Lojas RennerBSP:LREN3 +0.14%92 Operating Margin % is 20.85% as of Mar. 2026, which is 5% below its 10-year median of 21.86. GuruFocus rates BSP:LREN3 with a GF Score™ of 92/100 and a GF Value™ of R$17.25 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 1,128 Retail - Cyclical companies, Lojas Renner ranks better than 96.28% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Lojas Renner's Operating Income for the
three
months ended in Mar. 2026 was R$702 Mil. Lojas Renner's Revenue for the
three
months ended in Mar. 2026 was R$3,366 Mil. Therefore, Lojas Renner's Operating Margin % for the quarter that ended in Mar. 2026 was 20.85%.
Good Sign:
Lojas Renner SA operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Lojas Renner's Operating Margin % or its related term are showing as below:
BSP:LREN3'
s Operating Margin % Range Over the Past 10 Years
Min: 14.82 Med: 21.86 Max: 25
Current: 22.41
BSP:LREN3's Operating Margin % is ranked better than 96.28% of 1128
companies
in the Retail - Cyclical industry
Industry Median: 3.905
vs BSP:LREN3: 22.41
Lojas Renner's 5-Year Average Operating Margin % Growth Rate was 2.70% per year.
Lojas Renner's Operating Income for the
three
months ended in Mar. 2026 was R$702 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was R$3,571 Mil.
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.
Lojas Renner Operating Margin % Related Terms
Lojas Renner Operating Margin % Historical Data
* Premium members only.
The historical data trend for Lojas Renner'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.
BSP:LREN3 vs DDS, M: Operating Margin % Comparison
For the Department Stores subindustry, Lojas Renner'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.
Lojas Renner Operating Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Lojas Renner's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Lojas Renner'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.
Lojas Renner's Operating Margin % for the fiscal year that ended in Dec. 2025 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.
Lojas Renner (BSP:LREN3) has a Operating Margin % of 20.85% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Lojas Renner and its competitors. This is near median its historical median of 21.86. Over the past decade, Lojas Renner's Operating Margin % has ranged from 14.82 to 25.00. According to the industry distribution chart, Lojas Renner ranks #42 out of 1128 companies in the Retail - Cyclical industry, placing it in the top 3.7%.
Is Lojas Renner's Operating Margin % too high?
Lojas Renner's current Operating Margin % of 20.85% is near median its 10-year median of 21.86. Over the past 10 years, this metric has ranged from a low of 14.82 to a high of 25.00. The Retail - Cyclical industry median Operating Margin % is 3.91. Lojas Renner's value of 20.85% is 433.9% above this industry median. Based on the distribution chart, Lojas Renner ranks #42 out of 1128 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Lojas Renner has a GF Score™ of 92/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lojas Renner's Operating Margin % compare to DDS and M?
According to the Retail - Cyclical industry distribution chart, Lojas Renner ranks #42 out of 1128 companies for Operating Margin %. This places Lojas Renner in the top 4% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.91. Lojas Renner's value of 20.85% is 433.9% above this benchmark. Historically, Lojas Renner's own Operating Margin % has ranged from 14.82 to 25.00 over the past decade. While the company's 10-year median is 21.86 vs. the industry median of 3.91, Lojas Renner 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 - Cyclical company?
The median Operating Margin % among Retail - Cyclical companies is 3.91, based on 1,128 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. Lojas Renner's current Operating Margin % of 20.85% is 433.9% 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 Lojas Renner and its competitors. For the Retail - Cyclical industry, the median Operating Margin % is 3.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lojas Renner's current Operating Margin % is 20.85%, which is near median its own 10-year median of 21.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lojas Renner stock overvalued right now?
Based on GuruFocus' analysis, Lojas Renner (BSP:LREN3) is currently considered Modestly Undervalued. The stock's GF Value™ is R$17.25, compared to a current price of R$14.52 — trading 15.8% below its estimated fair value. The current Operating Margin % is 20.85%, which is near median its 10-year median of 21.86 and 433.9% above the Retail - Cyclical industry median of 3.91. Lojas Renner's overall GF Score™ is 92/100 with 1 warning sign 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 Lojas Renner (BSP:LREN3), the current Operating Margin % is 20.85% 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 Lojas Renner (BSP:LREN3) Overvalued in 2026?
Based on GuruFocus' analysis, Lojas Renner stock appears to be undervalued.
The current stock price of R$14.52 is trading 15.8% below its estimated GF Value™ of R$17.25.
GuruFocus considers Lojas Renner to be Modestly Undervalued.
Key valuation signals for BSP:LREN3:
Operating Margin %: 20.85% (near median its 10-year median of 21.86)
GF Value™: R$17.25 vs. price of R$14.52 (15.8% below fair value)
Industry Position: 433.9% above the Retail - Cyclical median (#42 of 1128)
No single metric tells the full story. See the BSP:LREN3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lojas Renner SA is an omnichannel fashion retailer in Brazil, bringing together the Renner, Camicado, Youcom, Realize, and Repassa brands in a fashion and lifestyle ecosystem that connects customers through digital channels and physical stores distributed across Brazil, Argentina, and Uruguay. It operates in two segments namely Retail engaged in trade of clothing, perfumery, cosmetics, watches and home & decoration, urban deliveries and logistics management solutions covering the operations of Renner, Camicado, Youcom, Repassa, Uello and operations in Uruguay and Argentina; and Financial products engaged in granting of individual and corporate loans, financing of purchases, insurance and the practice of receivables and payables inherent to credit, financing and investment companies.
92GF Score
Get the complete analysis for BSP:LREN3
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BSP:LREN3 has been successfully added to your 
