Karoon EnergyKRNGF 56 Operating Margin % is 58.46% as of Dec. 2025, which is 45% above its 10-year median of 40.22. GuruFocus rates KRNGF with a GF Score™ of 56/100 and a GF Value™ of $1.23 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 916 Oil & Gas companies, Karoon Energy ranks better than 81.44% on this metric.
Karoon Energy (OTCPK:KRNGF) Operating Margin % Explanation
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.
Karoon Energy Operating Margin % Related Terms
Karoon Energy Operating Margin % Historical Data
* Premium members only.
The historical data trend for Karoon Energy'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.
KRNGF vs COP, EOG, OXY: Operating Margin % Comparison
For the Oil & Gas E&P subindustry, Karoon Energy'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.
Karoon Energy Operating Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Karoon Energy's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Karoon Energy'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.
Karoon Energy'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.
Karoon Energy (KRNGF) has a Operating Margin % of 58.46% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Karoon Energy and its competitors. This is 45% above median its historical median of 40.22. Over the past decade, Karoon Energy's Operating Margin % has ranged from 23.36 to 55.75. According to the industry distribution chart, Karoon Energy ranks #170 out of 916 companies in the Oil & Gas industry, placing it in the top 18.6%.
Is Karoon Energy's Operating Margin % too high?
Karoon Energy's current Operating Margin % of 58.46% is 45% above median its 10-year median of 40.22. Over the past 10 years, this metric has ranged from a low of 23.36 to a high of 55.75. The Oil & Gas industry median Operating Margin % is 6.86. Karoon Energy's value of 58.46% is 752.2% above this industry median. Based on the distribution chart, Karoon Energy ranks #170 out of 916 companies in the Oil & Gas industry, which is in the top quartile — a strong position relative to peers. Overall, Karoon Energy has a GF Score™ of 56/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Karoon Energy's Operating Margin % compare to COP and EOG?
According to the Oil & Gas industry distribution chart, Karoon Energy ranks #170 out of 916 companies for Operating Margin %. This places Karoon Energy in the top 19% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 6.86. Karoon Energy's value of 58.46% is 752.2% above this benchmark. Historically, Karoon Energy's own Operating Margin % has ranged from 23.36 to 55.75 over the past decade. While the company's 10-year median is 40.22 vs. the industry median of 6.86, Karoon Energy 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 an Oil & Gas company?
The median Operating Margin % among Oil & Gas companies is 6.86, 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. Karoon Energy's current Operating Margin % of 58.46% is 752.2% 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 Karoon Energy and its competitors. For the Oil & Gas industry, the median Operating Margin % is 6.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Karoon Energy's current Operating Margin % is 58.46%, which is 45% above median its own 10-year median of 40.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Karoon Energy stock overvalued right now?
Based on GuruFocus' analysis, Karoon Energy (KRNGF) is currently considered Modestly Undervalued. The stock's GF Value™ is $1.23, compared to a current price of $1.02 — trading 17.1% below its estimated fair value. The current Operating Margin % is 58.46%, which is 45% above median its 10-year median of 40.22 and 752.2% above the Oil & Gas industry median of 6.86. Karoon Energy's overall GF Score™ is 56/100 with 2 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 Karoon Energy (KRNGF), the current Operating Margin % is 58.46% 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 Karoon Energy (KRNGF) Overvalued in 2026?
Based on GuruFocus' analysis, Karoon Energy stock appears to be undervalued.
The current stock price of $1.02 is trading 17.1% below its estimated GF Value™ of $1.23.
GuruFocus considers Karoon Energy to be Modestly Undervalued.
Key valuation signals for KRNGF:
Operating Margin %: 58.46% (45% above median its 10-year median of 40.22)
GF Value™: $1.23 vs. price of $1.02 (17.1% below fair value)
Industry Position: 752.2% above the Oil & Gas median (#170 of 916)
No single metric tells the full story. See the KRNGF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Karoon produces around 8 million barrels of oil equivalent annually from its wholly owned Baúna field in Brazil's offshore Santos Basin and around 3.5 mmboe from 30% owned Who Dat in the US Gulf. The company acquired Baúna from Petrobras in 2020 and steadily increased production via well interventions and new developments. Field life is approaching six years based on proven and probable reserves of 46 million barrels at the end of December 2025, though this excludes a further 140 million barrels in 2C contingent resources that have the potential to increase life further. We credit a life of more than 10 years, assuming conversion of some 2C contingent resources into the reserve category with drilling. There are also prospective untested targets within Karoon's permits.
56GF Score
Get the complete analysis for KRNGF
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
KRNGF has been successfully added to your 
