PT Merdeka Battery Materials TbkISX:MBMA -0.40%49 Operating Margin % is 24.89% as of Mar. 2026, which is 355% above its 10-year median of 5.47. GuruFocus rates ISX:MBMA with a GF Score™ of 49/100 and a GF Value™ of Rp801.40 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 841 Metals & Mining companies, PT Merdeka Battery Materials Tbk ranks better than 66.94% 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 Merdeka Battery Materials Tbk Operating Margin % Related Terms
PT Merdeka Battery Materials Tbk Operating Margin % Historical Data
* 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.
ISX:MBMA vs HL, SIND: Operating Margin % Comparison
For the Other Precious Metals & Mining subindustry, PT Merdeka Battery Materials 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 Merdeka Battery Materials Tbk Operating Margin % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, PT Merdeka Battery Materials Tbk's Operating Margin % distribution charts can be found below:
* The bar in red indicates where PT Merdeka Battery Materials 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.
* 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 Merdeka Battery Materials Tbk (ISX:MBMA) has a Operating Margin % of 24.89% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on PT Merdeka Battery Materials Tbk and its competitors. This is 355% above median its historical median of 5.47. Over the past decade, PT Merdeka Battery Materials Tbk's Operating Margin % has ranged from 3.55 to 15.35. According to the industry distribution chart, PT Merdeka Battery Materials Tbk ranks #278 out of 841 companies in the Metals & Mining industry, placing it in the top 33.1%.
Is PT Merdeka Battery Materials Tbk's Operating Margin % too high?
PT Merdeka Battery Materials Tbk's current Operating Margin % of 24.89% is 355% above median its 10-year median of 5.47. Over the past 10 years, this metric has ranged from a low of 3.55 to a high of 15.35. The Metals & Mining industry median Operating Margin % is 5.79. PT Merdeka Battery Materials Tbk's value of 24.89% is 329.9% above this industry median. Based on the distribution chart, PT Merdeka Battery Materials Tbk ranks #278 out of 841 companies in the Metals & Mining industry, which is above the industry midpoint. Overall, PT Merdeka Battery Materials Tbk has a GF Score™ of 49/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does PT Merdeka Battery Materials Tbk's Operating Margin % compare to HL and SIND?
According to the Metals & Mining industry distribution chart, PT Merdeka Battery Materials Tbk ranks #278 out of 841 companies for Operating Margin %. This puts PT Merdeka Battery Materials Tbk in the upper half of its industry. The industry median Operating Margin % is 5.79. PT Merdeka Battery Materials Tbk's value of 24.89% is 329.9% above this benchmark. Historically, PT Merdeka Battery Materials Tbk's own Operating Margin % has ranged from 3.55 to 15.35 over the past decade. While the company's 10-year median is 5.47 vs. the industry median of 5.79, PT Merdeka Battery Materials 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 Metals & Mining company?
The median Operating Margin % among Metals & Mining companies is 5.79, 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. PT Merdeka Battery Materials Tbk's current Operating Margin % of 24.89% is 329.9% 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 Merdeka Battery Materials Tbk and its competitors. For the Metals & Mining industry, the median Operating Margin % is 5.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PT Merdeka Battery Materials Tbk's current Operating Margin % is 24.89%, which is 355% above median its own 10-year median of 5.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PT Merdeka Battery Materials Tbk stock overvalued right now?
Based on GuruFocus' analysis, PT Merdeka Battery Materials Tbk (ISX:MBMA) is currently considered Significantly Undervalued. The stock's GF Value™ is Rp801.40, compared to a current price of Rp494.00 — trading 38.4% below its estimated fair value. The current Operating Margin % is 24.89%, which is 355% above median its 10-year median of 5.47 and 329.9% above the Metals & Mining industry median of 5.79. PT Merdeka Battery Materials Tbk's overall GF Score™ is 49/100 with 5 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 Merdeka Battery Materials Tbk (ISX:MBMA), the current Operating Margin % is 24.89% 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 Merdeka Battery Materials Tbk (ISX:MBMA) Overvalued in 2026?
Based on GuruFocus' analysis, PT Merdeka Battery Materials Tbk stock appears to be undervalued.
The current stock price of Rp494.00 is trading 38.4% below its estimated GF Value™ of Rp801.40.
GuruFocus considers PT Merdeka Battery Materials Tbk to be Significantly Undervalued.
Key valuation signals for ISX:MBMA:
Operating Margin %: 24.89% (355% above median its 10-year median of 5.47)
GF Value™: Rp801.40 vs. price of Rp494.00 (38.4% below fair value)
Industry Position: 329.9% above the Metals & Mining median (#278 of 841)
No single metric tells the full story. See the ISX:MBMA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PT Merdeka Battery Materials Tbk Business Description
PT Merdeka Battery Materials Tbk is an integrated battery materials and nickel processing company focused on the electric vehicle (EV) battery value chain in Indonesia. The company engages in nickel mining, smelting, and downstream battery material processing activities. Its business operations include the SCM Mine, RKEF smelters, Nickel Matte operations, AIM Project, IKIP industrial area development, and HPAL projects. The company operates through Mining, Manufacturing, and Other segments, with the majority of revenue generated from the Manufacturing segment.
49GF Score
Get the complete analysis for ISX:MBMA
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
ISX:MBMA has been successfully added to your 
