Century CommunitiesCCS +10.24%69 Operating Margin % is 4.18% as of Mar. 2026, which is 47% below its 10-year median of 7.96. GuruFocus rates CCS with a GF Score™ of 69/100 and a GF Value™ of $72.08 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,745 Real Estate companies, Century Communities ranks worse than 67.28% on this metric.
Century Communities (NYSE:CCS) 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.
Century Communities Operating Margin % Related Terms
Century Communities Operating Margin % Historical Data
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The historical data trend for Century Communities'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.
CCS vs FOR, FPH, SKYH: Operating Margin % Comparison
For the Real Estate - Development subindustry, Century Communities'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.
Century Communities Operating Margin % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Century Communities's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Century Communities's Operating Margin % falls into.
Century Communities 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.
Century Communities'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.
Century Communities (CCS) has a Operating Margin % of 4.18% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Century Communities and its competitors. This is 47% below median its historical median of 7.96. Over the past decade, Century Communities' Operating Margin % has ranged from 4.64 to 15.64. According to the industry distribution chart, Century Communities ranks #1174 out of 1745 companies in the Real Estate industry, placing it in the top 67.3%.
Is Century Communities' Operating Margin % too high?
Century Communities' current Operating Margin % of 4.18% is 47% below median its 10-year median of 7.96. Over the past 10 years, this metric has ranged from a low of 4.64 to a high of 15.64. The Real Estate industry median Operating Margin % is 13.23. Century Communities' value of 4.18% is 68.4% below this industry median. Based on the distribution chart, Century Communities ranks #1174 out of 1745 companies in the Real Estate industry, which is below the industry midpoint. Overall, Century Communities has a GF Score™ of 69/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Century Communities' Operating Margin % compare to FOR and FPH?
According to the Real Estate industry distribution chart, Century Communities ranks #1174 out of 1745 companies for Operating Margin %. This places Century Communities in the lower half of its industry. The industry median Operating Margin % is 13.23. Century Communities' value of 4.18% is 68.4% below this benchmark. Historically, Century Communities' own Operating Margin % has ranged from 4.64 to 15.64 over the past decade. While the company's 10-year median is 7.96 vs. the industry median of 13.23, Century Communities 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 Real Estate company?
The median Operating Margin % among Real Estate companies is 13.23, based on 1,745 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. Century Communities's current Operating Margin % of 4.18% is 68.4% 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 Century Communities and its competitors. For the Real Estate industry, the median Operating Margin % is 13.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Century Communities's current Operating Margin % is 4.18%, which is 47% below median its own 10-year median of 7.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Century Communities stock overvalued right now?
Based on GuruFocus' analysis, Century Communities (CCS) is currently considered Fairly Valued. The stock's GF Value™ is $72.08, compared to a current price of $69.21 — trading 4% below its estimated fair value. The current Operating Margin % is 4.18%, which is 47% below median its 10-year median of 7.96 and 68.4% below the Real Estate industry median of 13.23. Century Communities' overall GF Score™ is 69/100 with 7 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 Century Communities (CCS), the current Operating Margin % is 4.18% 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 Century Communities (CCS) Overvalued in 2026?
Based on GuruFocus' analysis, Century Communities stock appears to be undervalued.
The current stock price of $69.21 is trading 4% below its estimated GF Value™ of $72.08.
GuruFocus considers Century Communities to be Fairly Valued.
Key valuation signals for CCS:
Operating Margin %: 4.18% (47% below median its 10-year median of 7.96)
GF Value™: $72.08 vs. price of $69.21 (4% below fair value)
Industry Position: 68.4% below the Real Estate median (#1174 of 1745)
No single metric tells the full story. See the CCS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Century Communities Inc is engaged in the development, design, construction, marketing and sale of single-family attached and detached homes. The company builds and sells homes under its Century Communities and Century Complete brands. Its reportable segments for homebuilding operations are: i) West (California and Washington) ii) Mountain (Arizona, Colorado, Nevada and Utah), iii) Texas, iv) Southeast (Florida, Georgia, North Carolina, South Carolina and Tennessee), v) Century Complete (Alabama, Arizona, Florida, Georgia, Indiana, Kentucky, Michigan, North Carolina, and South Carolina). The company's other reportable segments include: Financial Services and Century Living. The company derives the majority of its revenue from the sale of new homes in the Mountain segment.
69GF Score
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