Nexteq (FRA:R87) Operating Margin %: 3.51% (As of Dec. 2025) — 61% Below Median


FRA:R87 Nexteq PLC FRA:R87
33 GF Score
Price €0.61
GF Value €0.88
Valuation Significantly Undervalued
! 3 Warning Signs
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What is Nexteq Operating Margin %?

Nexteq FRA:R87 33 Operating Margin % is 3.51% as of Dec. 2025, which is 61% below its 10-year median of 8.90. GuruFocus rates FRA:R87 with a GF Score™ of 33/100 and a GF Value™ of €0.88 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 844 Travel & Leisure companies, Nexteq ranks worse than 66.94% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Nexteq's Operating Income for the six months ended in Dec. 2025 was €1.49 Mil. Nexteq's Revenue for the six months ended in Dec. 2025 was €42.29 Mil. Therefore, Nexteq's Operating Margin % for the quarter that ended in Dec. 2025 was 3.51%.

The historical rank and industry rank for Nexteq's Operating Margin % or its related term are showing as below:

FRA:R87' s Operating Margin % Range Over the Past 10 Years
Min: -2.9   Med: 8.9   Max: 14.05
Current: 2.35


FRA:R87's Operating Margin % is ranked worse than
66.94% of 844 companies
in the Travel & Leisure industry
Industry Median: 8.135 vs FRA:R87: 2.35

Nexteq's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Nexteq's Operating Income for the six months ended in Dec. 2025 was €1.49 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was €1.81 Mil.


Nexteq  (FRA:R87) 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 Nokia’s 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.


Nexteq Operating Margin % Related Terms


Nexteq Operating Margin % Historical Data

* Premium members only.

The historical data trend for Nexteq'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.

Nexteq Operating Margin % Chart

Nexteq Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.21 7.45 11.13 4.43 2.34

Nexteq Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 13.21 8.35 -0.49 0.91 3.51

FRA:R87 vs FLUT, DKNG, LNWO: Operating Margin % Comparison

For the Gambling subindustry, Nexteq'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.


Nexteq Operating Margin % vs Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Nexteq's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Nexteq's Operating Margin % falls into.


FRA:R87
33GF Score
Nexteq PLC FRA:R87
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Nexteq Operating Margin % Calculation

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.

Nexteq's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=1.802 / 77.054
=2.34 %

Nexteq's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=1.486 / 42.292
=3.51 %

* 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.

Frequently Asked Questions Learn more about Operating Margin % →
What does a Operating Margin % of 3.51% mean?
Nexteq (FRA:R87) has a Operating Margin % of 3.51% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Nexteq and its competitors. This is 61% below median its historical median of 8.90. According to the industry distribution chart, Nexteq ranks #565 out of 844 companies in the Travel & Leisure industry, placing it in the top 66.9%.
Is Nexteq's Operating Margin % too high?
Nexteq's current Operating Margin % of 3.51% is 61% below median its 10-year median of 8.90. The Travel & Leisure industry median Operating Margin % is 8.14. Nexteq's value of 3.51% is 56.9% below this industry median. Based on the distribution chart, Nexteq ranks #565 out of 844 companies in the Travel & Leisure industry, which is below the industry midpoint. Overall, Nexteq has a GF Score™ of 33/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nexteq's Operating Margin % compare to FLUT and DKNG?
According to the Travel & Leisure industry distribution chart, Nexteq ranks #565 out of 844 companies for Operating Margin %. This places Nexteq in the lower half of its industry. The industry median Operating Margin % is 8.14. Nexteq's value of 3.51% is 56.9% below this benchmark. While the company's 10-year median is 8.90 vs. the industry median of 8.14, Nexteq 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 Travel & Leisure company?
The median Operating Margin % among Travel & Leisure companies is 8.14, based on 844 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. Nexteq's current Operating Margin % of 3.51% is 56.9% 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 Nexteq and its competitors. For the Travel & Leisure industry, the median Operating Margin % is 8.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nexteq's current Operating Margin % is 3.51%, which is 61% below median its own 10-year median of 8.90. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nexteq stock overvalued right now?
Based on GuruFocus' analysis, Nexteq (FRA:R87) is currently considered Significantly Undervalued. The stock's GF Value™ is €0.88, compared to a current price of €0.61 — trading 31.3% below its estimated fair value. The current Operating Margin % is 3.51%, which is 61% below median its 10-year median of 8.90 and 56.9% below the Travel & Leisure industry median of 8.14. Nexteq's overall GF Score™ is 33/100 with 3 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 Nexteq (FRA:R87), the current Operating Margin % is 3.51% 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 Nexteq (FRA:R87) Overvalued in 2026?

Based on GuruFocus' analysis, Nexteq stock appears to be undervalued. The current stock price of €0.61 is trading 31.3% below its estimated GF Value™ of €0.88. GuruFocus considers Nexteq to be Significantly Undervalued.

Key valuation signals for FRA:R87:

  • Operating Margin %: 3.51% (61% below median its 10-year median of 8.90)
  • GF Value™: €0.88 vs. price of €0.61 (31.3% below fair value)
  • GF Score™: 33/100 with 3 warning signs
  • Industry Position: 56.9% below the Travel & Leisure median (#565 of 844)

No single metric tells the full story. See the FRA:R87 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Nexteq Business Description

Other Exchanges NXQ:UK
Address Station Road, The Galleria, Crawley, GBR, RH10 1WW
Nexteq PLC is a technology partner to industrial equipment manufacturers. The group's specialist outsourced solutions serve a range of selected end markets through its two segments, Quixant and Densitron, enabling its customers to innovate. Quixant segment is engaged in designing, development and manufacturing of gaming platforms and display solutions for the casino gaming and slot machine industry; while Densitron segment produces a wide range of human-machine interface hardware for industrial markets, with key focus areas being the broadcast and medical sectors. The company dervives maximum revenue from Quixant segment. Geographically, the company derives majority of its revenue from North America.
33GF Score

Get the complete analysis for FRA:R87

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€0.61
Price
€0.88
GF Value