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.
Karnimata Cold Storage Operating Margin % Related Terms
Karnimata Cold Storage Operating Margin % Historical Data
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The historical data trend for Karnimata Cold Storage'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.
BOM:537784 vs CTAS, CPRT, GPN: Operating Margin % Comparison
For the Specialty Business Services subindustry, Karnimata Cold Storage'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.
Karnimata Cold Storage Operating Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Karnimata Cold Storage's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Karnimata Cold Storage'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.
Karnimata Cold Storage'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.
Karnimata Cold Storage (BOM:537784) has a Operating Margin % of 21.23% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Karnimata Cold Storage and its competitors. This is near median its historical median of 22.33. Over the past decade, Karnimata Cold Storage's Operating Margin % has ranged from 16.35 to 28.33.
Is Karnimata Cold Storage's Operating Margin % too high?
Karnimata Cold Storage's current Operating Margin % of 21.23% is near median its 10-year median of 22.33. Over the past 10 years, this metric has ranged from a low of 16.35 to a high of 28.33. The Business Services industry median Operating Margin % is 6.33. Karnimata Cold Storage's value of 21.23% is 235.4% above this industry median. Overall, Karnimata Cold Storage has a GF Score™ of 67/100, reflecting its overall financial health beyond just this single metric.
How does Karnimata Cold Storage's Operating Margin % compare to CTAS and CPRT?
Karnimata Cold Storage's Operating Margin % of 21.23% can be compared against companies in the Business Services industry. The industry median Operating Margin % is 6.33. Karnimata Cold Storage's value of 21.23% is 235.4% above this benchmark. Historically, Karnimata Cold Storage's own Operating Margin % has ranged from 16.35 to 28.33 over the past decade. While the company's 10-year median is 22.33 vs. the industry median of 6.33, Karnimata Cold Storage 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 Business Services company?
The median Operating Margin % among Business Services companies is 6.33, based on 1,070 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. Karnimata Cold Storage's current Operating Margin % of 21.23% is 235.4% 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 Karnimata Cold Storage and its competitors. For the Business Services industry, the median Operating Margin % is 6.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Karnimata Cold Storage's current Operating Margin % is 21.23%, which is near median its own 10-year median of 22.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Karnimata Cold Storage stock overvalued right now?
Karnimata Cold Storage (BOM:537784) has a current Operating Margin % of 21.23%. The stock's GF Value™ is ₹9.40, compared to a current price of ₹9.32 — trading 0.9% below its estimated fair value. The current Operating Margin % is 21.23%, which is near median its 10-year median of 22.33 and 235.4% above the Business Services industry median of 6.33. Karnimata Cold Storage's overall GF Score™ is 67/100 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 Karnimata Cold Storage (BOM:537784), the current Operating Margin % is 21.23% 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 Karnimata Cold Storage (BOM:537784) Overvalued in 2026?
Based on GuruFocus' analysis, Karnimata Cold Storage stock appears to be undervalued.
The current stock price of ₹9.32 is trading 0.9% below its estimated GF Value™ of ₹9.40.
Key valuation signals for BOM:537784:
Operating Margin %: 21.23% (near median its 10-year median of 22.33)
GF Value™: ₹9.40 vs. price of ₹9.32 (0.9% below fair value)
Industry Position: 235.4% above the Business Services median
No single metric tells the full story. See the BOM:537784 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Karnimata Cold Storage Ltd is engaged in the business of warehousing of refrigerated (cold storage) in India. It is engaged in the business of providing cold storage facilities on a rental basis and providing loans to traders and farmers.
67GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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