PT Alkindo Naratama TbkISX:ALDO 71 Operating Margin % is 5.83% as of Mar. 2026, which is 18% below its 10-year median of 7.14. GuruFocus rates ISX:ALDO with a GF Score™ of 71/100 and a GF Value™ of Rp589.08 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 283 Forest Products companies, PT Alkindo Naratama Tbk ranks better than 69.61% 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.
PT Alkindo Naratama Tbk Operating Margin % Related Terms
PT Alkindo Naratama Tbk Operating Margin % Historical Data
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The historical data trend for PT Alkindo Naratama Tbk'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.
For the Paper & Paper Products subindustry, PT Alkindo Naratama Tbk'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.
PT Alkindo Naratama Tbk Operating Margin % vs Forest Products Industry
For the Forest Products industry and Basic Materials sector, PT Alkindo Naratama Tbk's Operating Margin % distribution charts can be found below:
* The bar in red indicates where PT Alkindo Naratama Tbk'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.
PT Alkindo Naratama Tbk'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.
PT Alkindo Naratama Tbk (ISX:ALDO) has a Operating Margin % of 5.83% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on PT Alkindo Naratama Tbk and its competitors. This is 18% below median its historical median of 7.14. Over the past decade, PT Alkindo Naratama Tbk's Operating Margin % has ranged from 2.50 to 13.05. According to the industry distribution chart, PT Alkindo Naratama Tbk ranks #86 out of 283 companies in the Forest Products industry, placing it in the top 30.4%.
Is PT Alkindo Naratama Tbk's Operating Margin % too high?
PT Alkindo Naratama Tbk's current Operating Margin % of 5.83% is 18% below median its 10-year median of 7.14. Over the past 10 years, this metric has ranged from a low of 2.50 to a high of 13.05. The Forest Products industry median Operating Margin % is 2.60. PT Alkindo Naratama Tbk's value of 5.83% is 124.2% above this industry median. Based on the distribution chart, PT Alkindo Naratama Tbk ranks #86 out of 283 companies in the Forest Products industry, which is above the industry midpoint. Overall, PT Alkindo Naratama Tbk has a GF Score™ of 71/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does PT Alkindo Naratama Tbk's Operating Margin % compare to SLVM?
According to the Forest Products industry distribution chart, PT Alkindo Naratama Tbk ranks #86 out of 283 companies for Operating Margin %. This puts PT Alkindo Naratama Tbk in the upper half of its industry. The industry median Operating Margin % is 2.60. PT Alkindo Naratama Tbk's value of 5.83% is 124.2% above this benchmark. Historically, PT Alkindo Naratama Tbk's own Operating Margin % has ranged from 2.50 to 13.05 over the past decade. While the company's 10-year median is 7.14 vs. the industry median of 2.60, PT Alkindo Naratama Tbk 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 Forest Products company?
The median Operating Margin % among Forest Products companies is 2.60, based on 283 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. PT Alkindo Naratama Tbk's current Operating Margin % of 5.83% is 124.2% 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 PT Alkindo Naratama Tbk and its competitors. For the Forest Products industry, the median Operating Margin % is 2.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PT Alkindo Naratama Tbk's current Operating Margin % is 5.83%, which is 18% below median its own 10-year median of 7.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PT Alkindo Naratama Tbk stock overvalued right now?
Based on GuruFocus' analysis, PT Alkindo Naratama Tbk (ISX:ALDO) is currently considered Modestly Overvalued. The stock's GF Value™ is Rp589.08, compared to a current price of Rp700.00 — trading 18.8% above its estimated fair value. The current Operating Margin % is 5.83%, which is 18% below median its 10-year median of 7.14 and 124.2% above the Forest Products industry median of 2.60. PT Alkindo Naratama Tbk's overall GF Score™ is 71/100 with 7 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 PT Alkindo Naratama Tbk (ISX:ALDO), the current Operating Margin % is 5.83% 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 PT Alkindo Naratama Tbk (ISX:ALDO) Overvalued in 2026?
Based on GuruFocus' analysis, PT Alkindo Naratama Tbk stock appears to be overvalued.
The current stock price of Rp700.00 is trading 18.8% above its estimated GF Value™ of Rp589.08.
GuruFocus considers PT Alkindo Naratama Tbk to be Modestly Overvalued.
Key valuation signals for ISX:ALDO:
Operating Margin %: 5.83% (18% below median its 10-year median of 7.14)
GF Value™: Rp589.08 vs. price of Rp700.00 (18.8% above fair value)
Industry Position: 124.2% above the Forest Products median (#86 of 283)
No single metric tells the full story. See the ISX:ALDO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PT Alkindo Naratama Tbk is an Indonesian business group engaged in providing solutions in the field of integrated paper production and chemicals. It converts waste paper into various paper packaging products such as papercore, paperbox, paperbag, papercup, paperbowl, hexa wrap, etc. Additionally, it offers industrial paper solutions by recycling used cardboard into jumbo rolls of brown paper into products such as Kraft Liner, Eco Board, and Core Board. In the Chemicals business, the Group offers water-based polymers, textile dyes, and other chemicals under brands and trademarks like Alfachem, Alfabond, Alfacoat, and Archroma. The Group's operating business segments are: Paper, which generates the maximum revenue, and Chemicals and others.
71GF Score
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