The Vita Coco CoFRA:85E -4.55%80 Operating Margin % is 18.68% as of Mar. 2026, which is 91% above its 10-year median of 9.80. GuruFocus rates FRA:85E with a GF Score™ of 80/100 and a GF Value™ of €34.47 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 116 Beverages - Non-Alcoholic companies, The Vita Coco Co ranks better than 69.83% on this metric.
The Vita Coco Co Inc operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for The Vita Coco Co's Operating Margin % or its related term are showing as below:
FRA:85E'
s Operating Margin % Range Over the Past 10 Years
Min: 0.71 Med: 9.8 Max: 14.7
Current: 14.7
FRA:85E's Operating Margin % is ranked better than 69.83% of 116
companies
in the Beverages - Non-Alcoholic industry
Industry Median: 8.975
vs FRA:85E: 14.70
The Vita Coco Co's 5-Year Average Operating Margin % Growth Rate was 21.30% per year.
The Vita Coco Co (FRA:85E) 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.
The Vita Coco Co Operating Margin % Related Terms
The Vita Coco Co Operating Margin % Historical Data
* Premium members only.
The historical data trend for The Vita Coco Co'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:85E vs FIZZ, SUJA, BUDA: Operating Margin % Comparison
For the Beverages - Non-Alcoholic subindustry, The Vita Coco Co'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.
The Vita Coco Co Operating Margin % vs Beverages - Non-Alcoholic Industry
For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, The Vita Coco Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where The Vita Coco Co'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.
The Vita Coco Co'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.
The Vita Coco Co (FRA:85E) has a Operating Margin % of 18.68% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on The Vita Coco Co and its competitors. This is 91% above median its historical median of 9.80. Over the past decade, The Vita Coco Co's Operating Margin % has ranged from 0.71 to 14.70. According to the industry distribution chart, The Vita Coco Co ranks #35 out of 116 companies in the Beverages - Non-Alcoholic industry, placing it in the top 30.2%.
Is The Vita Coco Co's Operating Margin % too high?
The Vita Coco Co's current Operating Margin % of 18.68% is 91% above median its 10-year median of 9.80. Over the past 10 years, this metric has ranged from a low of 0.71 to a high of 14.70. The Beverages - Non-Alcoholic industry median Operating Margin % is 8.98. The Vita Coco Co's value of 18.68% is 108.1% above this industry median. Based on the distribution chart, The Vita Coco Co ranks #35 out of 116 companies in the Beverages - Non-Alcoholic industry, which is above the industry midpoint. Overall, The Vita Coco Co has a GF Score™ of 80/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Vita Coco Co's Operating Margin % compare to FIZZ and SUJA?
According to the Beverages - Non-Alcoholic industry distribution chart, The Vita Coco Co ranks #35 out of 116 companies for Operating Margin %. This puts The Vita Coco Co in the upper half of its industry. The industry median Operating Margin % is 8.98. The Vita Coco Co's value of 18.68% is 108.1% above this benchmark. Historically, The Vita Coco Co's own Operating Margin % has ranged from 0.71 to 14.70 over the past decade. While the company's 10-year median is 9.80 vs. the industry median of 8.98, The Vita Coco Co 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 Beverages - Non-Alcoholic company?
The median Operating Margin % among Beverages - Non-Alcoholic companies is 8.98, based on 116 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. The Vita Coco Co's current Operating Margin % of 18.68% is 108.1% 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 The Vita Coco Co and its competitors. For the Beverages - Non-Alcoholic industry, the median Operating Margin % is 8.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Vita Coco Co's current Operating Margin % is 18.68%, which is 91% above median its own 10-year median of 9.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Vita Coco Co stock overvalued right now?
Based on GuruFocus' analysis, The Vita Coco Co (FRA:85E) is currently considered Significantly Overvalued. The stock's GF Value™ is €34.47, compared to a current price of €70.00 — trading 103.1% above its estimated fair value. The current Operating Margin % is 18.68%, which is 91% above median its 10-year median of 9.80 and 108.1% above the Beverages - Non-Alcoholic industry median of 8.98. The Vita Coco Co's overall GF Score™ is 80/100 with 6 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 The Vita Coco Co (FRA:85E), the current Operating Margin % is 18.68% 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 The Vita Coco Co (FRA:85E) Overvalued in 2026?
Based on GuruFocus' analysis, The Vita Coco Co stock appears to be overvalued.
The current stock price of €70.00 is trading 103.1% above its estimated GF Value™ of €34.47.
GuruFocus considers The Vita Coco Co to be Significantly Overvalued.
Key valuation signals for FRA:85E:
Operating Margin %: 18.68% (91% above median its 10-year median of 9.80)
GF Value™: €34.47 vs. price of €70.00 (103.1% above fair value)
Industry Position: 108.1% above the Beverages - Non-Alcoholic median (#35 of 116)
No single metric tells the full story. See the FRA:85E stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Vita Coco Co Inc is a plant-based functional hydration platform. Its products include Vita Coco Coconut Water, Private Label including coconut water and oil, and Other including Runa, Ever & Ever, and PWR LIFT product offerings, Vita Coco product extensions beyond coconut water, such as Vita Coco Sparkling, coconut milk products, and others. The company has two segments: The Americas segment which comprises of operations in the U.S. and Canada; and The International segment that comprises of operations in Europe, the Middle East, Africa and the Asia Pacific regions. The Americas segment derives maximum revenue. Geographical presence of the company is in United States, United Kingdom and All other countries.
80GF Score
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