Growthpoint PropertiesJSE:GRT +1.14%54 Operating Margin % is 64.68% as of Dec. 2025, which is 5% below its 10-year median of 68.23. GuruFocus rates JSE:GRT with a GF Score™ of 54/100 and a GF Value™ of R8.72 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 749 REITs companies, Growthpoint Properties ranks better than 68.62% 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.
Growthpoint Properties Operating Margin % Related Terms
Growthpoint Properties Operating Margin % Historical Data
* Premium members only.
The historical data trend for Growthpoint Properties'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.
JSE:GRT vs VICI, WPC: Operating Margin % Comparison
For the REIT - Diversified subindustry, Growthpoint Properties'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.
Growthpoint Properties Operating Margin % vs REITs Industry
For the REITs industry and Real Estate sector, Growthpoint Properties's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Growthpoint Properties'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.
Growthpoint Properties'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.
Growthpoint Properties (JSE:GRT) has a Operating Margin % of 64.68% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Growthpoint Properties and its competitors. This is near median its historical median of 68.23. Over the past decade, Growthpoint Properties' Operating Margin % has ranged from 63.37 to 75.00. According to the industry distribution chart, Growthpoint Properties ranks #235 out of 749 companies in the REITs industry, placing it in the top 31.4%.
Is Growthpoint Properties' Operating Margin % too high?
Growthpoint Properties' current Operating Margin % of 64.68% is near median its 10-year median of 68.23. Over the past 10 years, this metric has ranged from a low of 63.37 to a high of 75.00. The REITs industry median Operating Margin % is 52.71. Growthpoint Properties' value of 64.68% is 22.7% above this industry median. Based on the distribution chart, Growthpoint Properties ranks #235 out of 749 companies in the REITs industry, which is above the industry midpoint. Overall, Growthpoint Properties has a GF Score™ of 54/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Growthpoint Properties' Operating Margin % compare to VICI and WPC?
According to the REITs industry distribution chart, Growthpoint Properties ranks #235 out of 749 companies for Operating Margin %. This puts Growthpoint Properties in the upper half of its industry. The industry median Operating Margin % is 52.71. Growthpoint Properties' value of 64.68% is 22.7% above this benchmark. Historically, Growthpoint Properties' own Operating Margin % has ranged from 63.37 to 75.00 over the past decade. While the company's 10-year median is 68.23 vs. the industry median of 52.71, Growthpoint Properties 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 REITs company?
The median Operating Margin % among REITs companies is 52.71, based on 749 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. Growthpoint Properties's current Operating Margin % of 64.68% is 22.7% 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 Growthpoint Properties and its competitors. For the REITs industry, the median Operating Margin % is 52.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Growthpoint Properties's current Operating Margin % is 64.68%, which is near median its own 10-year median of 68.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Growthpoint Properties stock overvalued right now?
Based on GuruFocus' analysis, Growthpoint Properties (JSE:GRT) is currently considered Significantly Overvalued. The stock's GF Value™ is R8.72, compared to a current price of R17.67 — trading 102.6% above its estimated fair value. The current Operating Margin % is 64.68%, which is near median its 10-year median of 68.23 and 22.7% above the REITs industry median of 52.71. Growthpoint Properties' overall GF Score™ is 54/100 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 Growthpoint Properties (JSE:GRT), the current Operating Margin % is 64.68% 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 Growthpoint Properties (JSE:GRT) Overvalued in 2026?
Based on GuruFocus' analysis, Growthpoint Properties stock appears to be overvalued.
The current stock price of R17.67 is trading 102.6% above its estimated GF Value™ of R8.72.
GuruFocus considers Growthpoint Properties to be Significantly Overvalued.
Key valuation signals for JSE:GRT:
Operating Margin %: 64.68% (near median its 10-year median of 68.23)
GF Value™: R8.72 vs. price of R17.67 (102.6% above fair value)
Industry Position: 22.7% above the REITs median (#235 of 749)
No single metric tells the full story. See the JSE:GRT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Growthpoint Properties Ltd is an international property company mainly engaged in owning and managing property assets in South Africa, Eastern Europe, Australia, and the UK. Its portfolio comprises various kinds of properties such as office parks, office warehouses, motor outlets, logistics and industrial parks, shopping centres, etc. The group's operating segments are Retail, Office, Logistics and Industrial, Trading and Development, V&A Waterfront, GHPH, GSAH, Lango, GOZ, and GWI. Maximum revenue is generated from its Retail segment, which includes income generated from a portfolio of properties, comprising shopping centres, with the balance being standalone, single-tenanted properties. It includes regional, community, neighbourhood, retail warehouses and speciality centres.
54GF Score
Get the complete analysis for JSE:GRT
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
JSE:GRT has been successfully added to your 
