Derwent LondonDWVYF 73 Operating Margin % is 29.88% as of Dec. 2025, which is 53% below its 10-year median of 63.18. GuruFocus rates DWVYF with a GF Score™ of 73/100 and a GF Value™ of $31.48 (Modestly Undervalued). The stock has 9 warning signs investors should review. Among 750 REITs companies, Derwent London ranks worse than 64.67% on this metric.
Derwent London (OTCPK:DWVYF) 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.
Derwent London Operating Margin % Related Terms
Derwent London Operating Margin % Historical Data
* Premium members only.
The historical data trend for Derwent London'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.
DWVYF vs BXP, ARE, VNO: Operating Margin % Comparison
For the REIT - Office subindustry, Derwent London'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.
Derwent London Operating Margin % vs REITs Industry
For the REITs industry and Real Estate sector, Derwent London's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Derwent London'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.
Derwent London'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.
Derwent London (DWVYF) has a Operating Margin % of 29.88% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Derwent London and its competitors. This is 53% below median its historical median of 63.18. Over the past decade, Derwent London's Operating Margin % has ranged from 41.78 to 66.96. According to the industry distribution chart, Derwent London ranks #485 out of 750 companies in the REITs industry, placing it in the top 64.7%.
Is Derwent London's Operating Margin % too high?
Derwent London's current Operating Margin % of 29.88% is 53% below median its 10-year median of 63.18. Over the past 10 years, this metric has ranged from a low of 41.78 to a high of 66.96. The REITs industry median Operating Margin % is 52.67. Derwent London's value of 29.88% is 43.3% below this industry median. Based on the distribution chart, Derwent London ranks #485 out of 750 companies in the REITs industry, which is below the industry midpoint. Overall, Derwent London has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Derwent London's Operating Margin % compare to BXP and ARE?
According to the REITs industry distribution chart, Derwent London ranks #485 out of 750 companies for Operating Margin %. This places Derwent London in the lower half of its industry. The industry median Operating Margin % is 52.67. Derwent London's value of 29.88% is 43.3% below this benchmark. Historically, Derwent London's own Operating Margin % has ranged from 41.78 to 66.96 over the past decade. While the company's 10-year median is 63.18 vs. the industry median of 52.67, Derwent London 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 REITs company?
The median Operating Margin % among REITs companies is 52.67, based on 750 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. Derwent London's current Operating Margin % of 29.88% is 43.3% 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 Derwent London and its competitors. For the REITs industry, the median Operating Margin % is 52.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Derwent London's current Operating Margin % is 29.88%, which is 53% below median its own 10-year median of 63.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Derwent London stock overvalued right now?
Based on GuruFocus' analysis, Derwent London (DWVYF) is currently considered Modestly Undervalued. The stock's GF Value™ is $31.48, compared to a current price of $24.37 — trading 22.6% below its estimated fair value. The current Operating Margin % is 29.88%, which is 53% below median its 10-year median of 63.18 and 43.3% below the REITs industry median of 52.67. Derwent London's overall GF Score™ is 73/100 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 Derwent London (DWVYF), the current Operating Margin % is 29.88% as of Dec. 2025. 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 Derwent London (DWVYF) Overvalued in 2026?
Based on GuruFocus' analysis, Derwent London stock appears to be undervalued.
The current stock price of $24.37 is trading 22.6% below its estimated GF Value™ of $31.48.
GuruFocus considers Derwent London to be Modestly Undervalued.
Key valuation signals for DWVYF:
Operating Margin %: 29.88% (53% below median its 10-year median of 63.18)
GF Value™: $31.48 vs. price of $24.37 (22.6% below fair value)
Industry Position: 43.3% below the REITs median (#485 of 750)
No single metric tells the full story. See the DWVYF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Derwent London PLC is London's inventive office specialist property regenerators and investors and is well known for its design-led philosophy and creative management approach to development. Its appealing designs attract a range of tenants, including those from creative industries. The group has been a Real Estate Investment Trust (REIT) principally property investors with tax-exempt property rental businesses, but remain subject to corporation tax on nonexempt income and gains The Group owns and manages an investment portfolio of approximately 5.4 million sq ft, of which 98% is located in central London, with a specific focus on the West End and the areas bordering the City of London.
73GF Score
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