Kuwait Co for Process Plant Construction & Contracting KPSC operating margin has been in a 5-year decline. The average rate of decline per year is -16.7%.
Kuwait Co for Process Plant Constructionntracting KPSC (KUW:KCPC) 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.
Kuwait Co for Process Plant Constructionntracting KPSC Operating Margin % Related Terms
Kuwait Co for Process Plant Constructionntracting KPSC 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.
Kuwait Co for Process Plant Constructionntracting KPSC Operating Margin % Chart
Kuwait Co for Process Plant Constructionntracting KPSC Annual Data
* 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.
Kuwait Co for Process Plant Constructionntracting KPSC Operating Margin % vs Construction Industry
Kuwait Co for Process Plant Constructionntracting KPSC Operating Margin % Calculation
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.
Kuwait Co for Process Plant Constructionntracting KPSC (KUW:KCPC) has a Operating Margin % of 1.13% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Kuwait Co for Process Plant Constructionntracting KPSC and its competitors. This is 81% below median its historical median of 5.82. Over the past decade, Kuwait Co for Process Plant Constructionntracting KPSC's Operating Margin % has ranged from 3.24 to 16.91. According to the industry distribution chart, Kuwait Co for Process Plant Constructionntracting KPSC ranks #1061 out of 1767 companies in the Construction industry, placing it in the top 60%.
Is Kuwait Co for Process Plant Constructionntracting KPSC's Operating Margin % too high?
Kuwait Co for Process Plant Constructionntracting KPSC's current Operating Margin % of 1.13% is 81% below median its 10-year median of 5.82. Over the past 10 years, this metric has ranged from a low of 3.24 to a high of 16.91. The Construction industry median Operating Margin % is 5.89. Kuwait Co for Process Plant Constructionntracting KPSC's value of 1.13% is 80.8% below this industry median. Based on the distribution chart, Kuwait Co for Process Plant Constructionntracting KPSC ranks #1061 out of 1767 companies in the Construction industry, which is below the industry midpoint. Overall, Kuwait Co for Process Plant Constructionntracting KPSC has a GF Score™ of 41/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Kuwait Co for Process Plant Constructionntracting KPSC's Operating Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, Kuwait Co for Process Plant Constructionntracting KPSC ranks #1061 out of 1767 companies for Operating Margin %. This places Kuwait Co for Process Plant Constructionntracting KPSC in the lower half of its industry. The industry median Operating Margin % is 5.89. Kuwait Co for Process Plant Constructionntracting KPSC's value of 1.13% is 80.8% below this benchmark. Historically, Kuwait Co for Process Plant Constructionntracting KPSC's own Operating Margin % has ranged from 3.24 to 16.91 over the past decade. While the company's 10-year median is 5.82 vs. the industry median of 5.89, Kuwait Co for Process Plant Constructionntracting KPSC has consistently been below 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 Construction company?
The median Operating Margin % among Construction companies is 5.89, based on 1,767 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. Kuwait Co for Process Plant Constructionntracting KPSC's current Operating Margin % of 1.13% is 80.8% below 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 Kuwait Co for Process Plant Constructionntracting KPSC and its competitors. For the Construction industry, the median Operating Margin % is 5.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kuwait Co for Process Plant Constructionntracting KPSC's current Operating Margin % is 1.13%, which is 81% below median its own 10-year median of 5.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kuwait Co for Process Plant Constructionntracting KPSC stock overvalued right now?
Based on GuruFocus' analysis, Kuwait Co for Process Plant Constructionntracting KPSC (KUW:KCPC) is currently considered Modestly Undervalued. The stock's GF Value™ is KWD0.38, compared to a current price of KWD0.32 — trading 15.3% below its estimated fair value. The current Operating Margin % is 1.13%, which is 81% below median its 10-year median of 5.82 and 80.8% below the Construction industry median of 5.89. Kuwait Co for Process Plant Constructionntracting KPSC's overall GF Score™ is 41/100 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 Kuwait Co for Process Plant Constructionntracting KPSC (KUW:KCPC), the current Operating Margin % is 1.13% 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 Kuwait Co for Process Plant Constructionntracting KPSC (KUW:KCPC) Overvalued in 2026?
Based on GuruFocus' analysis, Kuwait Co for Process Plant Constructionntracting KPSC stock appears to be undervalued.
The current stock price of KWD0.32 is trading 15.3% below its estimated GF Value™ of KWD0.38.
GuruFocus considers Kuwait Co for Process Plant Constructionntracting KPSC to be Modestly Undervalued.
Key valuation signals for KUW:KCPC:
Operating Margin %: 1.13% (81% below median its 10-year median of 5.82)
GF Value™: KWD0.38 vs. price of KWD0.32 (15.3% below fair value)
Industry Position: 80.8% below the Construction median (#1061 of 1767)
No single metric tells the full story. See the KUW:KCPC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kuwait Co for Process Plant Constructionntracting KPSC Business Description
Kuwait Co for Process Plant Construction & Contracting KPSC is engaged in building, civil construction, and infrastructure development activities. Its services comprise Civil Engineering, Road and Infrastructure, Specialty Projects, Electrical Engineering, Engineering Products, Water Facilities, Building Transport Systems, Scaffolding & Equipment Rentals, and Marble & Natural Stone Products and Services. It operates in three segments: Construction, installation, and maintenance; Hotels; and Investment of surplus funds, of which all of its revenue comes from the Construction segment. The company's geographical segments are Kuwait, the United Arab Emirates, Oman, and Lebanon.
41GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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