Indian Toners & Developers (BOM:523586) 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.
Indian Toners & Developers Operating Margin % Related Terms
Indian Toners & Developers 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.
Indian Toners & Developers Operating Margin % Chart
BOM:523586 vs LIN, SHW, ECL: Operating Margin % Comparison
For the Specialty Chemicals subindustry, Indian Toners & Developers'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.
Indian Toners & Developers Operating Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Indian Toners & Developers's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Indian Toners & Developers's Operating Margin % falls into.
Indian Toners & Developers 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.
Indian Toners & Developers'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.
Indian Toners & Developers (BOM:523586) has a Operating Margin % of 19.42% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Indian Toners & Developers and its competitors. This is near median its historical median of 18.23. Over the past decade, Indian Toners & Developers' Operating Margin % has ranged from 9.58 to 21.46. According to the industry distribution chart, Indian Toners & Developers ranks #187 out of 1579 companies in the Chemicals industry, placing it in the top 11.8%.
Is Indian Toners & Developers' Operating Margin % too high?
Indian Toners & Developers' current Operating Margin % of 19.42% is near median its 10-year median of 18.23. Over the past 10 years, this metric has ranged from a low of 9.58 to a high of 21.46. The Chemicals industry median Operating Margin % is 6.02. Indian Toners & Developers' value of 19.42% is 222.6% above this industry median. Based on the distribution chart, Indian Toners & Developers ranks #187 out of 1579 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Indian Toners & Developers has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Indian Toners & Developers' Operating Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Indian Toners & Developers ranks #187 out of 1579 companies for Operating Margin %. This places Indian Toners & Developers in the top 12% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 6.02. Indian Toners & Developers' value of 19.42% is 222.6% above this benchmark. Historically, Indian Toners & Developers' own Operating Margin % has ranged from 9.58 to 21.46 over the past decade. While the company's 10-year median is 18.23 vs. the industry median of 6.02, Indian Toners & Developers 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 Chemicals company?
The median Operating Margin % among Chemicals companies is 6.02, based on 1,579 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. Indian Toners & Developers's current Operating Margin % of 19.42% is 222.6% 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 Indian Toners & Developers and its competitors. For the Chemicals industry, the median Operating Margin % is 6.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Indian Toners & Developers's current Operating Margin % is 19.42%, which is near median its own 10-year median of 18.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Indian Toners & Developers stock overvalued right now?
Based on GuruFocus' analysis, Indian Toners & Developers (BOM:523586) is currently considered Fairly Valued. The stock's GF Value™ is ₹301.16, compared to a current price of ₹295.60 — trading 1.8% below its estimated fair value. The current Operating Margin % is 19.42%, which is near median its 10-year median of 18.23 and 222.6% above the Chemicals industry median of 6.02. Indian Toners & Developers' overall GF Score™ is 80/100 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 Indian Toners & Developers (BOM:523586), the current Operating Margin % is 19.42% 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 Indian Toners & Developers (BOM:523586) Overvalued in 2026?
Based on GuruFocus' analysis, Indian Toners & Developers stock appears to be undervalued.
The current stock price of ₹295.60 is trading 1.8% below its estimated GF Value™ of ₹301.16.
GuruFocus considers Indian Toners & Developers to be Fairly Valued.
Key valuation signals for BOM:523586:
Operating Margin %: 19.42% (near median its 10-year median of 18.23)
GF Value™: ₹301.16 vs. price of ₹295.60 (1.8% below fair value)
Industry Position: 222.6% above the Chemicals median (#187 of 1579)
No single metric tells the full story. See the BOM:523586 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Indian Toners & Developers Ltd is a manufacturer of toners and developers. The company is engaged in the business of producing and exporting compatible toners for use in laser printers, the new age digital machines, multi-function printers, analogue copiers as well as wide-format printers and copiers. The only reporting segment of the company is a manufacturer of compatible toner. Its geographical segment includes Domestic sales and Export sales. The company's product consists of chemical color toner, laser toner, copier or digital toner, wide format copiers and printer toner and packaging.
80GF Score
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