SMT Engineering (BOM:538563) Operating Margin %: 27.97% (As of Mar. 2026)

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BOM:538563 SMT Engineering Ltd BOM:538563
53 GF Score
Price ₹466.00
GF Value ₹283.14
Valuation Significantly Overvalued
! 5 Warning Signs
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What is SMT Engineering Operating Margin %?

SMT Engineering BOM:538563 +4.99% 53 Operating Margin % is 27.97% as of Mar. 2026. GuruFocus rates BOM:538563 with a GF Score™ of 53/100 and a GF Value™ of ₹283.14 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 668 Capital Markets companies, SMT Engineering ranks better than 63.02% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. SMT Engineering's Operating Income for the three months ended in Mar. 2026 was ₹207 Mil. SMT Engineering's Revenue for the three months ended in Mar. 2026 was ₹741 Mil. Therefore, SMT Engineering's Operating Margin % for the quarter that ended in Mar. 2026 was 27.97%.

The historical rank and industry rank for SMT Engineering's Operating Margin % or its related term are showing as below:

BOM:538563' s Operating Margin % Range Over the Past 10 Years
Min: -101.06   Med: -19.94   Max: 24.33
Current: 24.33


BOM:538563's Operating Margin % is ranked better than
63.02% of 668 companies
in the Capital Markets industry
Industry Median: 7.265 vs BOM:538563: 24.33

SMT Engineering's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

SMT Engineering's Operating Income for the three months ended in Mar. 2026 was ₹207 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ₹395 Mil.


SMT Engineering  (BOM:538563) 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.


SMT Engineering Operating Margin % Related Terms


SMT Engineering Operating Margin % Historical Data

* Premium members only.

The historical data trend for SMT Engineering'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.

SMT Engineering Operating Margin % Chart

SMT Engineering 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 -10.01 -101.06 -87.07 12.51 24.33

SMT Engineering 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 15.89 13.59 27.52 21.12 27.97

BOM:538563 vs MS, GS, SCHW: Operating Margin % Comparison

For the Capital Markets subindustry, SMT Engineering'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.


SMT Engineering Operating Margin % vs Capital Markets Industry

For the Capital Markets industry and Financial Services sector, SMT Engineering's Operating Margin % distribution charts can be found below:

* The bar in red indicates where SMT Engineering's Operating Margin % falls into.


BOM:538563
53GF Score
SMT Engineering Ltd BOM:538563
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

SMT Engineering 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.

SMT Engineering'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 )
=394.806 / 1622.385
=24.33 %

SMT Engineering'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 )
=207.233 / 741.017
=27.97 %

* 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 27.97% mean?
SMT Engineering (BOM:538563) has a Operating Margin % of 27.97% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on SMT Engineering and its competitors. According to the industry distribution chart, SMT Engineering ranks #247 out of 668 companies in the Capital Markets industry, placing it in the top 37%.
Is SMT Engineering's Operating Margin % too high?
SMT Engineering's current Operating Margin % is 27.97%. The Capital Markets industry median Operating Margin % is 7.27. SMT Engineering's value of 27.97% is 285% above this industry median. Based on the distribution chart, SMT Engineering ranks #247 out of 668 companies in the Capital Markets industry, which is above the industry midpoint. Overall, SMT Engineering has a GF Score™ of 53/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does SMT Engineering's Operating Margin % compare to MS and GS?
According to the Capital Markets industry distribution chart, SMT Engineering ranks #247 out of 668 companies for Operating Margin %. This puts SMT Engineering in the upper half of its industry. The industry median Operating Margin % is 7.27. SMT Engineering's value of 27.97% is 285% above this benchmark. 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 Capital Markets company?
The median Operating Margin % among Capital Markets companies is 7.27, based on 668 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. SMT Engineering's current Operating Margin % of 27.97% is 285% 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 SMT Engineering and its competitors. For the Capital Markets industry, the median Operating Margin % is 7.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SMT Engineering's current Operating Margin % is 27.97%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SMT Engineering stock overvalued right now?
Based on GuruFocus' analysis, SMT Engineering (BOM:538563) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹283.14, compared to a current price of ₹466.00 — trading 64.6% above its estimated fair value. The current Operating Margin % is 27.97% and 285% above the Capital Markets industry median of 7.27. SMT Engineering's overall GF Score™ is 53/100 with 5 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 SMT Engineering (BOM:538563), the current Operating Margin % is 27.97% 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 SMT Engineering (BOM:538563) Overvalued in 2026?

Based on GuruFocus' analysis, SMT Engineering stock appears to be overvalued. The current stock price of ₹466.00 is trading 64.6% above its estimated GF Value™ of ₹283.14. GuruFocus considers SMT Engineering to be Significantly Overvalued.

Key valuation signals for BOM:538563:

  • Operating Margin %: 27.97%
  • GF Value™: ₹283.14 vs. price of ₹466.00 (64.6% above fair value)
  • GF Score™: 53/100 with 5 warning signs
  • Industry Position: 285% above the Capital Markets median (#247 of 668)

No single metric tells the full story. See the BOM:538563 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


SMT Engineering Business Description

Address Sanwer Road Industrial Area, Plot No. 23 D Sector A, Near Parle G Biscuit Factory, Indore, MP, IND, 452015
SMT Engineering Ltd and its subsidiaries, the Group, operate in share trading, manufacturing plastic processing machinery globally, and other businesses. Through its subsidiary, the company specializes in HDPE and PVC extrusion systems, drip irrigation solutions, and related plastic pipe manufacturing machinery, with CNC facilities in Indore, India. The company is also engaged in trading commodities and investing in mutual funds, shares, and securities, with the majority of its revenue generated from sales of shares and securities.
53GF Score

Get the complete analysis for BOM:538563

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

₹466.00
Price
₹283.14
GF Value