Michelmersh Brick HoldingsFRA:MPO 77 Operating Margin % is 4.79% as of Dec. 2025, which is 69% below its 10-year median of 15.44. GuruFocus rates FRA:MPO with a GF Score™ of 77/100 and a GF Value™ of €1.11 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 405 Building Materials companies, Michelmersh Brick Holdings ranks worse than 54.32% on this metric.
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.
Michelmersh Brick Holdings Operating Margin % Related Terms
Michelmersh Brick Holdings Operating Margin % Historical Data
* 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:MPO vs CRH, VMC, MLM: Operating Margin % Comparison
For the Building Materials subindustry, Michelmersh Brick Holdings'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.
Michelmersh Brick Holdings Operating Margin % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Michelmersh Brick Holdings's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Michelmersh Brick Holdings'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.
Michelmersh Brick Holdings'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.
Michelmersh Brick Holdings (FRA:MPO) has a Operating Margin % of 4.79% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Michelmersh Brick Holdings and its competitors. This is 69% below median its historical median of 15.44. Over the past decade, Michelmersh Brick Holdings' Operating Margin % has ranged from 6.61 to 17.03. According to the industry distribution chart, Michelmersh Brick Holdings ranks #220 out of 405 companies in the Building Materials industry, placing it in the top 54.3%.
Is Michelmersh Brick Holdings' Operating Margin % too high?
Michelmersh Brick Holdings' current Operating Margin % of 4.79% is 69% below median its 10-year median of 15.44. Over the past 10 years, this metric has ranged from a low of 6.61 to a high of 17.03. The Building Materials industry median Operating Margin % is 7.64. Michelmersh Brick Holdings' value of 4.79% is 37.3% below this industry median. Based on the distribution chart, Michelmersh Brick Holdings ranks #220 out of 405 companies in the Building Materials industry, which is below the industry midpoint. Overall, Michelmersh Brick Holdings has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Michelmersh Brick Holdings' Operating Margin % compare to CRH and VMC?
According to the Building Materials industry distribution chart, Michelmersh Brick Holdings ranks #220 out of 405 companies for Operating Margin %. This places Michelmersh Brick Holdings in the lower half of its industry. The industry median Operating Margin % is 7.64. Michelmersh Brick Holdings' value of 4.79% is 37.3% below this benchmark. Historically, Michelmersh Brick Holdings' own Operating Margin % has ranged from 6.61 to 17.03 over the past decade. While the company's 10-year median is 15.44 vs. the industry median of 7.64, Michelmersh Brick Holdings 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. Michelmersh Brick Holdings's current Operating Margin % of 4.79% is 37.3% 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 Michelmersh Brick Holdings 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. Michelmersh Brick Holdings's current Operating Margin % is 4.79%, which is 69% below median its own 10-year median of 15.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Michelmersh Brick Holdings stock overvalued right now?
Based on GuruFocus' analysis, Michelmersh Brick Holdings (FRA:MPO) is currently considered Modestly Undervalued. The stock's GF Value™ is €1.11, compared to a current price of €0.89 — trading 20.3% below its estimated fair value. The current Operating Margin % is 4.79%, which is 69% below median its 10-year median of 15.44 and 37.3% below the Building Materials industry median of 7.64. Michelmersh Brick Holdings' overall GF Score™ is 77/100 with 7 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 Michelmersh Brick Holdings (FRA:MPO), the current Operating Margin % is 4.79% 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 Michelmersh Brick Holdings (FRA:MPO) Overvalued in 2026?
Based on GuruFocus' analysis, Michelmersh Brick Holdings stock appears to be undervalued.
The current stock price of €0.89 is trading 20.3% below its estimated GF Value™ of €1.11.
GuruFocus considers Michelmersh Brick Holdings to be Modestly Undervalued.
Key valuation signals for FRA:MPO:
Operating Margin %: 4.79% (69% below median its 10-year median of 15.44)
GF Value™: €1.11 vs. price of €0.89 (20.3% below fair value)
Industry Position: 37.3% below the Building Materials median (#220 of 405)
No single metric tells the full story. See the FRA:MPO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Michelmersh Brick Holdings PLC is a business with brands, namely, Blockleys, Carlton, FabSpeed, Freshfield Lane, Michelmersh, Floren and Hathern Terra Cotta. These divisions operate within a fully integrated business combining the manufacture of clay bricks and pavers. The Group also includes a landfill operator, New Acres Ltd, and seeks to develop future landfill and development opportunities on ancillary land assets. It currently owns the UK's premium manufacturing brick brands and is a specification brick and clay paving manufacturer. Geographically, the majority is derived from the United Kingdom.
77GF Score
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