DanaosDAC -1.56%81 Operating Margin % is 49.35% as of Mar. 2026, which is 6% above its 10-year median of 46.41. GuruFocus rates DAC with a GF Score™ of 81/100 and a GF Value™ of $92.04 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 1,007 Transportation companies, Danaos ranks better than 97.82% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Danaos's Operating Income for the
three
months ended in Mar. 2026 was $125 Mil. Danaos's Revenue for the
three
months ended in Mar. 2026 was $254 Mil. Therefore, Danaos's Operating Margin % for the quarter that ended in Mar. 2026 was 49.35%.
Good Sign:
Danaos Corp operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Danaos's Operating Margin % or its related term are showing as below:
DAC'
s Operating Margin % Range Over the Past 10 Years
Min: 41.51 Med: 46.41 Max: 62.03
Current: 48.3
DAC's Operating Margin % is ranked better than 97.82% of 1007
companies
in the Transportation industry
Industry Median: 7.37
vs DAC: 48.30
Danaos's 5-Year Average Operating Margin % Growth Rate was 1.40% per year.
Danaos's Operating Income for the
three
months ended in Mar. 2026 was $125 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was $504 Mil.
Danaos (NYSE:DAC) 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.
Danaos Operating Margin % Related Terms
Danaos Operating Margin % Historical Data
* Premium members only.
The historical data trend for Danaos'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.
DAC vs NMM, CMRE, ZIM: Operating Margin % Comparison
For the Marine Shipping subindustry, Danaos'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.
Danaos Operating Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, Danaos's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Danaos'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.
Danaos'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.
Danaos (DAC) has a Operating Margin % of 49.35% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Danaos and its competitors. This is near median its historical median of 46.41. Over the past decade, Danaos' Operating Margin % has ranged from 41.51 to 62.03. According to the industry distribution chart, Danaos ranks #22 out of 1007 companies in the Transportation industry, placing it in the top 2.2%.
Is Danaos' Operating Margin % too high?
Danaos' current Operating Margin % of 49.35% is near median its 10-year median of 46.41. Over the past 10 years, this metric has ranged from a low of 41.51 to a high of 62.03. The Transportation industry median Operating Margin % is 7.37. Danaos' value of 49.35% is 569.6% above this industry median. Based on the distribution chart, Danaos ranks #22 out of 1007 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, Danaos has a GF Score™ of 81/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Danaos' Operating Margin % compare to NMM and CMRE?
According to the Transportation industry distribution chart, Danaos ranks #22 out of 1007 companies for Operating Margin %. This places Danaos in the top 2% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 7.37. Danaos' value of 49.35% is 569.6% above this benchmark. Historically, Danaos' own Operating Margin % has ranged from 41.51 to 62.03 over the past decade. While the company's 10-year median is 46.41 vs. the industry median of 7.37, Danaos 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 Transportation company?
The median Operating Margin % among Transportation companies is 7.37, based on 1,007 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. Danaos's current Operating Margin % of 49.35% is 569.6% 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 Danaos and its competitors. For the Transportation industry, the median Operating Margin % is 7.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Danaos's current Operating Margin % is 49.35%, which is near median its own 10-year median of 46.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Danaos stock overvalued right now?
Based on GuruFocus' analysis, Danaos (DAC) is currently considered Significantly Overvalued. The stock's GF Value™ is $92.04, compared to a current price of $125.51 — trading 36.4% above its estimated fair value. The current Operating Margin % is 49.35%, which is near median its 10-year median of 46.41 and 569.6% above the Transportation industry median of 7.37. Danaos' overall GF Score™ is 81/100 with 9 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 Danaos (DAC), the current Operating Margin % is 49.35% 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 Danaos (DAC) Overvalued in 2026?
Based on GuruFocus' analysis, Danaos stock appears to be overvalued.
The current stock price of $125.51 is trading 36.4% above its estimated GF Value™ of $92.04.
GuruFocus considers Danaos to be Significantly Overvalued.
Key valuation signals for DAC:
Operating Margin %: 49.35% (near median its 10-year median of 46.41)
GF Value™: $92.04 vs. price of $125.51 (36.4% above fair value)
Industry Position: 569.6% above the Transportation median (#22 of 1007)
No single metric tells the full story. See the DAC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Danaos Corp is an international owner of containerships. It provides international seaborne transportation services by operating vessels in the containership sector of the shipping industry. The company's customers include HMM, MSC, Yang Ming, Hapag Lloyd, ZIM, Maersk, COSCO, OOCL, ONE, PIL, Sealead, Niledutch, Samudera, OSC, and Arkas. Geographically, the company operates in Australia, Asia, Europe, and America, with maximum revenue from the Australia-Asia region. It has two reporting segments: Container vessels and Drybulk vessels segment. It generates the majority of its revenue from Container vessels.
81GF Score
Get the complete analysis for DAC
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
DAC has been successfully added to your 
