HealthEquityFRA:2HE +2.07%93 Operating Margin % is 29.34% as of Apr. 2026, which is 57% above its 10-year median of 18.71. GuruFocus rates FRA:2HE with a GF Score™ of 93/100 and a GF Value™ of €87.87. The stock has 1 warning sign investors should review. Among 668 Healthcare Providers & Services companies, HealthEquity ranks better than 95.21% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. HealthEquity's Operating Income for the
three
months ended in Apr. 2026 was €89 Mil. HealthEquity's Revenue for the
three
months ended in Apr. 2026 was €303 Mil. Therefore, HealthEquity's Operating Margin % for the quarter that ended in Apr. 2026 was 29.34%.
Good Sign:
HealthEquity Inc operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for HealthEquity's Operating Margin % or its related term are showing as below:
FRA:2HE'
s Operating Margin % Range Over the Past 10 Years
Min: 4.37 Med: 18.71 Max: 27.04
Current: 25.96
FRA:2HE's Operating Margin % is ranked better than 95.21% of 668
companies
in the Healthcare Providers & Services industry
Industry Median: 4.845
vs FRA:2HE: 25.96
HealthEquity's 5-Year Average Operating Margin % Growth Rate was 28.10% per year.
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.
HealthEquity Operating Margin % Related Terms
HealthEquity Operating Margin % Historical Data
* Premium members only.
The historical data trend for HealthEquity'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.
FRA:2HE vs TEM, HNGE, DOCS: Operating Margin % Comparison
For the Health Information Services subindustry, HealthEquity'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.
HealthEquity Operating Margin % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, HealthEquity's Operating Margin % distribution charts can be found below:
* The bar in red indicates where HealthEquity'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.
HealthEquity's Operating Margin % for the fiscal year that ended in Jan. 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.
HealthEquity (FRA:2HE) has a Operating Margin % of 29.34% as of Apr. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on HealthEquity and its competitors. This is 57% above median its historical median of 18.71. Over the past decade, HealthEquity's Operating Margin % has ranged from 4.37 to 27.04. According to the industry distribution chart, HealthEquity ranks #32 out of 668 companies in the Healthcare Providers & Services industry, placing it in the top 4.8%.
Is HealthEquity's Operating Margin % too high?
HealthEquity's current Operating Margin % of 29.34% is 57% above median its 10-year median of 18.71. Over the past 10 years, this metric has ranged from a low of 4.37 to a high of 27.04. The Healthcare Providers & Services industry median Operating Margin % is 4.85. HealthEquity's value of 29.34% is 505.6% above this industry median. Based on the distribution chart, HealthEquity ranks #32 out of 668 companies in the Healthcare Providers & Services industry, which is in the top quartile — a strong position relative to peers. Overall, HealthEquity has a GF Score™ of 93/100, reflecting its overall financial health beyond just this single metric.
How does HealthEquity's Operating Margin % compare to TEM and HNGE?
According to the Healthcare Providers & Services industry distribution chart, HealthEquity ranks #32 out of 668 companies for Operating Margin %. This places HealthEquity in the top 5% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 4.85. HealthEquity's value of 29.34% is 505.6% above this benchmark. Historically, HealthEquity's own Operating Margin % has ranged from 4.37 to 27.04 over the past decade. While the company's 10-year median is 18.71 vs. the industry median of 4.85, HealthEquity 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 Healthcare Providers & Services company?
The median Operating Margin % among Healthcare Providers & Services companies is 4.85, based on 668 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. HealthEquity's current Operating Margin % of 29.34% is 505.6% 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 HealthEquity and its competitors. For the Healthcare Providers & Services industry, the median Operating Margin % is 4.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. HealthEquity's current Operating Margin % is 29.34%, which is 57% above median its own 10-year median of 18.71. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HealthEquity stock overvalued right now?
HealthEquity (FRA:2HE) has a current Operating Margin % of 29.34%. The stock's GF Value™ is €87.87, compared to a current price of €74.00 — trading 15.8% below its estimated fair value. The current Operating Margin % is 29.34%, which is 57% above median its 10-year median of 18.71 and 505.6% above the Healthcare Providers & Services industry median of 4.85. HealthEquity's overall GF Score™ is 93/100 with 1 warning sign 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 HealthEquity (FRA:2HE), the current Operating Margin % is 29.34% as of Apr. 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 HealthEquity (FRA:2HE) Overvalued in 2026?
Based on GuruFocus' analysis, HealthEquity stock appears to be undervalued.
The current stock price of €74.00 is trading 15.8% below its estimated GF Value™ of €87.87.
Key valuation signals for FRA:2HE:
Operating Margin %: 29.34% (57% above median its 10-year median of 18.71)
GF Value™: €87.87 vs. price of €74.00 (15.8% below fair value)
Industry Position: 505.6% above the Healthcare Providers & Services median (#32 of 668)
No single metric tells the full story. See the FRA:2HE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
HealthEquity Inc provides solutions that allow consumers to make healthcare saving and spending decisions. It provides payment processing services, personalized benefit information, the ability to earn wellness incentives, and investment advice to grow their tax-advantaged healthcare savings. It manages consumers' tax-advantaged health savings accounts (HSAs) and other consumer-directed benefits (CDBs) offered by employers, including flexible spending accounts and health reimbursement arrangements (FSAs and HRAs), and administers Consolidated Omnibus Budget Reconciliation Act (COBRA), commuter and other benefits. It also provides investment advisory services to customers whose account balances exceed a certain threshold. HealthEquity generates its revenue in the United States.
93GF Score
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