Hudson TechnologiesHDSN -0.87%61 Operating Margin % is 2.43% as of Mar. 2026, which is 79% below its 10-year median of 11.57. GuruFocus rates HDSN with a GF Score™ of 61/100 and a GF Value™ of $8.49 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 1,584 Chemicals companies, Hudson Technologies ranks better than 53.41% 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.
Hudson Technologies Operating Margin % Related Terms
Hudson Technologies Operating Margin % Historical Data
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The historical data trend for Hudson Technologies'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.
HDSN vs CMT, MNTK, RLEA: Operating Margin % Comparison
For the Specialty Chemicals subindustry, Hudson Technologies'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.
Hudson Technologies Operating Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Hudson Technologies's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Hudson Technologies'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.
Hudson Technologies'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.
Hudson Technologies (HDSN) has a Operating Margin % of 2.43% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Hudson Technologies and its competitors. This is 79% below median its historical median of 11.57. According to the industry distribution chart, Hudson Technologies ranks #738 out of 1584 companies in the Chemicals industry, placing it in the top 46.6%.
Is Hudson Technologies' Operating Margin % too high?
Hudson Technologies' current Operating Margin % of 2.43% is 79% below median its 10-year median of 11.57. The Chemicals industry median Operating Margin % is 6.03. Hudson Technologies' value of 2.43% is 59.7% below this industry median. Based on the distribution chart, Hudson Technologies ranks #738 out of 1584 companies in the Chemicals industry, which is above the industry midpoint. Overall, Hudson Technologies has a GF Score™ of 61/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hudson Technologies' Operating Margin % compare to CMT and MNTK?
According to the Chemicals industry distribution chart, Hudson Technologies ranks #738 out of 1584 companies for Operating Margin %. This puts Hudson Technologies in the upper half of its industry. The industry median Operating Margin % is 6.03. Hudson Technologies' value of 2.43% is 59.7% below this benchmark. While the company's 10-year median is 11.57 vs. the industry median of 6.03, Hudson Technologies 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 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. Hudson Technologies's current Operating Margin % of 2.43% is 59.7% 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 Hudson Technologies 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. Hudson Technologies's current Operating Margin % is 2.43%, which is 79% below median its own 10-year median of 11.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hudson Technologies stock overvalued right now?
Based on GuruFocus' analysis, Hudson Technologies (HDSN) is currently considered Significantly Undervalued. The stock's GF Value™ is $8.49, compared to a current price of $5.73 — trading 32.5% below its estimated fair value. The current Operating Margin % is 2.43%, which is 79% below median its 10-year median of 11.57 and 59.7% below the Chemicals industry median of 6.03. Hudson Technologies' overall GF Score™ is 61/100 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 Hudson Technologies (HDSN), the current Operating Margin % is 2.43% 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 Hudson Technologies (HDSN) Overvalued in 2026?
Based on GuruFocus' analysis, Hudson Technologies stock appears to be undervalued.
The current stock price of $5.73 is trading 32.5% below its estimated GF Value™ of $8.49.
GuruFocus considers Hudson Technologies to be Significantly Undervalued.
Key valuation signals for HDSN:
Operating Margin %: 2.43% (79% below median its 10-year median of 11.57)
GF Value™: $8.49 vs. price of $5.73 (32.5% below fair value)
Industry Position: 59.7% below the Chemicals median (#738 of 1584)
No single metric tells the full story. See the HDSN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hudson Technologies Inc is a refrigerant services company providing solutions to recurring challenges within the refrigeration industry. The company delivers environmentally sustainable offerings, covering the sale of refrigerant gases, recovery, reclamation, and reuse, as well as improving equipment performance through energy efficiency services, emergency air conditioning and refrigeration system repairs, refrigerant disposal, and carbon credit trading. It operates through one reportable segment. Its products and services are used in commercial air conditioning, industrial processing, and refrigeration systems, and include refrigerant and industrial gas sales, refrigerant management services (mainly reclamation of refrigerants), and RefrigerantSide services performed at customer sites.
61GF Score
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