Vitec Software Group ABCHIX:VITBS -14.05%82 Operating Margin % is 18.15% as of Mar. 2026, which is 4% above its 10-year median of 17.47. GuruFocus rates CHIX:VITBS with a GF Score™ of 82/100 and a GF Value™ of kr618.35 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 2,820 Software companies, Vitec Software Group AB ranks better than 87.59% on this metric.
Vitec Software Group AB (CHIX:VITBs) 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.
Vitec Software Group AB Operating Margin % Related Terms
Vitec Software Group AB Operating Margin % Historical Data
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The historical data trend for Vitec Software Group AB'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.
CHIX:VITBS vs CRM, SHOP, UBER: Operating Margin % Comparison
For the Software - Application subindustry, Vitec Software Group AB'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.
Vitec Software Group AB Operating Margin % vs Software Industry
For the Software industry and Technology sector, Vitec Software Group AB's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Vitec Software Group AB's Operating Margin % falls into.
Vitec Software Group AB 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.
Vitec Software Group AB'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.
Vitec Software Group AB (CHIX:VITBS) has a Operating Margin % of 18.15% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Vitec Software Group AB and its competitors. This is near median its historical median of 17.47. Over the past decade, Vitec Software Group AB's Operating Margin % has ranged from 12.22 to 21.25. According to the industry distribution chart, Vitec Software Group AB ranks #350 out of 2820 companies in the Software industry, placing it in the top 12.4%.
Is Vitec Software Group AB's Operating Margin % too high?
Vitec Software Group AB's current Operating Margin % of 18.15% is near median its 10-year median of 17.47. Over the past 10 years, this metric has ranged from a low of 12.22 to a high of 21.25. The Software industry median Operating Margin % is 3.87. Vitec Software Group AB's value of 18.15% is 369.6% above this industry median. Based on the distribution chart, Vitec Software Group AB ranks #350 out of 2820 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Vitec Software Group AB has a GF Score™ of 82/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Vitec Software Group AB's Operating Margin % compare to CRM and SHOP?
According to the Software industry distribution chart, Vitec Software Group AB ranks #350 out of 2820 companies for Operating Margin %. This places Vitec Software Group AB in the top 12% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.87. Vitec Software Group AB's value of 18.15% is 369.6% above this benchmark. Historically, Vitec Software Group AB's own Operating Margin % has ranged from 12.22 to 21.25 over the past decade. While the company's 10-year median is 17.47 vs. the industry median of 3.87, Vitec Software Group AB 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 Software company?
The median Operating Margin % among Software companies is 3.87, based on 2,820 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. Vitec Software Group AB's current Operating Margin % of 18.15% is 369.6% 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 Vitec Software Group AB and its competitors. For the Software industry, the median Operating Margin % is 3.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Vitec Software Group AB's current Operating Margin % is 18.15%, which is near median its own 10-year median of 17.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vitec Software Group AB stock overvalued right now?
Based on GuruFocus' analysis, Vitec Software Group AB (CHIX:VITBS) is currently considered Possible Value Trap. The stock's GF Value™ is kr618.35, compared to a current price of kr224.50 — trading 63.7% below its estimated fair value. The current Operating Margin % is 18.15%, which is near median its 10-year median of 17.47 and 369.6% above the Software industry median of 3.87. Vitec Software Group AB's overall GF Score™ is 82/100 with 5 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 Vitec Software Group AB (CHIX:VITBS), the current Operating Margin % is 18.15% 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 Vitec Software Group AB (CHIX:VITBS) Overvalued in 2026?
Based on GuruFocus' analysis, Vitec Software Group AB stock appears to be undervalued.
The current stock price of kr224.50 is trading 63.7% below its estimated GF Value™ of kr618.35.
GuruFocus considers Vitec Software Group AB to be Possible Value Trap.
Key valuation signals for CHIX:VITBS:
Operating Margin %: 18.15% (near median its 10-year median of 17.47)
GF Value™: kr618.35 vs. price of kr224.50 (63.7% below fair value)
Industry Position: 369.6% above the Software median (#350 of 2820)
No single metric tells the full story. See the CHIX:VITBS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Vitec Software Group AB is a software company in Vertical Market Software in the Nordic region. The company provides software for the pharmacy market, automotive and machine industry, banks and insurance companies, healthcare companies, real estate agents, and the education sector. Its segments comprise Auto, Energy, Real Estate, Finance and insurance, Environment, Estate Agents, and Education and health.
82GF Score
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