Cochin ShipyardBOM:540678 -1.92%90 Operating Margin % is 18.71% as of Mar. 2026, which is 1% below its 10-year median of 18.84. GuruFocus rates BOM:540678 with a GF Score™ of 90/100 and a GF Value™ of ₹1,693.90 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 347 Aerospace & Defense companies, Cochin Shipyard ranks better than 74.06% on this metric.
Cochin Shipyard Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -9.2%.
The historical rank and industry rank for Cochin Shipyard's Operating Margin % or its related term are showing as below:
BOM:540678'
s Operating Margin % Range Over the Past 10 Years
Min: 11.54 Med: 18.84 Max: 25.94
Current: 13.57
BOM:540678's Operating Margin % is ranked better than 74.06% of 347
companies
in the Aerospace & Defense industry
Industry Median: 7.75
vs BOM:540678: 13.57
Cochin Shipyard's 5-Year Average Operating Margin % Growth Rate was -9.20% 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.
Cochin Shipyard Operating Margin % Related Terms
Cochin Shipyard Operating Margin % Historical Data
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The historical data trend for Cochin Shipyard'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:540678 vs GE, RTX, BA: Operating Margin % Comparison
For the Aerospace & Defense subindustry, Cochin Shipyard'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.
Cochin Shipyard Operating Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Cochin Shipyard's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Cochin Shipyard'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.
Cochin Shipyard'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.
Cochin Shipyard (BOM:540678) has a Operating Margin % of 18.71% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Cochin Shipyard and its competitors. This is near median its historical median of 18.84. Over the past decade, Cochin Shipyard's Operating Margin % has ranged from 11.54 to 25.94. According to the industry distribution chart, Cochin Shipyard ranks #90 out of 347 companies in the Aerospace & Defense industry, placing it in the top 25.9%.
Is Cochin Shipyard's Operating Margin % too high?
Cochin Shipyard's current Operating Margin % of 18.71% is near median its 10-year median of 18.84. Over the past 10 years, this metric has ranged from a low of 11.54 to a high of 25.94. The Aerospace & Defense industry median Operating Margin % is 7.75. Cochin Shipyard's value of 18.71% is 141.4% above this industry median. Based on the distribution chart, Cochin Shipyard ranks #90 out of 347 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Cochin Shipyard has a GF Score™ of 90/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cochin Shipyard's Operating Margin % compare to GE and RTX?
According to the Aerospace & Defense industry distribution chart, Cochin Shipyard ranks #90 out of 347 companies for Operating Margin %. This puts Cochin Shipyard in the upper half of its industry. The industry median Operating Margin % is 7.75. Cochin Shipyard's value of 18.71% is 141.4% above this benchmark. Historically, Cochin Shipyard's own Operating Margin % has ranged from 11.54 to 25.94 over the past decade. While the company's 10-year median is 18.84 vs. the industry median of 7.75, Cochin Shipyard 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 an Aerospace & Defense company?
The median Operating Margin % among Aerospace & Defense companies is 7.75, based on 347 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. Cochin Shipyard's current Operating Margin % of 18.71% is 141.4% 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 Cochin Shipyard and its competitors. For the Aerospace & Defense industry, the median Operating Margin % is 7.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cochin Shipyard's current Operating Margin % is 18.71%, which is near median its own 10-year median of 18.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cochin Shipyard stock overvalued right now?
Based on GuruFocus' analysis, Cochin Shipyard (BOM:540678) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹1,693.90, compared to a current price of ₹1,458.20 — trading 13.9% below its estimated fair value. The current Operating Margin % is 18.71%, which is near median its 10-year median of 18.84 and 141.4% above the Aerospace & Defense industry median of 7.75. Cochin Shipyard's overall GF Score™ is 90/100 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 Cochin Shipyard (BOM:540678), the current Operating Margin % is 18.71% 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 Cochin Shipyard (BOM:540678) Overvalued in 2026?
Based on GuruFocus' analysis, Cochin Shipyard stock appears to be undervalued.
The current stock price of ₹1,458.20 is trading 13.9% below its estimated GF Value™ of ₹1,693.90.
GuruFocus considers Cochin Shipyard to be Modestly Undervalued.
Key valuation signals for BOM:540678:
Operating Margin %: 18.71% (near median its 10-year median of 18.84)
GF Value™: ₹1,693.90 vs. price of ₹1,458.20 (13.9% below fair value)
Industry Position: 141.4% above the Aerospace & Defense median (#90 of 347)
No single metric tells the full story. See the BOM:540678 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cochin Shipyard Ltd is an Indian-based company engaged in the business activities of Shipbuilding and Ship repair. The company has two operating segments, namely, Shipbuilding and Repair of Ships/Offshore Structures. It generates maximum revenue from the Shipbuilding segment. The Shipbuilding segment offers products such as Oil Tankers, Bulk Carriers, Electric Passenger Ferries, Pax Vessels, Tugs, Aircraft Carriers, Pollution Control Vessels, and many more. The Ship repair segment includes maintenance and repair of all types of vessels including Tankers, Bulk Carriers, Aircraft Carriers, Defense Vessels, and all kinds of Commercial and Specialized vessels.
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