Eris LifesciencesBOM:540596 +1.82%87 Operating Margin % is 27.13% as of Mar. 2026, which is 13% below its 10-year median of 31.31. GuruFocus rates BOM:540596 with a GF Score™ of 87/100 and a GF Value™ of ₹1,640.43 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 955 Drug Manufacturers companies, Eris Lifesciences ranks better than 91.83% on this metric.
Eris Lifesciences Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -5%.
The historical rank and industry rank for Eris Lifesciences's Operating Margin % or its related term are showing as below:
BOM:540596'
s Operating Margin % Range Over the Past 10 Years
Min: 24.37 Med: 31.31 Max: 35.85
Current: 26.99
BOM:540596's Operating Margin % is ranked better than 91.83% of 955
companies
in the Drug Manufacturers industry
Industry Median: 7.45
vs BOM:540596: 26.99
Eris Lifesciences's 5-Year Average Operating Margin % Growth Rate was -5.00% per year.
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.
Eris Lifesciences Operating Margin % Related Terms
Eris Lifesciences Operating Margin % Historical Data
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The historical data trend for Eris Lifesciences'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.
For the Drug Manufacturers - Specialty & Generic subindustry, Eris Lifesciences'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.
Eris Lifesciences Operating Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Eris Lifesciences's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Eris Lifesciences'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.
Eris Lifesciences'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.
Eris Lifesciences (BOM:540596) has a Operating Margin % of 27.13% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Eris Lifesciences and its competitors. This is 13% below median its historical median of 31.31. Over the past decade, Eris Lifesciences' Operating Margin % has ranged from 24.37 to 35.85. According to the industry distribution chart, Eris Lifesciences ranks #78 out of 955 companies in the Drug Manufacturers industry, placing it in the top 8.2%.
Is Eris Lifesciences' Operating Margin % too high?
Eris Lifesciences' current Operating Margin % of 27.13% is 13% below median its 10-year median of 31.31. Over the past 10 years, this metric has ranged from a low of 24.37 to a high of 35.85. The Drug Manufacturers industry median Operating Margin % is 7.45. Eris Lifesciences' value of 27.13% is 264.2% above this industry median. Based on the distribution chart, Eris Lifesciences ranks #78 out of 955 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Eris Lifesciences has a GF Score™ of 87/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Eris Lifesciences' Operating Margin % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Eris Lifesciences ranks #78 out of 955 companies for Operating Margin %. This places Eris Lifesciences in the top 8% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 7.45. Eris Lifesciences' value of 27.13% is 264.2% above this benchmark. Historically, Eris Lifesciences' own Operating Margin % has ranged from 24.37 to 35.85 over the past decade. While the company's 10-year median is 31.31 vs. the industry median of 7.45, Eris Lifesciences 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 Drug Manufacturers company?
The median Operating Margin % among Drug Manufacturers companies is 7.45, based on 955 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. Eris Lifesciences's current Operating Margin % of 27.13% is 264.2% 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 Eris Lifesciences and its competitors. For the Drug Manufacturers industry, the median Operating Margin % is 7.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eris Lifesciences's current Operating Margin % is 27.13%, which is 13% below median its own 10-year median of 31.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eris Lifesciences stock overvalued right now?
Based on GuruFocus' analysis, Eris Lifesciences (BOM:540596) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹1,640.43, compared to a current price of ₹1,459.80 — trading 11% below its estimated fair value. The current Operating Margin % is 27.13%, which is 13% below median its 10-year median of 31.31 and 264.2% above the Drug Manufacturers industry median of 7.45. Eris Lifesciences' overall GF Score™ is 87/100 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 Eris Lifesciences (BOM:540596), the current Operating Margin % is 27.13% 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 Eris Lifesciences (BOM:540596) Overvalued in 2026?
Based on GuruFocus' analysis, Eris Lifesciences stock appears to be undervalued.
The current stock price of ₹1,459.80 is trading 11% below its estimated GF Value™ of ₹1,640.43.
GuruFocus considers Eris Lifesciences to be Modestly Undervalued.
Key valuation signals for BOM:540596:
Operating Margin %: 27.13% (13% below median its 10-year median of 31.31)
GF Value™: ₹1,640.43 vs. price of ₹1,459.80 (11% below fair value)
Industry Position: 264.2% above the Drug Manufacturers median (#78 of 955)
No single metric tells the full story. See the BOM:540596 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Eris Lifesciences Ltd is an India-based company engaged in the manufacturing and sale of branded pharmaceutical formulations. It focuses on Lifestyle therapies such as Diabetes Care, Cardiac Care, Nutrition, Central Nervous System, and others. The company operates in a single segment that is pharmaceuticals. Some of its brands include Glimisave, Cyblex, Eritel, Atorsave and Crevast. The company works basically within India and International with the majority of revenue from India.
87GF Score
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