Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Kimbell Royalty Partners LPKRP +0.86%75 Operating Margin % is 50.36% as of Jun. 2026, which is 56% above its 10-year median of 32.34. GuruFocus rates KRP with a GF Score™ of 75/100 and a GF Value™ of $15.98 (Fairly Valued). The stock has 6 warning signs investors should review. Among 926 Oil & Gas companies, Kimbell Royalty Partners LP ranks better than 90.5% 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.
Kimbell Royalty Partners LP Operating Margin % Related Terms
Kimbell Royalty Partners LP 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.
KRP vs KOS, DMLP, TBN: Operating Margin % Comparison
For the Oil & Gas E&P subindustry, Kimbell Royalty Partners LP'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.
Kimbell Royalty Partners LP Operating Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Kimbell Royalty Partners LP's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Kimbell Royalty Partners LP'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.
Kimbell Royalty Partners LP'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.
Kimbell Royalty Partners LP (KRP) has a Operating Margin % of 50.36% as of Jun. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Kimbell Royalty Partners LP and its competitors. This is 56% above median its historical median of 32.34. According to the industry distribution chart, Kimbell Royalty Partners LP ranks #88 out of 926 companies in the Oil & Gas industry, placing it in the top 9.5%.
Is Kimbell Royalty Partners LP's Operating Margin % too high?
Kimbell Royalty Partners LP's current Operating Margin % of 50.36% is 56% above median its 10-year median of 32.34. The Oil & Gas industry median Operating Margin % is 7.63. Kimbell Royalty Partners LP's value of 50.36% is 560% above this industry median. Based on the distribution chart, Kimbell Royalty Partners LP ranks #88 out of 926 companies in the Oil & Gas industry, which is in the top quartile — a strong position relative to peers. Overall, Kimbell Royalty Partners LP has a GF Score™ of 75/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kimbell Royalty Partners LP's Operating Margin % compare to KOS and DMLP?
According to the Oil & Gas industry distribution chart, Kimbell Royalty Partners LP ranks #88 out of 926 companies for Operating Margin %. This places Kimbell Royalty Partners LP in the top 10% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 7.63. Kimbell Royalty Partners LP's value of 50.36% is 560% above this benchmark. While the company's 10-year median is 32.34 vs. the industry median of 7.63, Kimbell Royalty Partners LP 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 7.63, based on 926 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. Kimbell Royalty Partners LP's current Operating Margin % of 50.36% is 560% 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 Kimbell Royalty Partners LP and its competitors. For the Oil & Gas industry, the median Operating Margin % is 7.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kimbell Royalty Partners LP's current Operating Margin % is 50.36%, which is 56% above median its own 10-year median of 32.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kimbell Royalty Partners LP stock overvalued right now?
Based on GuruFocus' analysis, Kimbell Royalty Partners LP (KRP) is currently considered Fairly Valued. The stock's GF Value™ is $15.98, compared to a current price of $15.17 — trading 5.1% below its estimated fair value. The current Operating Margin % is 50.36%, which is 56% above median its 10-year median of 32.34 and 560% above the Oil & Gas industry median of 7.63. Kimbell Royalty Partners LP's overall GF Score™ is 75/100 with 6 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 Kimbell Royalty Partners LP (KRP), the current Operating Margin % is 50.36% as of Jun. 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 Kimbell Royalty Partners LP (KRP) Overvalued in 2026?
Based on GuruFocus' analysis, Kimbell Royalty Partners LP stock appears to be undervalued.
The current stock price of $15.17 is trading 5.1% below its estimated GF Value™ of $15.98.
GuruFocus considers Kimbell Royalty Partners LP to be Fairly Valued.
Key valuation signals for KRP:
Operating Margin %: 50.36% (56% above median its 10-year median of 32.34)
GF Value™: $15.98 vs. price of $15.17 (5.1% below fair value)
Industry Position: 560% above the Oil & Gas median (#88 of 926)
No single metric tells the full story. See the KRP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kimbell Royalty Partners LP owns and acquires mineral and royalty interests in oil and natural gas properties throughout the United States. The company's basins and producing regions include areas of interest in the Permian Basin, Mid-Continent, Terryville/Cotton Valley/Haynesville, Appalachian Basin, Eagle Ford, Bakken/Williston Basin, and DJ Basin/Rockies/Niobrara. Its revenues are derived from royalty payments received from operators based on the sale of oil, natural gas and NGL production, as well as the sale of NGLs that are extracted from natural gas during processing.
75GF Score
Get the complete analysis for KRP
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
KRP has been successfully added to your 
