LPP (LPPSY) Operating Margin %: 13.40% (As of Apr. 2026) — 34% Above Median


LPPSY LPP SA LPPSY
98 GF Score
Price $20.41
GF Value $22.99
! 1 Warning Sign
View Full Analysis

What is LPP Operating Margin %?

LPP LPPSY +0.84% 98 Operating Margin % is 13.40% as of Apr. 2026, which is 34% above its 10-year median of 9.97. GuruFocus rates LPPSY with a GF Score™ of 98/100 and a GF Value™ of $22.99. The stock has 1 warning sign investors should review. Among 1,042 Manufacturing - Apparel & Accessories companies, LPP ranks better than 91.36% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. LPP's Operating Income for the three months ended in Apr. 2026 was $199 Mil. LPP's Revenue for the three months ended in Apr. 2026 was $1,489 Mil. Therefore, LPP's Operating Margin % for the quarter that ended in Apr. 2026 was 13.40%.

Good Sign:

LPP SA operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for LPP's Operating Margin % or its related term are showing as below:

LPPSY' s Operating Margin % Range Over the Past 10 Years
Min: 2.81   Med: 9.97   Max: 17.07
Current: 17.07


LPPSY's Operating Margin % is ranked better than
91.36% of 1042 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 4.085 vs LPPSY: 17.07

LPP's 5-Year Average Operating Margin % Growth Rate was 16.60% per year.

LPP's Operating Income for the three months ended in Apr. 2026 was $199 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Apr. 2026 was $1,098 Mil.


LPP  (OTCPK:LPPSY) 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 Nokia’s 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.


LPP Operating Margin % Related Terms


LPP Operating Margin % Historical Data

* Premium members only.

The historical data trend for LPP'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.

LPP Operating Margin % Chart

LPP Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.81 12.99 8.19 13.91 12.27

LPP Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.97 20.08 19.31 15.46 13.40

LPPSY vs RL, LEVI, VFC: Operating Margin % Comparison

For the Apparel Manufacturing subindustry, LPP'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.


LPP Operating Margin % vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, LPP's Operating Margin % distribution charts can be found below:

* The bar in red indicates where LPP's Operating Margin % falls into.


LPPSY
98GF Score
LPP SA LPPSY
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

LPP 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.

LPP's Operating Margin % for the fiscal year that ended in Jan. 2025 is calculated as

Operating Margin %=Operating Income (A: Jan. 2025 ) / Revenue (A: Jan. 2025 )
=674.083 / 5495.534
=12.27 %

LPP's Operating Margin % for the quarter that ended in Apr. 2026 is calculated as

Operating Margin %=Operating Income (Q: Apr. 2026 ) / Revenue (Q: Apr. 2026 )
=199.476 / 1489.134
=13.40 %

* 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.

Frequently Asked Questions Learn more about Operating Margin % →
What does a Operating Margin % of 13.40% mean?
LPP (LPPSY) has a Operating Margin % of 13.40% as of Apr. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on LPP and its competitors. This is 34% above median its historical median of 9.97. Over the past decade, LPP's Operating Margin % has ranged from 2.81 to 17.07. According to the industry distribution chart, LPP ranks #90 out of 1042 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 8.6%.
Is LPP's Operating Margin % too high?
LPP's current Operating Margin % of 13.40% is 34% above median its 10-year median of 9.97. Over the past 10 years, this metric has ranged from a low of 2.81 to a high of 17.07. The Manufacturing - Apparel & Accessories industry median Operating Margin % is 4.09. LPP's value of 13.40% is 228% above this industry median. Based on the distribution chart, LPP ranks #90 out of 1042 companies in the Manufacturing - Apparel & Accessories industry, which is in the top quartile — a strong position relative to peers. Overall, LPP has a GF Score™ of 98/100, reflecting its overall financial health beyond just this single metric.
How does LPP's Operating Margin % compare to RL and LEVI?
According to the Manufacturing - Apparel & Accessories industry distribution chart, LPP ranks #90 out of 1042 companies for Operating Margin %. This places LPP in the top 9% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 4.09. LPP's value of 13.40% is 228% above this benchmark. Historically, LPP's own Operating Margin % has ranged from 2.81 to 17.07 over the past decade. While the company's 10-year median is 9.97 vs. the industry median of 4.09, LPP 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 Manufacturing - Apparel & Accessories company?
The median Operating Margin % among Manufacturing - Apparel & Accessories companies is 4.09, based on 1,042 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. LPP's current Operating Margin % of 13.40% is 228% 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 LPP and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Operating Margin % is 4.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LPP's current Operating Margin % is 13.40%, which is 34% above median its own 10-year median of 9.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LPP stock overvalued right now?
LPP (LPPSY) has a current Operating Margin % of 13.40%. The stock's GF Value™ is $22.99, compared to a current price of $20.41 — trading 11.2% below its estimated fair value. The current Operating Margin % is 13.40%, which is 34% above median its 10-year median of 9.97 and 228% above the Manufacturing - Apparel & Accessories industry median of 4.09. LPP's overall GF Score™ is 98/100 with 1 warning sign 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 LPP (LPPSY), the current Operating Margin % is 13.40% as of Apr. 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 LPP (LPPSY) Overvalued in 2026?

Based on GuruFocus' analysis, LPP stock appears to be undervalued. The current stock price of $20.41 is trading 11.2% below its estimated GF Value™ of $22.99.

Key valuation signals for LPPSY:

  • Operating Margin %: 13.40% (34% above median its 10-year median of 9.97)
  • GF Value™: $22.99 vs. price of $20.41 (11.2% below fair value)
  • GF Score™: 98/100 with 1 warning sign
  • Industry Position: 228% above the Manufacturing - Apparel & Accessories median (#90 of 1042)

No single metric tells the full story. See the LPPSY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


LPP Business Description

Other Exchanges LPP:Poland
Address ul. Lakowa 39/44, Gdansk, POL, 80-769
LPP SA makes and sells clothing, footwear, bags, and accessories in Central and Eastern Europe. LPP has nearly 1,500 company-branded retail stores, which serve as the company's primary sales channel. Brands include Reserved, Cropp, House, Mohito, and Sinsay. Reserved stores account for roughly half of the company's sales volume. Geographically, most sales are in Poland, and Poland and Russia account for more than 80% of total sales. LPP purchases most of its materials in Asia, and the company's manufacturers are primarily located in China.
98GF Score

Get the complete analysis for LPPSY

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$20.41
Price
$22.99
GF Value