Beazer Homes USA Inc operating margin has been in a 5-year decline. The average rate of decline per year is -13.6%.
The historical rank and industry rank for Beazer Homes USA's Operating Margin % or its related term are showing as below:
FRA:BE4A'
s Operating Margin % Range Over the Past 10 Years
Min: -4.31 Med: 3.8 Max: 11.76
Current: -1.41
FRA:BE4A's Operating Margin % is ranked worse than 93.41% of 91
companies
in the Homebuilding & Construction industry
Industry Median: 7.76
vs FRA:BE4A: -1.41
Beazer Homes USA's 5-Year Average Operating Margin % Growth Rate was -13.60% per year.
Beazer Homes USA Inc has recorded a loss in operating income at least once over the past 3 years.
Beazer Homes USA (FRA:BE4A) 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.
Beazer Homes USA Operating Margin % Related Terms
Beazer Homes USA Operating Margin % Historical Data
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The historical data trend for Beazer Homes USA'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:BE4A vs HOV, LEGH, LGIH: Operating Margin % Comparison
For the Residential Construction subindustry, Beazer Homes USA'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.
Beazer Homes USA Operating Margin % vs Homebuilding & Construction Industry
For the Homebuilding & Construction industry and Consumer Cyclical sector, Beazer Homes USA's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Beazer Homes USA'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.
Beazer Homes USA's Operating Margin % for the fiscal year that ended in Sep. 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.
Beazer Homes USA (FRA:BE4A) has a Operating Margin % of -4.63% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Beazer Homes USA and its competitors. According to the industry distribution chart, Beazer Homes USA ranks #85 out of 91 companies in the Homebuilding & Construction industry, placing it in the top 93.4%.
Is Beazer Homes USA's Operating Margin % too high?
Beazer Homes USA's current Operating Margin % is -4.63%. Based on the distribution chart, Beazer Homes USA ranks #85 out of 91 companies in the Homebuilding & Construction industry, which is in the bottom quartile relative to peers. Overall, Beazer Homes USA has a GF Score™ of 61/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Beazer Homes USA's Operating Margin % compare to HOV and LEGH?
According to the Homebuilding & Construction industry distribution chart, Beazer Homes USA ranks #85 out of 91 companies for Operating Margin %. This places Beazer Homes USA in the lower half of its industry. The industry median Operating Margin % is 7.76. 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 Homebuilding & Construction company?
The median Operating Margin % among Homebuilding & Construction companies is 7.76, based on 91 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. 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 Beazer Homes USA and its competitors. For the Homebuilding & Construction industry, the median Operating Margin % is 7.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Beazer Homes USA's current Operating Margin % is -4.63%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Beazer Homes USA stock overvalued right now?
Based on GuruFocus' analysis, Beazer Homes USA (FRA:BE4A) is currently considered Modestly Overvalued. The stock's GF Value™ is €19.94, compared to a current price of €23.60 — trading 18.4% above its estimated fair value. The current Operating Margin % is -4.63%. Beazer Homes USA's overall GF Score™ is 61/100 with 10 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 Beazer Homes USA (FRA:BE4A), the current Operating Margin % is -4.63% 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 Beazer Homes USA (FRA:BE4A) Overvalued in 2026?
Based on GuruFocus' analysis, Beazer Homes USA stock appears to be overvalued.
The current stock price of €23.60 is trading 18.4% above its estimated GF Value™ of €19.94.
GuruFocus considers Beazer Homes USA to be Modestly Overvalued.
Key valuation signals for FRA:BE4A:
Operating Margin %: -4.63%
GF Value™: €19.94 vs. price of €23.60 (18.4% above fair value)
No single metric tells the full story. See the FRA:BE4A stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Beazer Homes USA Inc is an construction company that focuses on residential construction. The company specializes in single-family housing and multi-unit building construction in states and metro markets. Beazer Homes builds homes and communities that target first-time, move-up, and luxury homebuyers with an average selling price of roughly $300,000. From a geographic perspective, home sales in the western and eastern United States have been the sources of revenue for the company. Its segments involve: West segment that includes Arizona, California, Nevada, and Texas; East segment that includes Delaware, Indiana, Maryland, Tennessee, and Virginia; and Southeast segment which includes Florida, Georgia, North Carolina, and South Carolina.
61GF Score
Get the complete analysis for FRA:BE4A
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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