SasolFRA:SAOA +5.40%65 Operating Margin % is 9.79% as of Dec. 2025, which is 40% below its 10-year median of 16.45. GuruFocus rates FRA:SAOA with a GF Score™ of 65/100 and a GF Value™ of €7.36 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,584 Chemicals companies, Sasol ranks better than 78.03% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Sasol's Operating Income for the
six
months ended in Dec. 2025 was €608 Mil. Sasol's Revenue for the
six
months ended in Dec. 2025 was €6,209 Mil. Therefore, Sasol's Operating Margin % for the quarter that ended in Dec. 2025 was 9.79%.
Good Sign:
Sasol Ltd operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Sasol's Operating Margin % or its related term are showing as below:
FRA:SAOA'
s Operating Margin % Range Over the Past 10 Years
Min: 7.32 Med: 16.45 Max: 24.2
Current: 13.23
FRA:SAOA's Operating Margin % is ranked better than 78.03% of 1584
companies
in the Chemicals industry
Industry Median: 6.025
vs FRA:SAOA: 13.23
Sasol's 5-Year Average Operating Margin % Growth Rate was 5.60% per year.
Sasol's Operating Income for the
six
months ended in Dec. 2025 was €608 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was €1,630 Mil.
Sasol (FRA:SAOA) 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.
Sasol Operating Margin % Related Terms
Sasol Operating Margin % Historical Data
* Premium members only.
The historical data trend for Sasol'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:SAOA vs LIN, SHW, ECL: Operating Margin % Comparison
For the Specialty Chemicals subindustry, Sasol'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.
Sasol Operating Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Sasol's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Sasol'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.
Sasol's Operating Margin % for the fiscal year that ended in Jun. 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.
Sasol (FRA:SAOA) has a Operating Margin % of 9.79% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Sasol and its competitors. This is 40% below median its historical median of 16.45. Over the past decade, Sasol's Operating Margin % has ranged from 7.32 to 24.20. According to the industry distribution chart, Sasol ranks #348 out of 1584 companies in the Chemicals industry, placing it in the top 22%.
Is Sasol's Operating Margin % too high?
Sasol's current Operating Margin % of 9.79% is 40% below median its 10-year median of 16.45. Over the past 10 years, this metric has ranged from a low of 7.32 to a high of 24.20. The Chemicals industry median Operating Margin % is 6.03. Sasol's value of 9.79% is 62.5% above this industry median. Based on the distribution chart, Sasol ranks #348 out of 1584 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Sasol has a GF Score™ of 65/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sasol's Operating Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Sasol ranks #348 out of 1584 companies for Operating Margin %. This places Sasol in the top 22% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 6.03. Sasol's value of 9.79% is 62.5% above this benchmark. Historically, Sasol's own Operating Margin % has ranged from 7.32 to 24.20 over the past decade. While the company's 10-year median is 16.45 vs. the industry median of 6.03, Sasol 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 Chemicals company?
The median Operating Margin % among Chemicals companies is 6.03, based on 1,584 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. Sasol's current Operating Margin % of 9.79% is 62.5% 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 Sasol and its competitors. For the Chemicals industry, the median Operating Margin % is 6.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sasol's current Operating Margin % is 9.79%, which is 40% below median its own 10-year median of 16.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sasol stock overvalued right now?
Based on GuruFocus' analysis, Sasol (FRA:SAOA) is currently considered Significantly Overvalued. The stock's GF Value™ is €7.36, compared to a current price of €9.76 — trading 32.6% above its estimated fair value. The current Operating Margin % is 9.79%, which is 40% below median its 10-year median of 16.45 and 62.5% above the Chemicals industry median of 6.03. Sasol's overall GF Score™ is 65/100 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 Sasol (FRA:SAOA), the current Operating Margin % is 9.79% 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 Sasol (FRA:SAOA) Overvalued in 2026?
Based on GuruFocus' analysis, Sasol stock appears to be overvalued.
The current stock price of €9.76 is trading 32.6% above its estimated GF Value™ of €7.36.
GuruFocus considers Sasol to be Significantly Overvalued.
Key valuation signals for FRA:SAOA:
Operating Margin %: 9.79% (40% below median its 10-year median of 16.45)
GF Value™: €7.36 vs. price of €9.76 (32.6% above fair value)
Industry Position: 62.5% above the Chemicals median (#348 of 1584)
No single metric tells the full story. See the FRA:SAOA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sasol Ltd operates as a vertically integrated chemicals and energy company through its two main businesses: the Southern Africa Energy & Chemicals business and the International Chemical business. It generates maximum revenue from the Southern Africa Energy & Chemicals business, which operates integrated value chains with feedstock sourced from the Mining and Gas operating segments. Geographically, the company generates the majority of its revenue from South Africa.
65GF Score
Get the complete analysis for FRA:SAOA
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:SAOA has been successfully added to your 
