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Operating Margin % is calculated as Operating Income divided by its Revenue. CHK Oil's Operating Income for the
six
months ended in Dec. 2025 was HK$-14.70 Mil. CHK Oil's Revenue for the
six
months ended in Dec. 2025 was HK$20.41 Mil. Therefore, CHK Oil's Operating Margin % for the quarter that ended in Dec. 2025 was -72.02%.
The historical rank and industry rank for CHK Oil's Operating Margin % or its related term are showing as below:
HKSE:00632'
s Operating Margin % Range Over the Past 10 Years
Min: -3234.56 Med: -21.17 Max: 5.04
Current: -46.53
HKSE:00632's Operating Margin % is ranked worse than 88.1% of 916
companies
in the Oil & Gas industry
Industry Median: 6.905
vs HKSE:00632: -46.53
CHK Oil's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
CHK Oil's Operating Income for the
six
months ended in Dec. 2025 was HK$-14.70 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was HK$-27.36 Mil.
Warning Sign:
CHK Oil Ltd has never been profitable in the past 3 years. It lost money every year.
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.
CHK Oil Operating Margin % Related Terms
CHK Oil Operating Margin % Historical Data
* Premium members only.
The historical data trend for CHK Oil'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.
HKSE:00632 vs COP, EOG, FANG: Operating Margin % Comparison
For the Oil & Gas E&P subindustry, CHK Oil'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.
CHK Oil Operating Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, CHK Oil's Operating Margin % distribution charts can be found below:
* The bar in red indicates where CHK Oil'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.
CHK Oil'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.
CHK Oil (HKSE:00632) has a Operating Margin % of -72.02% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on CHK Oil and its competitors. According to the industry distribution chart, CHK Oil ranks #807 out of 916 companies in the Oil & Gas industry, placing it in the top 88.1%.
Is CHK Oil's Operating Margin % too high?
CHK Oil's current Operating Margin % is -72.02%. Based on the distribution chart, CHK Oil ranks #807 out of 916 companies in the Oil & Gas industry, which is in the bottom quartile relative to peers. Overall, CHK Oil has a GF Score™ of 32/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does CHK Oil's Operating Margin % compare to COP and EOG?
According to the Oil & Gas industry distribution chart, CHK Oil ranks #807 out of 916 companies for Operating Margin %. This places CHK Oil in the lower half of its industry. The industry median Operating Margin % is 6.91. 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 an Oil & Gas company?
The median Operating Margin % among Oil & Gas companies is 6.91, based on 916 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. 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 CHK Oil and its competitors. For the Oil & Gas industry, the median Operating Margin % is 6.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CHK Oil's current Operating Margin % is -72.02%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CHK Oil stock overvalued right now?
Based on GuruFocus' analysis, CHK Oil (HKSE:00632) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$0.11, compared to a current price of HK$0.19 — trading 74.5% above its estimated fair value. The current Operating Margin % is -72.02%. CHK Oil's overall GF Score™ is 32/100 with 8 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 CHK Oil (HKSE:00632), the current Operating Margin % is -72.02% 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 CHK Oil (HKSE:00632) Overvalued in 2026?
Based on GuruFocus' analysis, CHK Oil stock appears to be overvalued.
The current stock price of HK$0.19 is trading 74.5% above its estimated GF Value™ of HK$0.11.
GuruFocus considers CHK Oil to be Significantly Overvalued.
Key valuation signals for HKSE:00632:
Operating Margin %: -72.02%
GF Value™: HK$0.11 vs. price of HK$0.19 (74.5% above fair value)
No single metric tells the full story. See the HKSE:00632 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
CHK Oil Ltd is an investment holding company. Along with its subsidiaries, it is engaged in the exploration, development, production, and sales of natural gas and oil through the exploitation of its wholly owned interest in the Utah Gas and Oil Field project in the United States. Additionally, the Group is also involved in the local trade of oil and oil-related products such as crude oil, fuel oil, lubricants, and other oil-related products within China. Its operating segments are: trading of oil and oil-related and other products, which derive maximum revenue; and oil and gas sales. Geographically, the Group generates maximum revenue from the People's Republic of China, followed by the United States of America and Hong Kong.
32GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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