Cadre HoldingsCDRE -0.12%79 Operating Margin % is 6.00% as of Mar. 2026, which is 51% below its 10-year median of 12.30. GuruFocus rates CDRE with a GF Score™ of 79/100 and a GF Value™ of $38.20 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 347 Aerospace & Defense companies, Cadre Holdings ranks better than 65.42% on this metric.
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.
Cadre Holdings Operating Margin % Related Terms
Cadre Holdings Operating Margin % Historical Data
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The historical data trend for Cadre Holdings'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.
CDRE vs SATL, EVEX, NPK: Operating Margin % Comparison
For the Aerospace & Defense subindustry, Cadre Holdings'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.
Cadre Holdings Operating Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Cadre Holdings's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Cadre Holdings'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.
Cadre Holdings'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.
Cadre Holdings (CDRE) has a Operating Margin % of 6.00% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Cadre Holdings and its competitors. This is 51% below median its historical median of 12.30. Over the past decade, Cadre Holdings' Operating Margin % has ranged from 4.60 to 13.75. According to the industry distribution chart, Cadre Holdings ranks #120 out of 347 companies in the Aerospace & Defense industry, placing it in the top 34.6%.
Is Cadre Holdings' Operating Margin % too high?
Cadre Holdings' current Operating Margin % of 6.00% is 51% below median its 10-year median of 12.30. Over the past 10 years, this metric has ranged from a low of 4.60 to a high of 13.75. The Aerospace & Defense industry median Operating Margin % is 7.75. Cadre Holdings' value of 6.00% is 22.6% below this industry median. Based on the distribution chart, Cadre Holdings ranks #120 out of 347 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Cadre Holdings has a GF Score™ of 79/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cadre Holdings' Operating Margin % compare to SATL and EVEX?
According to the Aerospace & Defense industry distribution chart, Cadre Holdings ranks #120 out of 347 companies for Operating Margin %. This puts Cadre Holdings in the upper half of its industry. The industry median Operating Margin % is 7.75. Cadre Holdings' value of 6.00% is 22.6% below this benchmark. Historically, Cadre Holdings' own Operating Margin % has ranged from 4.60 to 13.75 over the past decade. While the company's 10-year median is 12.30 vs. the industry median of 7.75, Cadre Holdings 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 an Aerospace & Defense company?
The median Operating Margin % among Aerospace & Defense companies is 7.75, based on 347 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. Cadre Holdings's current Operating Margin % of 6.00% is 22.6% 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 Cadre Holdings and its competitors. For the Aerospace & Defense industry, the median Operating Margin % is 7.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cadre Holdings's current Operating Margin % is 6.00%, which is 51% below median its own 10-year median of 12.30. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cadre Holdings stock overvalued right now?
Based on GuruFocus' analysis, Cadre Holdings (CDRE) is currently considered Modestly Undervalued. The stock's GF Value™ is $38.20, compared to a current price of $28.72 — trading 24.8% below its estimated fair value. The current Operating Margin % is 6.00%, which is 51% below median its 10-year median of 12.30 and 22.6% below the Aerospace & Defense industry median of 7.75. Cadre Holdings' overall GF Score™ is 79/100 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 Cadre Holdings (CDRE), the current Operating Margin % is 6.00% 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 Cadre Holdings (CDRE) Overvalued in 2026?
Based on GuruFocus' analysis, Cadre Holdings stock appears to be undervalued.
The current stock price of $28.72 is trading 24.8% below its estimated GF Value™ of $38.20.
GuruFocus considers Cadre Holdings to be Modestly Undervalued.
Key valuation signals for CDRE:
Operating Margin %: 6.00% (51% below median its 10-year median of 12.30)
GF Value™: $38.20 vs. price of $28.72 (24.8% below fair value)
Industry Position: 22.6% below the Aerospace & Defense median (#120 of 347)
No single metric tells the full story. See the CDRE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cadre Holdings Inc is engaged in the design and manufacture of a diversified product portfolio of critical safety and survivability equipment to protect first responders, federal agencies, outdoor recreation, and personal protection markets. The company's equipment provides critical protection to allow its users to safely and securely perform their duties and protect those around them in hazardous or life-threatening situations. Its operations are comprised of two reportable segments - the Product segment, which is comprised of components that manufacture and sell products, and the Distribution segment, which is comprised of business that serves as a one-stop shop for law enforcement agencies that sells goods produced by the Product segment, as well as other third-party products.
79GF Score
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