IbstockFRA:2I5 +4.08%68 Operating Margin % is 2.72% as of Dec. 2025, which is 85% below its 10-year median of 17.90. GuruFocus rates FRA:2I5 with a GF Score™ of 68/100 and a GF Value™ of €1.50 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 405 Building Materials companies, Ibstock ranks worse than 61.23% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Ibstock's Operating Income for the
six
months ended in Dec. 2025 was €5.6 Mil. Ibstock's Revenue for the
six
months ended in Dec. 2025 was €204.3 Mil. Therefore, Ibstock's Operating Margin % for the quarter that ended in Dec. 2025 was 2.72%.
The historical rank and industry rank for Ibstock's Operating Margin % or its related term are showing as below:
FRA:2I5'
s Operating Margin % Range Over the Past 10 Years
Min: -5.23 Med: 17.9 Max: 23.93
Current: 4.25
FRA:2I5's Operating Margin % is ranked worse than 61.23% of 405
companies
in the Building Materials industry
Industry Median: 7.64
vs FRA:2I5: 4.25
Ibstock's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
Ibstock's Operating Income for the
six
months ended in Dec. 2025 was €5.6 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was €18.4 Mil.
Ibstock (FRA:2I5) 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.
Ibstock Operating Margin % Related Terms
Ibstock Operating Margin % Historical Data
* Premium members only.
The historical data trend for Ibstock'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:2I5 vs CRH, VMC, MLM: Operating Margin % Comparison
For the Building Materials subindustry, Ibstock'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.
Ibstock Operating Margin % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Ibstock's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Ibstock'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.
Ibstock'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.
Ibstock (FRA:2I5) has a Operating Margin % of 2.72% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Ibstock and its competitors. This is 85% below median its historical median of 17.90. According to the industry distribution chart, Ibstock ranks #248 out of 405 companies in the Building Materials industry, placing it in the top 61.2%.
Is Ibstock's Operating Margin % too high?
Ibstock's current Operating Margin % of 2.72% is 85% below median its 10-year median of 17.90. The Building Materials industry median Operating Margin % is 7.64. Ibstock's value of 2.72% is 64.4% below this industry median. Based on the distribution chart, Ibstock ranks #248 out of 405 companies in the Building Materials industry, which is below the industry midpoint. Overall, Ibstock has a GF Score™ of 68/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Ibstock's Operating Margin % compare to CRH and VMC?
According to the Building Materials industry distribution chart, Ibstock ranks #248 out of 405 companies for Operating Margin %. This places Ibstock in the lower half of its industry. The industry median Operating Margin % is 7.64. Ibstock's value of 2.72% is 64.4% below this benchmark. While the company's 10-year median is 17.90 vs. the industry median of 7.64, Ibstock 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 Building Materials company?
The median Operating Margin % among Building Materials companies is 7.64, based on 405 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. Ibstock's current Operating Margin % of 2.72% is 64.4% 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 Ibstock and its competitors. For the Building Materials industry, the median Operating Margin % is 7.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ibstock's current Operating Margin % is 2.72%, which is 85% below median its own 10-year median of 17.90. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ibstock stock overvalued right now?
Based on GuruFocus' analysis, Ibstock (FRA:2I5) is currently considered Significantly Undervalued. The stock's GF Value™ is €1.50, compared to a current price of €1.02 — trading 32% below its estimated fair value. The current Operating Margin % is 2.72%, which is 85% below median its 10-year median of 17.90 and 64.4% below the Building Materials industry median of 7.64. Ibstock's overall GF Score™ is 68/100 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 Ibstock (FRA:2I5), the current Operating Margin % is 2.72% 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 Ibstock (FRA:2I5) Overvalued in 2026?
Based on GuruFocus' analysis, Ibstock stock appears to be undervalued.
The current stock price of €1.02 is trading 32% below its estimated GF Value™ of €1.50.
GuruFocus considers Ibstock to be Significantly Undervalued.
Key valuation signals for FRA:2I5:
Operating Margin %: 2.72% (85% below median its 10-year median of 17.90)
GF Value™: €1.50 vs. price of €1.02 (32% below fair value)
Industry Position: 64.4% below the Building Materials median (#248 of 405)
No single metric tells the full story. See the FRA:2I5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ibstock PLC is a manufacturer of building products with a varied range of clay and concrete products and solutions to customers in the UK residential construction sector. Its product range includes clay bricks, brick components, concrete roof tiles, concrete stone masonry substitutes, concrete fencing, pre-stressed concrete products, and concrete rail products. The company's operating segment includes Clay and Concrete. It generates maximum revenue from the Clay segment.
68GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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