Southern Magnesium & Chemicals (BOM:513498) Operating Margin %: -1.37% (As of Mar. 2026)


BOM:513498 Southern Magnesium & Chemicals Ltd BOM:513498
72 GF Score
Price ₹77.30
GF Value ₹65.84
Valuation Modestly Overvalued
! 6 Warning Signs
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What is Southern Magnesium & Chemicals Operating Margin %?

Southern Magnesium & Chemicals BOM:513498 -0.82% 72 Operating Margin % is -1.37% as of Mar. 2026. GuruFocus rates BOM:513498 with a GF Score™ of 72/100 and a GF Value™ of ₹65.84 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 840 Metals & Mining companies, Southern Magnesium & Chemicals ranks worse than 65.24% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Southern Magnesium & Chemicals's Operating Income for the three months ended in Mar. 2026 was ₹-0.12 Mil. Southern Magnesium & Chemicals's Revenue for the three months ended in Mar. 2026 was ₹8.99 Mil. Therefore, Southern Magnesium & Chemicals's Operating Margin % for the quarter that ended in Mar. 2026 was -1.37%.

The historical rank and industry rank for Southern Magnesium & Chemicals's Operating Margin % or its related term are showing as below:

BOM:513498' s Operating Margin % Range Over the Past 10 Years
Min: -46.13   Med: 26.7   Max: 56.1
Current: -0.51


BOM:513498's Operating Margin % is ranked worse than
65.24% of 840 companies
in the Metals & Mining industry
Industry Median: 5.86 vs BOM:513498: -0.51

Southern Magnesium & Chemicals's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Southern Magnesium & Chemicals's Operating Income for the three months ended in Mar. 2026 was ₹-0.12 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ₹-0.17 Mil.


Southern Magnesium & Chemicals  (BOM:513498) 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 Nokia’s 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.


Southern Magnesium & Chemicals Operating Margin % Related Terms


Southern Magnesium & Chemicals Operating Margin % Historical Data

* Premium members only.

The historical data trend for Southern Magnesium & Chemicals'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.

Southern Magnesium & Chemicals Operating Margin % Chart

Southern Magnesium & Chemicals Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.42 56.10 44.39 30.97 -0.51

Southern Magnesium & Chemicals Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -26.80 -72.76 15.22 -17.03 -1.37

Southern Magnesium & Chemicals Operating Margin % Competitor Comparison

For the Other Industrial Metals & Mining subindustry, Southern Magnesium & Chemicals'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.


Southern Magnesium & Chemicals Operating Margin % vs Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Southern Magnesium & Chemicals's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Southern Magnesium & Chemicals's Operating Margin % falls into.


BOM:513498
72GF Score
Southern Magnesium & Chemicals Ltd BOM:513498
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Southern Magnesium & Chemicals 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.

Southern Magnesium & Chemicals's Operating Margin % for the fiscal year that ended in Mar. 2026 is calculated as

Operating Margin %=Operating Income (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=-0.171 / 33.555
=-0.51 %

Southern Magnesium & Chemicals's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=-0.123 / 8.986
=-1.37 %

* 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.

Frequently Asked Questions Learn more about Operating Margin % →
What does a Operating Margin % of -1.37% mean?
Southern Magnesium & Chemicals (BOM:513498) has a Operating Margin % of -1.37% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Southern Magnesium & Chemicals and its competitors. According to the industry distribution chart, Southern Magnesium & Chemicals ranks #548 out of 840 companies in the Metals & Mining industry, placing it in the top 65.2%.
Is Southern Magnesium & Chemicals' Operating Margin % too high?
Southern Magnesium & Chemicals' current Operating Margin % is -1.37%. Based on the distribution chart, Southern Magnesium & Chemicals ranks #548 out of 840 companies in the Metals & Mining industry, which is below the industry midpoint. Overall, Southern Magnesium & Chemicals has a GF Score™ of 72/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Southern Magnesium & Chemicals' Operating Margin % compare to competitors?
According to the Metals & Mining industry distribution chart, Southern Magnesium & Chemicals ranks #548 out of 840 companies for Operating Margin %. This places Southern Magnesium & Chemicals in the lower half of its industry. The industry median Operating Margin % is 5.86. 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 Metals & Mining company?
The median Operating Margin % among Metals & Mining companies is 5.86, based on 840 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 Southern Magnesium & Chemicals and its competitors. For the Metals & Mining industry, the median Operating Margin % is 5.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Southern Magnesium & Chemicals's current Operating Margin % is -1.37%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Southern Magnesium & Chemicals stock overvalued right now?
Based on GuruFocus' analysis, Southern Magnesium & Chemicals (BOM:513498) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹65.84, compared to a current price of ₹77.30 — trading 17.4% above its estimated fair value. The current Operating Margin % is -1.37%. Southern Magnesium & Chemicals' overall GF Score™ is 72/100 with 6 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 Southern Magnesium & Chemicals (BOM:513498), the current Operating Margin % is -1.37% 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 Southern Magnesium & Chemicals (BOM:513498) Overvalued in 2026?

Based on GuruFocus' analysis, Southern Magnesium & Chemicals stock appears to be overvalued. The current stock price of ₹77.30 is trading 17.4% above its estimated GF Value™ of ₹65.84. GuruFocus considers Southern Magnesium & Chemicals to be Modestly Overvalued.

Key valuation signals for BOM:513498:

  • Operating Margin %: -1.37%
  • GF Value™: ₹65.84 vs. price of ₹77.30 (17.4% above fair value)
  • GF Score™: 72/100 with 6 warning signs

No single metric tells the full story. See the BOM:513498 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Southern Magnesium & Chemicals Business Description

Address Deccan Chambers, 5th Floor, 6-3-666/B, Somajiguda, Hyderabad, TG, IND, 500082
Southern Magnesium & Chemicals Ltd is an Indian company engaged in the business of magnesium metal and related goods. The company also produces Magnesium alloy, Turnings, Granules, Powders, and extrusion.
72GF Score

Get the complete analysis for BOM:513498

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹77.30
Price
₹65.84
GF Value