Lemonsoft OyjFRA:M36 +0.43%88 Operating Margin % is 20.35% as of Mar. 2026, which is 24% below its 10-year median of 26.77. GuruFocus rates FRA:M36 with a GF Score™ of 88/100 and a GF Value™ of €6.64. The stock has 4 warning signs investors should review. Among 2,820 Software companies, Lemonsoft Oyj ranks better than 88.65% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Lemonsoft Oyj's Operating Income for the
three
months ended in Mar. 2026 was €1.53 Mil. Lemonsoft Oyj's Revenue for the
three
months ended in Mar. 2026 was €7.50 Mil. Therefore, Lemonsoft Oyj's Operating Margin % for the quarter that ended in Mar. 2026 was 20.35%.
Warning Sign:
Lemonsoft Oyj operating margin has been in a 5-year decline. The average rate of decline per year is -9.2%.
The historical rank and industry rank for Lemonsoft Oyj's Operating Margin % or its related term are showing as below:
FRA:M36'
s Operating Margin % Range Over the Past 10 Years
Min: 18.69 Med: 26.77 Max: 35.05
Current: 20.93
FRA:M36's Operating Margin % is ranked better than 88.65% of 2820
companies
in the Software industry
Industry Median: 3.865
vs FRA:M36: 20.93
Lemonsoft Oyj's 5-Year Average Operating Margin % Growth Rate was -9.20% 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.
Lemonsoft Oyj Operating Margin % Related Terms
Lemonsoft Oyj Operating Margin % Historical Data
* Premium members only.
The historical data trend for Lemonsoft Oyj'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:M36 vs CRM, SHOP, UBER: Operating Margin % Comparison
For the Software - Application subindustry, Lemonsoft Oyj'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.
Lemonsoft Oyj Operating Margin % vs Software Industry
For the Software industry and Technology sector, Lemonsoft Oyj's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Lemonsoft Oyj'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.
Lemonsoft Oyj'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.
Lemonsoft Oyj (FRA:M36) has a Operating Margin % of 20.35% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Lemonsoft Oyj and its competitors. This is 24% below median its historical median of 26.77. Over the past decade, Lemonsoft Oyj's Operating Margin % has ranged from 18.69 to 35.05. According to the industry distribution chart, Lemonsoft Oyj ranks #320 out of 2820 companies in the Software industry, placing it in the top 11.3%.
Is Lemonsoft Oyj's Operating Margin % too high?
Lemonsoft Oyj's current Operating Margin % of 20.35% is 24% below median its 10-year median of 26.77. Over the past 10 years, this metric has ranged from a low of 18.69 to a high of 35.05. The Software industry median Operating Margin % is 3.87. Lemonsoft Oyj's value of 20.35% is 426.5% above this industry median. Based on the distribution chart, Lemonsoft Oyj ranks #320 out of 2820 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Lemonsoft Oyj has a GF Score™ of 88/100, reflecting its overall financial health beyond just this single metric.
How does Lemonsoft Oyj's Operating Margin % compare to CRM and SHOP?
According to the Software industry distribution chart, Lemonsoft Oyj ranks #320 out of 2820 companies for Operating Margin %. This places Lemonsoft Oyj in the top 11% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.87. Lemonsoft Oyj's value of 20.35% is 426.5% above this benchmark. Historically, Lemonsoft Oyj's own Operating Margin % has ranged from 18.69 to 35.05 over the past decade. While the company's 10-year median is 26.77 vs. the industry median of 3.87, Lemonsoft Oyj 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 Software company?
The median Operating Margin % among Software companies is 3.87, based on 2,820 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. Lemonsoft Oyj's current Operating Margin % of 20.35% is 426.5% 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 Lemonsoft Oyj and its competitors. For the Software industry, the median Operating Margin % is 3.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lemonsoft Oyj's current Operating Margin % is 20.35%, which is 24% below median its own 10-year median of 26.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lemonsoft Oyj stock overvalued right now?
Lemonsoft Oyj (FRA:M36) has a current Operating Margin % of 20.35%. The stock's GF Value™ is €6.64, compared to a current price of €4.72 — trading 28.9% below its estimated fair value. The current Operating Margin % is 20.35%, which is 24% below median its 10-year median of 26.77 and 426.5% above the Software industry median of 3.87. Lemonsoft Oyj's overall GF Score™ is 88/100 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 Lemonsoft Oyj (FRA:M36), the current Operating Margin % is 20.35% 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 Lemonsoft Oyj (FRA:M36) Overvalued in 2026?
Based on GuruFocus' analysis, Lemonsoft Oyj stock appears to be undervalued.
The current stock price of €4.72 is trading 28.9% below its estimated GF Value™ of €6.64.
Key valuation signals for FRA:M36:
Operating Margin %: 20.35% (24% below median its 10-year median of 26.77)
GF Value™: €6.64 vs. price of €4.72 (28.9% below fair value)
Industry Position: 426.5% above the Software median (#320 of 2820)
No single metric tells the full story. See the FRA:M36 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lemonsoft Oyj is a Finnish software company that designs, develops, and sells ERP software solutions to streamline its customers' processes across different business lines and administration. The Company operates in the ERP software market in Finland as a service provider for SMEs.
88GF Score
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