Safa Systems & TechnologiesBOM:543461 -4.50%68 Operating Margin % is 0.89% as of Mar. 2026, which is 6% above its 10-year median of 0.84. GuruFocus rates BOM:543461 with a GF Score™ of 68/100 and a GF Value™ of ₹13.25 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 2,476 Hardware companies, Safa Systems & Technologies ranks worse than 65.47% on this metric.
Safa Systems & Technologies (BOM:543461) 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.
Safa Systems & Technologies Operating Margin % Related Terms
Safa Systems & Technologies 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.
Safa Systems & Technologies Operating Margin % Chart
For the Consumer Electronics subindustry, Safa Systems & Technologies'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.
Safa Systems & Technologies Operating Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Safa Systems & Technologies's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Safa Systems & Technologies's Operating Margin % falls into.
Safa Systems & Technologies 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.
Safa Systems & Technologies'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.
Safa Systems & Technologies (BOM:543461) has a Operating Margin % of 0.89% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Safa Systems & Technologies and its competitors. This is near median its historical median of 0.84. Over the past decade, Safa Systems & Technologies' Operating Margin % has ranged from 0.14 to 1.36. According to the industry distribution chart, Safa Systems & Technologies ranks #1621 out of 2476 companies in the Hardware industry, placing it in the top 65.5%.
Is Safa Systems & Technologies' Operating Margin % too high?
Safa Systems & Technologies' current Operating Margin % of 0.89% is near median its 10-year median of 0.84. Over the past 10 years, this metric has ranged from a low of 0.14 to a high of 1.36. The Hardware industry median Operating Margin % is 3.81. Safa Systems & Technologies' value of 0.89% is 76.6% below this industry median. Based on the distribution chart, Safa Systems & Technologies ranks #1621 out of 2476 companies in the Hardware industry, which is below the industry midpoint. Overall, Safa Systems & Technologies has a GF Score™ of 68/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Safa Systems & Technologies' Operating Margin % compare to AAPL?
According to the Hardware industry distribution chart, Safa Systems & Technologies ranks #1621 out of 2476 companies for Operating Margin %. This places Safa Systems & Technologies in the lower half of its industry. The industry median Operating Margin % is 3.81. Safa Systems & Technologies' value of 0.89% is 76.6% below this benchmark. Historically, Safa Systems & Technologies' own Operating Margin % has ranged from 0.14 to 1.36 over the past decade. While the company's 10-year median is 0.84 vs. the industry median of 3.81, Safa Systems & Technologies 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 Hardware company?
The median Operating Margin % among Hardware companies is 3.81, based on 2,476 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. Safa Systems & Technologies's current Operating Margin % of 0.89% is 76.6% 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 Safa Systems & Technologies and its competitors. For the Hardware industry, the median Operating Margin % is 3.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Safa Systems & Technologies's current Operating Margin % is 0.89%, which is near median its own 10-year median of 0.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Safa Systems & Technologies stock overvalued right now?
Based on GuruFocus' analysis, Safa Systems & Technologies (BOM:543461) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹13.25, compared to a current price of ₹19.10 — trading 44.2% above its estimated fair value. The current Operating Margin % is 0.89%, which is near median its 10-year median of 0.84 and 76.6% below the Hardware industry median of 3.81. Safa Systems & Technologies' overall GF Score™ is 68/100 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 Safa Systems & Technologies (BOM:543461), the current Operating Margin % is 0.89% 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 Safa Systems & Technologies (BOM:543461) Overvalued in 2026?
Based on GuruFocus' analysis, Safa Systems & Technologies stock appears to be overvalued.
The current stock price of ₹19.10 is trading 44.2% above its estimated GF Value™ of ₹13.25.
GuruFocus considers Safa Systems & Technologies to be Significantly Overvalued.
Key valuation signals for BOM:543461:
Operating Margin %: 0.89% (near median its 10-year median of 0.84)
GF Value™: ₹13.25 vs. price of ₹19.10 (44.2% above fair value)
Industry Position: 76.6% below the Hardware median (#1621 of 2476)
No single metric tells the full story. See the BOM:543461 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Safa Systems & Technologies Ltd is engaged in the business of distributorship of consumer durable products like Mobile phones, electronic gadgets, Mobile phone accessories, Tablets, LED TVs, Home appliances and wearable devices of various brands like Xiaomi, OPPO, TECNO, motorola, Micromax, One Plus and others.
68GF Score
Get the complete analysis for BOM:543461
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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