C21 InvestmentsCXXIF +10.72%31 Operating Margin % is 6.55% as of Mar. 2026, which is 8% above its 10-year median of 6.09. GuruFocus rates CXXIF with a GF Score™ of 31/100 and a GF Value™ of $0.28 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 954 Drug Manufacturers companies, C21 Investments ranks worse than 51.57% 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.
C21 Investments Operating Margin % Related Terms
C21 Investments Operating Margin % Historical Data
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The historical data trend for C21 Investments'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.
For the Drug Manufacturers - Specialty & Generic subindustry, C21 Investments'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.
C21 Investments Operating Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, C21 Investments's Operating Margin % distribution charts can be found below:
* The bar in red indicates where C21 Investments'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.
C21 Investments's Operating Margin % for the fiscal year that ended in Mar. 2026 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.
C21 Investments (CXXIF) has a Operating Margin % of 6.55% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on C21 Investments and its competitors. This is near median its historical median of 6.09. According to the industry distribution chart, C21 Investments ranks #492 out of 954 companies in the Drug Manufacturers industry, placing it in the top 51.6%.
Is C21 Investments' Operating Margin % too high?
C21 Investments' current Operating Margin % of 6.55% is near median its 10-year median of 6.09. The Drug Manufacturers industry median Operating Margin % is 7.58. C21 Investments' value of 6.55% is 13.6% below this industry median. Based on the distribution chart, C21 Investments ranks #492 out of 954 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, C21 Investments has a GF Score™ of 31/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does C21 Investments' Operating Margin % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, C21 Investments ranks #492 out of 954 companies for Operating Margin %. This places C21 Investments in the lower half of its industry. The industry median Operating Margin % is 7.58. C21 Investments' value of 6.55% is 13.6% below this benchmark. While the company's 10-year median is 6.09 vs. the industry median of 7.58, C21 Investments 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 Drug Manufacturers company?
The median Operating Margin % among Drug Manufacturers companies is 7.58, based on 954 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. C21 Investments's current Operating Margin % of 6.55% is 13.6% 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 C21 Investments and its competitors. For the Drug Manufacturers industry, the median Operating Margin % is 7.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. C21 Investments's current Operating Margin % is 6.55%, which is near median its own 10-year median of 6.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is C21 Investments stock overvalued right now?
Based on GuruFocus' analysis, C21 Investments (CXXIF) is currently considered Modestly Undervalued. The stock's GF Value™ is $0.28, compared to a current price of $0.24 — trading 13% below its estimated fair value. The current Operating Margin % is 6.55%, which is near median its 10-year median of 6.09 and 13.6% below the Drug Manufacturers industry median of 7.58. C21 Investments' overall GF Score™ is 31/100 with 4 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 C21 Investments (CXXIF), the current Operating Margin % is 6.55% 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 C21 Investments (CXXIF) Overvalued in 2026?
Based on GuruFocus' analysis, C21 Investments stock appears to be undervalued.
The current stock price of $0.24 is trading 13% below its estimated GF Value™ of $0.28.
GuruFocus considers C21 Investments to be Modestly Undervalued.
Key valuation signals for CXXIF:
Operating Margin %: 6.55% (near median its 10-year median of 6.09)
GF Value™: $0.28 vs. price of $0.24 (13% below fair value)
Industry Position: 13.6% below the Drug Manufacturers median (#492 of 954)
No single metric tells the full story. See the CXXIF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
C21 Investments Inc is a vertically integrated cannabis company that cultivates, processes, distributes, and sells quality cannabis and hemp-derived consumer products in Nevada, U.S.A., and the United States. The Company is focused on value creation through the disciplined acquisition and integration of core retail, manufacturing, and distribution assets in strategic markets, leveraging industry retail revenues with high-growth potential and multi-market branded consumer packaged goods (CPG). The Company focuses on scalable opportunities in key markets through retail operational excellence, expanding its retail footprint through value-add acquisitions in existing markets, and branded CPG expansion through captive retail and wholesale channels.
31GF Score
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