Royal GoldFRA:RG3 -3.67%91 Operating Margin % is 63.33% as of Mar. 2026, which is 44% above its 10-year median of 43.95. GuruFocus rates FRA:RG3 with a GF Score™ of 91/100 and a GF Value™ of €238.64 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 841 Metals & Mining companies, Royal Gold ranks better than 97.03% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Royal Gold's Operating Income for the
three
months ended in Mar. 2026 was €257 Mil. Royal Gold's Revenue for the
three
months ended in Mar. 2026 was €406 Mil. Therefore, Royal Gold's Operating Margin % for the quarter that ended in Mar. 2026 was 63.33%.
Good Sign:
Royal Gold Inc operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Royal Gold's Operating Margin % or its related term are showing as below:
FRA:RG3'
s Operating Margin % Range Over the Past 10 Years
Min: 28.74 Med: 43.95 Max: 64.5
Current: 64.21
FRA:RG3's Operating Margin % is ranked better than 97.03% of 841
companies
in the Metals & Mining industry
Industry Median: 5.72
vs FRA:RG3: 64.21
Royal Gold's 5-Year Average Operating Margin % Growth Rate was 8.90% per year.
Royal Gold's Operating Income for the
three
months ended in Mar. 2026 was €257 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was €721 Mil.
Royal Gold (FRA:RG3) 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.
Royal Gold Operating Margin % Related Terms
Royal Gold Operating Margin % Historical Data
* Premium members only.
The historical data trend for Royal Gold'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:RG3 vs CDE, AUGO, SA: Operating Margin % Comparison
For the Gold subindustry, Royal Gold'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.
Royal Gold Operating Margin % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Royal Gold's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Royal Gold'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.
Royal Gold'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.
Royal Gold (FRA:RG3) has a Operating Margin % of 63.33% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Royal Gold and its competitors. This is 44% above median its historical median of 43.95. Over the past decade, Royal Gold's Operating Margin % has ranged from 28.74 to 64.50. According to the industry distribution chart, Royal Gold ranks #25 out of 841 companies in the Metals & Mining industry, placing it in the top 3%.
Is Royal Gold's Operating Margin % too high?
Royal Gold's current Operating Margin % of 63.33% is 44% above median its 10-year median of 43.95. Over the past 10 years, this metric has ranged from a low of 28.74 to a high of 64.50. The Metals & Mining industry median Operating Margin % is 5.72. Royal Gold's value of 63.33% is 1007.2% above this industry median. Based on the distribution chart, Royal Gold ranks #25 out of 841 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, Royal Gold has a GF Score™ of 91/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Royal Gold's Operating Margin % compare to CDE and AUGO?
According to the Metals & Mining industry distribution chart, Royal Gold ranks #25 out of 841 companies for Operating Margin %. This places Royal Gold in the top 3% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 5.72. Royal Gold's value of 63.33% is 1007.2% above this benchmark. Historically, Royal Gold's own Operating Margin % has ranged from 28.74 to 64.50 over the past decade. While the company's 10-year median is 43.95 vs. the industry median of 5.72, Royal Gold 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 Metals & Mining company?
The median Operating Margin % among Metals & Mining companies is 5.72, based on 841 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. Royal Gold's current Operating Margin % of 63.33% is 1007.2% 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 Royal Gold and its competitors. For the Metals & Mining industry, the median Operating Margin % is 5.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Royal Gold's current Operating Margin % is 63.33%, which is 44% above median its own 10-year median of 43.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Royal Gold stock overvalued right now?
Based on GuruFocus' analysis, Royal Gold (FRA:RG3) is currently considered Modestly Undervalued. The stock's GF Value™ is €238.64, compared to a current price of €181.30 — trading 24% below its estimated fair value. The current Operating Margin % is 63.33%, which is 44% above median its 10-year median of 43.95 and 1007.2% above the Metals & Mining industry median of 5.72. Royal Gold's overall GF Score™ is 91/100 with 2 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 Royal Gold (FRA:RG3), the current Operating Margin % is 63.33% 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 Royal Gold (FRA:RG3) Overvalued in 2026?
Based on GuruFocus' analysis, Royal Gold stock appears to be undervalued.
The current stock price of €181.30 is trading 24% below its estimated GF Value™ of €238.64.
GuruFocus considers Royal Gold to be Modestly Undervalued.
Key valuation signals for FRA:RG3:
Operating Margin %: 63.33% (44% above median its 10-year median of 43.95)
GF Value™: €238.64 vs. price of €181.30 (24% below fair value)
Industry Position: 1007.2% above the Metals & Mining median (#25 of 841)
No single metric tells the full story. See the FRA:RG3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Royal Gold Inc enquires and manages precious metal royalties and streams with a focus on gold. The company purchases a percentage of the metal produced from a mineral property for an initial payment without assuming responsibility for mining operations. Similarly, precious metal streams are purchase agreements with mine operators providing the right to purchase all or a portion of one or more metals produced from a mine in exchange for an upfront deposit payment. Generally, Royal Gold does not work on the properties in which it holds royalty and streaming assets. The company owns a portfolio of producing, development, evaluation, and exploration royalties and streams, and the majority of group revenue is generated from Canada, Mexico, Chile, and the United States.
91GF Score
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