Kanoria Energy & Infrastructure (BOM:539620) 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.
Kanoria Energy & Infrastructure Operating Margin % Related Terms
Kanoria Energy & Infrastructure 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.
Kanoria Energy & Infrastructure Operating Margin % Chart
BOM:539620 vs TT, JCI, CARR: Operating Margin % Comparison
For the Building Products & Equipment subindustry, Kanoria Energy & Infrastructure'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.
Kanoria Energy & Infrastructure Operating Margin % vs Construction Industry
For the Construction industry and Industrials sector, Kanoria Energy & Infrastructure's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Kanoria Energy & Infrastructure's Operating Margin % falls into.
Kanoria Energy & Infrastructure 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.
* 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.
Kanoria Energy & Infrastructure (BOM:539620) has a Operating Margin % of 4.51% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Kanoria Energy & Infrastructure and its competitors. This is 24% below median its historical median of 5.94. Over the past decade, Kanoria Energy & Infrastructure's Operating Margin % has ranged from 4.73 to 8.42. According to the industry distribution chart, Kanoria Energy & Infrastructure ranks #1025 out of 1767 companies in the Construction industry, placing it in the top 58%.
Is Kanoria Energy & Infrastructure's Operating Margin % too high?
Kanoria Energy & Infrastructure's current Operating Margin % of 4.51% is 24% below median its 10-year median of 5.94. Over the past 10 years, this metric has ranged from a low of 4.73 to a high of 8.42. The Construction industry median Operating Margin % is 5.89. Kanoria Energy & Infrastructure's value of 4.51% is 23.4% below this industry median. Based on the distribution chart, Kanoria Energy & Infrastructure ranks #1025 out of 1767 companies in the Construction industry, which is below the industry midpoint. Overall, Kanoria Energy & Infrastructure has a GF Score™ of 64/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Kanoria Energy & Infrastructure's Operating Margin % compare to TT and JCI?
According to the Construction industry distribution chart, Kanoria Energy & Infrastructure ranks #1025 out of 1767 companies for Operating Margin %. This places Kanoria Energy & Infrastructure in the lower half of its industry. The industry median Operating Margin % is 5.89. Kanoria Energy & Infrastructure's value of 4.51% is 23.4% below this benchmark. Historically, Kanoria Energy & Infrastructure's own Operating Margin % has ranged from 4.73 to 8.42 over the past decade. While the company's 10-year median is 5.94 vs. the industry median of 5.89, Kanoria Energy & Infrastructure 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 Construction company?
The median Operating Margin % among Construction companies is 5.89, based on 1,767 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. Kanoria Energy & Infrastructure's current Operating Margin % of 4.51% is 23.4% 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 Kanoria Energy & Infrastructure and its competitors. For the Construction industry, the median Operating Margin % is 5.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kanoria Energy & Infrastructure's current Operating Margin % is 4.51%, which is 24% below median its own 10-year median of 5.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kanoria Energy & Infrastructure stock overvalued right now?
Based on GuruFocus' analysis, Kanoria Energy & Infrastructure (BOM:539620) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹23.51, compared to a current price of ₹16.81 — trading 28.5% below its estimated fair value. The current Operating Margin % is 4.51%, which is 24% below median its 10-year median of 5.94 and 23.4% below the Construction industry median of 5.89. Kanoria Energy & Infrastructure's overall GF Score™ is 64/100 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 Kanoria Energy & Infrastructure (BOM:539620), the current Operating Margin % is 4.51% 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 Kanoria Energy & Infrastructure (BOM:539620) Overvalued in 2026?
Based on GuruFocus' analysis, Kanoria Energy & Infrastructure stock appears to be undervalued.
The current stock price of ₹16.81 is trading 28.5% below its estimated GF Value™ of ₹23.51.
GuruFocus considers Kanoria Energy & Infrastructure to be Modestly Undervalued.
Key valuation signals for BOM:539620:
Operating Margin %: 4.51% (24% below median its 10-year median of 5.94)
GF Value™: ₹23.51 vs. price of ₹16.81 (28.5% below fair value)
Industry Position: 23.4% below the Construction median (#1025 of 1767)
No single metric tells the full story. See the BOM:539620 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kanoria Energy & Infrastructure Business Description
Kanoria Energy & Infrastructure Ltd is engaged in the business of manufacturing of Asbestos Cement Pressure Pipes, Corrugated Roofing Sheets, A.C. Sheet and Moulded Goods and laying and jointing of Asbestos Cement Products. The company derives revenue mainly from sale of manufactured goods and related services.
64GF Score
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