has a Operating Margin % of -30.28% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Garware Offshore Services and its competitors. According to the industry distribution chart, Garware Offshore Services ranks #971 out of 999 companies in the Transportation industry, placing it in the top 97.2%.
Is Garware Offshore Services' Operating Margin % too high?
Garware Offshore Services' current Operating Margin % is -30.28%. Based on the distribution chart, Garware Offshore Services ranks #971 out of 999 companies in the Transportation industry, which is in the bottom quartile relative to peers. Overall, Garware Offshore Services has a GF Score™ of 52/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Garware Offshore Services' Operating Margin % compare to competitors?
According to the Transportation industry distribution chart, Garware Offshore Services ranks #971 out of 999 companies for Operating Margin %. This places Garware Offshore Services in the lower half of its industry. The industry median Operating Margin % is 7.36. 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 999 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. 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 Garware Offshore 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. Garware Offshore Services's current Operating Margin % is -30.28%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Garware Offshore Services stock overvalued right now?
Based on GuruFocus' analysis, Garware Offshore Services (BOM:501848) is currently considered Fairly Valued. The stock's GF Value™ is ₹60.81, compared to a current price of ₹55.96 — trading 8% below its estimated fair value. The current Operating Margin % is -30.28%. Garware Offshore Services' overall GF Score™ is 52/100 with 4 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 Garware Offshore Services (BOM:501848), the current Operating Margin % is -30.28% 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 Garware Offshore Services (BOM:501848) Overvalued in 2026?
Based on GuruFocus' analysis, Garware Offshore Services stock appears to be undervalued.
The current stock price of ₹55.96 is trading 8% below its estimated GF Value™ of ₹60.81.
GuruFocus considers Garware Offshore Services to be Fairly Valued.
Key valuation signals for BOM:501848:
Operating Margin %: -30.28%
GF Value™: ₹60.81 vs. price of ₹55.96 (8% below fair value)
No single metric tells the full story. See the BOM:501848 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Garware Offshore Services Ltd, formerly known as Global Offshore Services Ltd, is an Indian firm engaged in providing offshore support services to exploration and production companies. The company's vessels support oil and gas exploration efforts involving: the transport of personnel to rigs/platforms from onshore bases and vice-versa, delivery of cargo/material to rigs/platforms, anchor handling operations, towing of rigs from one location to another, support to offshore/underwater construction projects, the platform supply vessels owned and operated by the company and its subsidiaries are deployed in India, the North Sea, Brazil, and West Africa. The charter hire segment constitutes the majority of the company's revenue.
52GF Score
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