Flight Centre Travel GroupFGETF 73 Operating Margin % is 6.46% as of Dec. 2025, which is 23% below its 10-year median of 8.39. GuruFocus rates FGETF with a GF Score™ of 73/100 and a GF Value™ of $17.06 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 844 Travel & Leisure companies, Flight Centre Travel Group ranks worse than 50.83% on this metric.
Flight Centre Travel Group (OTCPK:FGETF) 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.
Flight Centre Travel Group Operating Margin % Related Terms
Flight Centre Travel Group 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.
Flight Centre Travel Group Operating Margin % Chart
FGETF vs BKNG, ABNB, RCL: Operating Margin % Comparison
For the Travel Services subindustry, Flight Centre Travel Group'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.
Flight Centre Travel Group Operating Margin % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Flight Centre Travel Group's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Flight Centre Travel Group's Operating Margin % falls into.
Flight Centre Travel Group 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.
Flight Centre Travel Group's Operating Margin % for the fiscal year that ended in Jun. 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.
Flight Centre Travel Group (FGETF) has a Operating Margin % of 6.46% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Flight Centre Travel Group and its competitors. This is 23% below median its historical median of 8.39. According to the industry distribution chart, Flight Centre Travel Group ranks #429 out of 844 companies in the Travel & Leisure industry, placing it in the top 50.8%.
Is Flight Centre Travel Group's Operating Margin % too high?
Flight Centre Travel Group's current Operating Margin % of 6.46% is 23% below median its 10-year median of 8.39. The Travel & Leisure industry median Operating Margin % is 8.14. Flight Centre Travel Group's value of 6.46% is 20.6% below this industry median. Based on the distribution chart, Flight Centre Travel Group ranks #429 out of 844 companies in the Travel & Leisure industry, which is below the industry midpoint. Overall, Flight Centre Travel Group has a GF Score™ of 73/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Flight Centre Travel Group's Operating Margin % compare to BKNG and ABNB?
According to the Travel & Leisure industry distribution chart, Flight Centre Travel Group ranks #429 out of 844 companies for Operating Margin %. This places Flight Centre Travel Group in the lower half of its industry. The industry median Operating Margin % is 8.14. Flight Centre Travel Group's value of 6.46% is 20.6% below this benchmark. While the company's 10-year median is 8.39 vs. the industry median of 8.14, Flight Centre Travel Group 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 Travel & Leisure company?
The median Operating Margin % among Travel & Leisure companies is 8.14, based on 844 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. Flight Centre Travel Group's current Operating Margin % of 6.46% is 20.6% 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 Flight Centre Travel Group and its competitors. For the Travel & Leisure industry, the median Operating Margin % is 8.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Flight Centre Travel Group's current Operating Margin % is 6.46%, which is 23% below median its own 10-year median of 8.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Flight Centre Travel Group stock overvalued right now?
Based on GuruFocus' analysis, Flight Centre Travel Group (FGETF) is currently considered Possible Value Trap. The stock's GF Value™ is $17.06, compared to a current price of $8.60 — trading 49.6% below its estimated fair value. The current Operating Margin % is 6.46%, which is 23% below median its 10-year median of 8.39 and 20.6% below the Travel & Leisure industry median of 8.14. Flight Centre Travel Group's overall GF Score™ is 73/100 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 Flight Centre Travel Group (FGETF), the current Operating Margin % is 6.46% 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 Flight Centre Travel Group (FGETF) Overvalued in 2026?
Based on GuruFocus' analysis, Flight Centre Travel Group stock appears to be undervalued.
The current stock price of $8.60 is trading 49.6% below its estimated GF Value™ of $17.06.
GuruFocus considers Flight Centre Travel Group to be Possible Value Trap.
Key valuation signals for FGETF:
Operating Margin %: 6.46% (23% below median its 10-year median of 8.39)
GF Value™: $17.06 vs. price of $8.60 (49.6% below fair value)
Industry Position: 20.6% below the Travel & Leisure median (#429 of 844)
No single metric tells the full story. See the FGETF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Flight Centre Travel is one of the largest travel intermediaries in the world. The group generates around half of its total transaction value, or TTV, from the corporate unit, with the other half from the leisure market and ancillary travel-related businesses. In corporate travel, Flight Centre is a global Top 4 agent operating in over 100 countries, with different brands catering to various customer segments (small and midsize businesses to large enterprises). In leisure, Flight Centre operates an extensive network of shops while also runs online channels and deal with independent agents. Over half of group TTV is generated in Australia and New Zealand, 20% from Americas, just under 20% from Europe, and the rest from Asia.
73GF Score
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