IIFL Capital ServicesBOM:542773 +0.37%81 Operating Margin % is 16.85% as of Mar. 2026, which is 33% below its 10-year median of 25.13. GuruFocus rates BOM:542773 with a GF Score™ of 81/100 and a GF Value™ of ₹234.31 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 667 Capital Markets companies, IIFL Capital Services ranks better than 57.72% on this metric.
IIFL Capital Services Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -3.3%.
The historical rank and industry rank for IIFL Capital Services's Operating Margin % or its related term are showing as below:
BOM:542773'
s Operating Margin % Range Over the Past 10 Years
Min: 17.12 Med: 25.13 Max: 35.56
Current: 17.42
BOM:542773's Operating Margin % is ranked better than 57.72% of 667
companies
in the Capital Markets industry
Industry Median: 7.13
vs BOM:542773: 17.42
IIFL Capital Services's 5-Year Average Operating Margin % Growth Rate was -3.30% per year.
IIFL Capital Services (BOM:542773) 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.
IIFL Capital Services Operating Margin % Related Terms
IIFL Capital Services Operating Margin % Historical Data
* Premium members only.
The historical data trend for IIFL Capital Services'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:542773 vs MS, GS, SCHW: Operating Margin % Comparison
For the Capital Markets subindustry, IIFL Capital Services'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.
IIFL Capital Services Operating Margin % vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, IIFL Capital Services's Operating Margin % distribution charts can be found below:
* The bar in red indicates where IIFL Capital Services's Operating Margin % falls into.
IIFL Capital Services 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.
IIFL Capital Services'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.
IIFL Capital Services (BOM:542773) has a Operating Margin % of 16.85% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on IIFL Capital Services and its competitors. This is 33% below median its historical median of 25.13. Over the past decade, IIFL Capital Services' Operating Margin % has ranged from 17.12 to 35.56. According to the industry distribution chart, IIFL Capital Services ranks #282 out of 667 companies in the Capital Markets industry, placing it in the top 42.3%.
Is IIFL Capital Services' Operating Margin % too high?
IIFL Capital Services' current Operating Margin % of 16.85% is 33% below median its 10-year median of 25.13. Over the past 10 years, this metric has ranged from a low of 17.12 to a high of 35.56. The Capital Markets industry median Operating Margin % is 7.13. IIFL Capital Services' value of 16.85% is 136.3% above this industry median. Based on the distribution chart, IIFL Capital Services ranks #282 out of 667 companies in the Capital Markets industry, which is above the industry midpoint. Overall, IIFL Capital Services has a GF Score™ of 81/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does IIFL Capital Services' Operating Margin % compare to MS and GS?
According to the Capital Markets industry distribution chart, IIFL Capital Services ranks #282 out of 667 companies for Operating Margin %. This puts IIFL Capital Services in the upper half of its industry. The industry median Operating Margin % is 7.13. IIFL Capital Services' value of 16.85% is 136.3% above this benchmark. Historically, IIFL Capital Services' own Operating Margin % has ranged from 17.12 to 35.56 over the past decade. While the company's 10-year median is 25.13 vs. the industry median of 7.13, IIFL Capital Services 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 Capital Markets company?
The median Operating Margin % among Capital Markets companies is 7.13, based on 667 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. IIFL Capital Services's current Operating Margin % of 16.85% is 136.3% 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 IIFL Capital Services and its competitors. For the Capital Markets industry, the median Operating Margin % is 7.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. IIFL Capital Services's current Operating Margin % is 16.85%, which is 33% below median its own 10-year median of 25.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is IIFL Capital Services stock overvalued right now?
Based on GuruFocus' analysis, IIFL Capital Services (BOM:542773) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹234.31, compared to a current price of ₹339.20 — trading 44.8% above its estimated fair value. The current Operating Margin % is 16.85%, which is 33% below median its 10-year median of 25.13 and 136.3% above the Capital Markets industry median of 7.13. IIFL Capital Services' overall GF Score™ is 81/100 with 9 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 IIFL Capital Services (BOM:542773), the current Operating Margin % is 16.85% 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 IIFL Capital Services (BOM:542773) Overvalued in 2026?
Based on GuruFocus' analysis, IIFL Capital Services stock appears to be overvalued.
The current stock price of ₹339.20 is trading 44.8% above its estimated GF Value™ of ₹234.31.
GuruFocus considers IIFL Capital Services to be Significantly Overvalued.
Key valuation signals for BOM:542773:
Operating Margin %: 16.85% (33% below median its 10-year median of 25.13)
GF Value™: ₹234.31 vs. price of ₹339.20 (44.8% above fair value)
Industry Position: 136.3% above the Capital Markets median (#282 of 667)
No single metric tells the full story. See the BOM:542773 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
IIFL Capital Services Ltd is engaged in retail broking and financial product distribution. It operates as an independent full-service retail and institutional broking firm in India and provides a range of investment advisory and financial services. Its clients include corporates, institutional investors, foreign portfolio investors, mutual funds, insurance companies, alternative investment funds, trusts, high-net-worth individuals, and retail investors. The company's retail brokerage and financial services include financial planning, equity, commodities and currency broking, depository participant services, portfolio advisory, and other investment products. Its institutional equities business provides broking, research, and corporate access services to institutional clients.
81GF Score
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