Prime FreshBOM:540404 +1.85%93 Operating Margin % is 6.32% as of Mar. 2026, which is 3% above its 10-year median of 6.16. GuruFocus rates BOM:540404 with a GF Score™ of 93/100 and a GF Value™ of ₹389.05 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 310 Retail - Defensive companies, Prime Fresh ranks better than 79.03% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Prime Fresh's Operating Income for the
three
months ended in Mar. 2026 was ₹50 Mil. Prime Fresh's Revenue for the
three
months ended in Mar. 2026 was ₹799 Mil. Therefore, Prime Fresh's Operating Margin % for the quarter that ended in Mar. 2026 was 6.32%.
Warning Sign:
Prime Fresh Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -2%.
The historical rank and industry rank for Prime Fresh's Operating Margin % or its related term are showing as below:
BOM:540404'
s Operating Margin % Range Over the Past 10 Years
Min: 3.47 Med: 6.16 Max: 7.42
Current: 6.92
BOM:540404's Operating Margin % is ranked better than 79.03% of 310
companies
in the Retail - Defensive industry
Industry Median: 3.275
vs BOM:540404: 6.92
Prime Fresh's 5-Year Average Operating Margin % Growth Rate was -2.00% per year.
Prime Fresh's Operating Income for the
three
months ended in Mar. 2026 was ₹50 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ₹190 Mil.
Prime Fresh (BOM:540404) 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.
Prime Fresh Operating Margin % Related Terms
Prime Fresh Operating Margin % Historical Data
* Premium members only.
The historical data trend for Prime Fresh'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:540404 vs SYY, USFD, PFGC: Operating Margin % Comparison
For the Food Distribution subindustry, Prime Fresh'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.
Prime Fresh Operating Margin % vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Prime Fresh's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Prime Fresh'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.
Prime Fresh'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.
Prime Fresh (BOM:540404) has a Operating Margin % of 6.32% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Prime Fresh and its competitors. This is near median its historical median of 6.16. Over the past decade, Prime Fresh's Operating Margin % has ranged from 3.47 to 7.42. According to the industry distribution chart, Prime Fresh ranks #65 out of 310 companies in the Retail - Defensive industry, placing it in the top 21%.
Is Prime Fresh's Operating Margin % too high?
Prime Fresh's current Operating Margin % of 6.32% is near median its 10-year median of 6.16. Over the past 10 years, this metric has ranged from a low of 3.47 to a high of 7.42. The Retail - Defensive industry median Operating Margin % is 3.28. Prime Fresh's value of 6.32% is 93% above this industry median. Based on the distribution chart, Prime Fresh ranks #65 out of 310 companies in the Retail - Defensive industry, which is in the top quartile — a strong position relative to peers. Overall, Prime Fresh has a GF Score™ of 93/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Prime Fresh's Operating Margin % compare to SYY and USFD?
According to the Retail - Defensive industry distribution chart, Prime Fresh ranks #65 out of 310 companies for Operating Margin %. This places Prime Fresh in the top 21% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.28. Prime Fresh's value of 6.32% is 93% above this benchmark. Historically, Prime Fresh's own Operating Margin % has ranged from 3.47 to 7.42 over the past decade. While the company's 10-year median is 6.16 vs. the industry median of 3.28, Prime Fresh 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 Retail - Defensive company?
The median Operating Margin % among Retail - Defensive companies is 3.28, based on 310 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. Prime Fresh's current Operating Margin % of 6.32% is 93% 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 Prime Fresh and its competitors. For the Retail - Defensive industry, the median Operating Margin % is 3.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Prime Fresh's current Operating Margin % is 6.32%, which is near median its own 10-year median of 6.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Prime Fresh stock overvalued right now?
Based on GuruFocus' analysis, Prime Fresh (BOM:540404) is currently considered Possible Value Trap. The stock's GF Value™ is ₹389.05, compared to a current price of ₹217.00 — trading 44.2% below its estimated fair value. The current Operating Margin % is 6.32%, which is near median its 10-year median of 6.16 and 93% above the Retail - Defensive industry median of 3.28. Prime Fresh's overall GF Score™ is 93/100 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 Prime Fresh (BOM:540404), the current Operating Margin % is 6.32% 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 Prime Fresh (BOM:540404) Overvalued in 2026?
Based on GuruFocus' analysis, Prime Fresh stock appears to be undervalued.
The current stock price of ₹217.00 is trading 44.2% below its estimated GF Value™ of ₹389.05.
GuruFocus considers Prime Fresh to be Possible Value Trap.
Key valuation signals for BOM:540404:
Operating Margin %: 6.32% (near median its 10-year median of 6.16)
GF Value™: ₹389.05 vs. price of ₹217.00 (44.2% below fair value)
Industry Position: 93% above the Retail - Defensive median (#65 of 310)
No single metric tells the full story. See the BOM:540404 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Prime Fresh Ltd is an integrated Agri value chain institution in the domestic and international agricultural trade. The company is engaged in the procurement and distribution of Fruits and Vegetables. It focuses on sourcing, handling, grading, sorting, warehousing, packing, ripening, branding, warehousing, delivery of fruits and vegetables, and manpower management.
93GF Score
Get the complete analysis for BOM:540404
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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