Transpek IndustryBOM:506687 -0.81%75 Operating Margin % is 4.10% as of Mar. 2026, which is 67% below its 10-year median of 12.33. GuruFocus rates BOM:506687 with a GF Score™ of 75/100 and a GF Value™ of ₹1,543.97 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 1,584 Chemicals companies, Transpek Industry ranks better than 55.62% on this metric.
Transpek Industry (BOM:506687) 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.
Transpek Industry Operating Margin % Related Terms
Transpek Industry Operating Margin % Historical Data
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The historical data trend for Transpek Industry's Operating Margin % can be seen below:
* 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 Chemicals subindustry, Transpek Industry'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.
Transpek Industry Operating Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Transpek Industry's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Transpek Industry'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.
Transpek Industry'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.
Transpek Industry (BOM:506687) has a Operating Margin % of 4.10% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Transpek Industry and its competitors. This is 67% below median its historical median of 12.33. Over the past decade, Transpek Industry's Operating Margin % has ranged from 6.88 to 19.84. According to the industry distribution chart, Transpek Industry ranks #703 out of 1584 companies in the Chemicals industry, placing it in the top 44.4%.
Is Transpek Industry's Operating Margin % too high?
Transpek Industry's current Operating Margin % of 4.10% is 67% below median its 10-year median of 12.33. Over the past 10 years, this metric has ranged from a low of 6.88 to a high of 19.84. The Chemicals industry median Operating Margin % is 6.03. Transpek Industry's value of 4.10% is 32% below this industry median. Based on the distribution chart, Transpek Industry ranks #703 out of 1584 companies in the Chemicals industry, which is above the industry midpoint. Overall, Transpek Industry has a GF Score™ of 75/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Transpek Industry's Operating Margin % compare to DOW?
According to the Chemicals industry distribution chart, Transpek Industry ranks #703 out of 1584 companies for Operating Margin %. This puts Transpek Industry in the upper half of its industry. The industry median Operating Margin % is 6.03. Transpek Industry's value of 4.10% is 32% below this benchmark. Historically, Transpek Industry's own Operating Margin % has ranged from 6.88 to 19.84 over the past decade. While the company's 10-year median is 12.33 vs. the industry median of 6.03, Transpek Industry 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 Chemicals company?
The median Operating Margin % among Chemicals companies is 6.03, based on 1,584 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. Transpek Industry's current Operating Margin % of 4.10% is 32% 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 Transpek Industry and its competitors. For the Chemicals industry, the median Operating Margin % is 6.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Transpek Industry's current Operating Margin % is 4.10%, which is 67% below median its own 10-year median of 12.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Transpek Industry stock overvalued right now?
Based on GuruFocus' analysis, Transpek Industry (BOM:506687) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹1,543.97, compared to a current price of ₹1,004.00 — trading 35% below its estimated fair value. The current Operating Margin % is 4.10%, which is 67% below median its 10-year median of 12.33 and 32% below the Chemicals industry median of 6.03. Transpek Industry's overall GF Score™ is 75/100 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 Transpek Industry (BOM:506687), the current Operating Margin % is 4.10% 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 Transpek Industry (BOM:506687) Overvalued in 2026?
Based on GuruFocus' analysis, Transpek Industry stock appears to be undervalued.
The current stock price of ₹1,004.00 is trading 35% below its estimated GF Value™ of ₹1,543.97.
GuruFocus considers Transpek Industry to be Significantly Undervalued.
Key valuation signals for BOM:506687:
Operating Margin %: 4.10% (67% below median its 10-year median of 12.33)
GF Value™: ₹1,543.97 vs. price of ₹1,004.00 (35% below fair value)
Industry Position: 32% below the Chemicals median (#703 of 1584)
No single metric tells the full story. See the BOM:506687 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Transpek Industry Ltd is a chemical manufacturing company which engages in the manufacturing and export of a range of Chemicals; Pesticides; Organic compounds. The Company is engaged in the business of manufacturing of Chemicals which is the only operating Segment. These products are used in various industrial applications, such as polymers, plastics, performance materials, agrochemicals, pharmaceuticals, and Other Applications. The group sells its products in India and also exports to other countries, of which key revenue is derived from North America.
75GF Score
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