Renova Energia (BSP:RNEW4) Operating Margin %: -12.34% (As of Mar. 2026)


BSP:RNEW4 Renova Energia SA BSP:RNEW4
51 GF Score
Price R$0.91
GF Value R$1.23
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Renova Energia Operating Margin %?

Renova Energia BSP:RNEW4 +2.25% 51 Operating Margin % is -12.34% as of Mar. 2026. GuruFocus rates BSP:RNEW4 with a GF Score™ of 51/100 and a GF Value™ of R$1.23 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 417 Utilities - Independent Power Producers companies, Renova Energia ranks worse than 84.17% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Renova Energia's Operating Income for the three months ended in Mar. 2026 was R$-14.0 Mil. Renova Energia's Revenue for the three months ended in Mar. 2026 was R$113.8 Mil. Therefore, Renova Energia's Operating Margin % for the quarter that ended in Mar. 2026 was -12.34%.

The historical rank and industry rank for Renova Energia's Operating Margin % or its related term are showing as below:

BSP:RNEW4' s Operating Margin % Range Over the Past 10 Years
Min: -118.93   Med: -27.94   Max: 50.05
Current: -18.56


BSP:RNEW4's Operating Margin % is ranked worse than
84.17% of 417 companies
in the Utilities - Independent Power Producers industry
Industry Median: 13.27 vs BSP:RNEW4: -18.56

Renova Energia's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Renova Energia's Operating Income for the three months ended in Mar. 2026 was R$-14.0 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was R$-101.1 Mil.


Renova Energia  (BSP:RNEW4) 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 Nokia’s 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.


Renova Energia Operating Margin % Related Terms


Renova Energia Operating Margin % Historical Data

* Premium members only.

The historical data trend for Renova Energia'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.

Renova Energia Operating Margin % Chart

Renova Energia Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -99.17 -11.15 50.05 -37.34 -18.54

Renova Energia Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -10.01 -37.46 -13.12 -8.75 -12.34

Renova Energia Operating Margin % Competitor Comparison

For the Utilities - Renewable subindustry, Renova Energia'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.


Renova Energia Operating Margin % vs Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, Renova Energia's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Renova Energia's Operating Margin % falls into.


BSP:RNEW4
51GF Score
Renova Energia SA BSP:RNEW4
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Renova Energia 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.

Renova Energia's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=-95.498 / 514.958
=-18.54 %

Renova Energia's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=-14.043 / 113.792
=-12.34 %

* 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.

Frequently Asked Questions Learn more about Operating Margin % →
What does a Operating Margin % of -12.34% mean?
Renova Energia (BSP:RNEW4) has a Operating Margin % of -12.34% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Renova Energia and its competitors. According to the industry distribution chart, Renova Energia ranks #351 out of 417 companies in the Utilities - Independent Power Producers industry, placing it in the top 84.2%.
Is Renova Energia's Operating Margin % too high?
Renova Energia's current Operating Margin % is -12.34%. Based on the distribution chart, Renova Energia ranks #351 out of 417 companies in the Utilities - Independent Power Producers industry, which is in the bottom quartile relative to peers. Overall, Renova Energia has a GF Score™ of 51/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Renova Energia's Operating Margin % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Renova Energia ranks #351 out of 417 companies for Operating Margin %. This places Renova Energia in the lower half of its industry. The industry median Operating Margin % is 13.27. 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 Utilities - Independent Power Producers company?
The median Operating Margin % among Utilities - Independent Power Producers companies is 13.27, based on 417 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. 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 Renova Energia and its competitors. For the Utilities - Independent Power Producers industry, the median Operating Margin % is 13.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Renova Energia's current Operating Margin % is -12.34%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Renova Energia stock overvalued right now?
Based on GuruFocus' analysis, Renova Energia (BSP:RNEW4) is currently considered Modestly Undervalued. The stock's GF Value™ is R$1.23, compared to a current price of R$0.91 — trading 26% below its estimated fair value. The current Operating Margin % is -12.34%. Renova Energia's overall GF Score™ is 51/100 with 3 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 Renova Energia (BSP:RNEW4), the current Operating Margin % is -12.34% 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 Renova Energia (BSP:RNEW4) Overvalued in 2026?

Based on GuruFocus' analysis, Renova Energia stock appears to be undervalued. The current stock price of R$0.91 is trading 26% below its estimated GF Value™ of R$1.23. GuruFocus considers Renova Energia to be Modestly Undervalued.

Key valuation signals for BSP:RNEW4:

  • Operating Margin %: -12.34%
  • GF Value™: R$1.23 vs. price of R$0.91 (26% below fair value)
  • GF Score™: 51/100 with 3 warning signs

No single metric tells the full story. See the BSP:RNEW4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Renova Energia Business Description

Other Exchanges RNEW3:Brazil
Address Avenue Das Nacoes Unidas, No. 10,989, 8th floor set 82, Brooklin Paulista, Sao Paulo, SP, BRA
Renova Energia SA is a Brazilian energy company engaged in the development, implementation, and operation of power generation projects from renewable sources - wind and solar, and trading of energy and related activities. The company is generating and trading electric power in all its forms, producing fuel from natural and renewable sources, providing logistics services to environmental advisory firms, and providing advisory services for energy solutions related to the generation, trading, transmission, and other businesses. The company has operating segments, namely: Wind, Solar, Trading, and Administrative. It derives maximum revenue from the Trading segment, which is engaged in energy trading in all its forms and management of the Company's energy purchase and sale contracts.
51GF Score

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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

R$0.91
Price
R$1.23
GF Value