Aspen Pharmacare HoldingsJSE:APN +0.26%73 Operating Margin % is 10.66% as of Dec. 2025, which is 55% below its 10-year median of 23.52. GuruFocus rates JSE:APN with a GF Score™ of 73/100 and a GF Value™ of R178.18 (Modestly Undervalued). The stock has 10 warning signs investors should review. Among 955 Drug Manufacturers companies, Aspen Pharmacare Holdings ranks better than 78.01% 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.
Aspen Pharmacare Holdings Operating Margin % Related Terms
Aspen Pharmacare Holdings 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.
JSE:APN vs ZTS, UTHR, VTRS: Operating Margin % Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Aspen Pharmacare Holdings'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.
Aspen Pharmacare Holdings Operating Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Aspen Pharmacare Holdings's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Aspen Pharmacare Holdings'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.
Aspen Pharmacare Holdings'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.
Aspen Pharmacare Holdings (JSE:APN) has a Operating Margin % of 10.66% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Aspen Pharmacare Holdings and its competitors. This is 55% below median its historical median of 23.52. Over the past decade, Aspen Pharmacare Holdings' Operating Margin % has ranged from 18.02 to 28.65. According to the industry distribution chart, Aspen Pharmacare Holdings ranks #210 out of 955 companies in the Drug Manufacturers industry, placing it in the top 22%.
Is Aspen Pharmacare Holdings' Operating Margin % too high?
Aspen Pharmacare Holdings' current Operating Margin % of 10.66% is 55% below median its 10-year median of 23.52. Over the past 10 years, this metric has ranged from a low of 18.02 to a high of 28.65. The Drug Manufacturers industry median Operating Margin % is 7.45. Aspen Pharmacare Holdings' value of 10.66% is 43.1% above this industry median. Based on the distribution chart, Aspen Pharmacare Holdings ranks #210 out of 955 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Aspen Pharmacare Holdings has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Aspen Pharmacare Holdings' Operating Margin % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Aspen Pharmacare Holdings ranks #210 out of 955 companies for Operating Margin %. This places Aspen Pharmacare Holdings in the top 22% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 7.45. Aspen Pharmacare Holdings' value of 10.66% is 43.1% above this benchmark. Historically, Aspen Pharmacare Holdings' own Operating Margin % has ranged from 18.02 to 28.65 over the past decade. While the company's 10-year median is 23.52 vs. the industry median of 7.45, Aspen Pharmacare Holdings 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 Drug Manufacturers company?
The median Operating Margin % among Drug Manufacturers companies is 7.45, based on 955 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. Aspen Pharmacare Holdings's current Operating Margin % of 10.66% is 43.1% 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 Aspen Pharmacare Holdings and its competitors. For the Drug Manufacturers industry, the median Operating Margin % is 7.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aspen Pharmacare Holdings's current Operating Margin % is 10.66%, which is 55% below median its own 10-year median of 23.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aspen Pharmacare Holdings stock overvalued right now?
Based on GuruFocus' analysis, Aspen Pharmacare Holdings (JSE:APN) is currently considered Modestly Undervalued. The stock's GF Value™ is R178.18, compared to a current price of R151.70 — trading 14.9% below its estimated fair value. The current Operating Margin % is 10.66%, which is 55% below median its 10-year median of 23.52 and 43.1% above the Drug Manufacturers industry median of 7.45. Aspen Pharmacare Holdings' overall GF Score™ is 73/100 with 10 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 Aspen Pharmacare Holdings (JSE:APN), the current Operating Margin % is 10.66% 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 Aspen Pharmacare Holdings (JSE:APN) Overvalued in 2026?
Based on GuruFocus' analysis, Aspen Pharmacare Holdings stock appears to be undervalued.
The current stock price of R151.70 is trading 14.9% below its estimated GF Value™ of R178.18.
GuruFocus considers Aspen Pharmacare Holdings to be Modestly Undervalued.
Key valuation signals for JSE:APN:
Operating Margin %: 10.66% (55% below median its 10-year median of 23.52)
GF Value™: R178.18 vs. price of R151.70 (14.9% below fair value)
Industry Position: 43.1% above the Drug Manufacturers median (#210 of 955)
No single metric tells the full story. See the JSE:APN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Aspen Pharmacare Holdings Ltd is a multinational pharmaceutical company. The group focuses on marketing and manufacturing a broad range of post-patent, branded medicines and domestic brands covering both hospital and consumer markets. The business segments of the group are split between the Commercial Pharmaceuticals and Manufacturing segments. The Commercial Pharmaceuticals business segments are: Injectables, Over-the-counter, and Prescription. The Manufacturing business segments are: Active Pharmaceutical Ingredients, Finished Dose Form, and Heparin. Its geographic regions are Africa Middle East, Europe CIS, Australasia, Asia, and America.
73GF Score
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