Salam International Investment QSC (DSMD:SIIS) 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.
Salam International Investment QSC Operating Margin % Related Terms
Salam International Investment QSC Operating Margin % Historical Data
* 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.
Salam International Investment QSC Operating Margin % Chart
DSMD:SIIS vs HON, MMM: Operating Margin % Comparison
For the Conglomerates subindustry, Salam International Investment QSC'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.
Salam International Investment QSC Operating Margin % vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Salam International Investment QSC's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Salam International Investment QSC's Operating Margin % falls into.
Salam International Investment QSC 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.
* 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.
Salam International Investment QSC (DSMD:SIIS) has a Operating Margin % of 10.24% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Salam International Investment QSC and its competitors. This is 70% above median its historical median of 6.03. According to the industry distribution chart, Salam International Investment QSC ranks #192 out of 550 companies in the Conglomerates industry, placing it in the top 34.9%.
Is Salam International Investment QSC's Operating Margin % too high?
Salam International Investment QSC's current Operating Margin % of 10.24% is 70% above median its 10-year median of 6.03. The Conglomerates industry median Operating Margin % is 5.82. Salam International Investment QSC's value of 10.24% is 75.9% above this industry median. Based on the distribution chart, Salam International Investment QSC ranks #192 out of 550 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Salam International Investment QSC has a GF Score™ of 44/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Salam International Investment QSC's Operating Margin % compare to HON and MMM?
According to the Conglomerates industry distribution chart, Salam International Investment QSC ranks #192 out of 550 companies for Operating Margin %. This puts Salam International Investment QSC in the upper half of its industry. The industry median Operating Margin % is 5.82. Salam International Investment QSC's value of 10.24% is 75.9% above this benchmark. While the company's 10-year median is 6.03 vs. the industry median of 5.82, Salam International Investment QSC 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 Conglomerates company?
The median Operating Margin % among Conglomerates companies is 5.82, based on 550 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. Salam International Investment QSC's current Operating Margin % of 10.24% is 75.9% 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 Salam International Investment QSC and its competitors. For the Conglomerates industry, the median Operating Margin % is 5.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Salam International Investment QSC's current Operating Margin % is 10.24%, which is 70% above median its own 10-year median of 6.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Salam International Investment QSC stock overvalued right now?
Based on GuruFocus' analysis, Salam International Investment QSC (DSMD:SIIS) is currently considered Fairly Valued. The stock's GF Value™ is ر.ق0.82, compared to a current price of ر.ق0.78 — trading 4.5% below its estimated fair value. The current Operating Margin % is 10.24%, which is 70% above median its 10-year median of 6.03 and 75.9% above the Conglomerates industry median of 5.82. Salam International Investment QSC's overall GF Score™ is 44/100 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 Salam International Investment QSC (DSMD:SIIS), the current Operating Margin % is 10.24% 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 Salam International Investment QSC (DSMD:SIIS) Overvalued in 2026?
Based on GuruFocus' analysis, Salam International Investment QSC stock appears to be undervalued.
The current stock price of ر.ق0.78 is trading 4.5% below its estimated GF Value™ of ر.ق0.82.
GuruFocus considers Salam International Investment QSC to be Fairly Valued.
Key valuation signals for DSMD:SIIS:
Operating Margin %: 10.24% (70% above median its 10-year median of 6.03)
GF Value™: ر.ق0.82 vs. price of ر.ق0.78 (4.5% below fair value)
Industry Position: 75.9% above the Conglomerates median (#192 of 550)
No single metric tells the full story. See the DSMD:SIIS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Salam International Investment QSC Business Description
Salam International Investment Ltd QSC establishes, incorporates, acquires, and owns enterprises in the contracting, energy and industry, consumer and luxury products, technology, real estate, and development sectors, and invests in securities in local and overseas markets. Its segment includes Interior and fit-out provides Civil contracting, mechanical, plumbing and electrical contracting and related services; Power and energy provides Oil and gas services including trading in chemical materials and maintenance of oil equipment; Luxury retail and distribution provides Retail and wholesale of luxury consumer products; Technology provides Information technology and related infrastructure project; and Real estate and investments provides Real estate operation and investment.
44GF Score
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