Citrix Systems (LTS:0HYR) Operating Margin %: 21.21% (As of Jun. 2022) — 26% Above Median

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What is Citrix Systems Operating Margin %?

Citrix Systems LTS:0HYR 4 Operating Margin % is 21.21% as of Jun. 2022, which is 26% above its 10-year median of 16.83. GuruFocus rates LTS:0HYR with a GF Score™ of 4/100. The stock has 6 warning signs investors should review.

Operating Margin % is calculated as Operating Income divided by its Revenue. Citrix Systems's Operating Income for the three months ended in Jun. 2022 was $182.31 Mil. Citrix Systems's Revenue for the three months ended in Jun. 2022 was $859.52 Mil. Therefore, Citrix Systems's Operating Margin % for the quarter that ended in Jun. 2022 was 21.21%.

Warning Sign:

Citrix Systems Inc operating margin has been in a 5-year decline. The average rate of decline per year is -12.4%.

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

LTS:0HYR' s Operating Margin % Range Over the Past 10 Years
Min: 10.47   Med: 16.83   Max: 23.36
Current: 13.87


LTS:0HYR's Operating Margin % is not ranked
in the Software industry.
Industry Median: 3.84 vs LTS:0HYR: 13.87

Citrix Systems's 5-Year Average Operating Margin % Growth Rate was -12.40% per year.

Citrix Systems's Operating Income for the three months ended in Jun. 2022 was $182.31 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2022 was $459.55 Mil.


Citrix Systems  (LTS:0HYR) 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.


Citrix Systems Operating Margin % Related Terms


Citrix Systems Operating Margin % Historical Data

* Premium members only.

The historical data trend for Citrix Systems'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.

Citrix Systems Operating Margin % Chart

Citrix Systems Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.78 23.36 18.55 19.18 10.57

Citrix Systems Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
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 10.43 10.85 9.22 13.85 21.21

LTS:0HYR vs SSNC, BILL, TYL: Operating Margin % Comparison

For the Software - Application subindustry, Citrix Systems'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.


Citrix Systems Operating Margin % vs Software Industry

For the Software industry and Technology sector, Citrix Systems's Operating Margin % distribution charts can be found below:

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



Citrix Systems 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.

Citrix Systems's Operating Margin % for the fiscal year that ended in Dec. 2021 is calculated as

Operating Margin %=Operating Income (A: Dec. 2021 ) / Revenue (A: Dec. 2021 )
=339.943 / 3217.17
=10.57 %

Citrix Systems's Operating Margin % for the quarter that ended in Jun. 2022 is calculated as

Operating Margin %=Operating Income (Q: Jun. 2022 ) / Revenue (Q: Jun. 2022 )
=182.312 / 859.522
=21.21 %

* 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 21.21% mean?
Citrix Systems (LTS:0HYR) has a Operating Margin % of 21.21% as of Jun. 2022. Operating margin is the ratio of total operating income to net sales. View historical data on Citrix Systems and its competitors. This is 26% above median its historical median of 16.83. Over the past decade, Citrix Systems' Operating Margin % has ranged from 10.47 to 23.36.
Is Citrix Systems' Operating Margin % too high?
Citrix Systems' current Operating Margin % of 21.21% is 26% above median its 10-year median of 16.83. Over the past 10 years, this metric has ranged from a low of 10.47 to a high of 23.36. The Software industry median Operating Margin % is 3.84. Citrix Systems' value of 21.21% is 452.3% above this industry median. Overall, Citrix Systems has a GF Score™ of 4/100, reflecting its overall financial health beyond just this single metric.
How does Citrix Systems' Operating Margin % compare to SSNC and BILL?
Citrix Systems' Operating Margin % of 21.21% can be compared against companies in the Software industry. The industry median Operating Margin % is 3.84. Citrix Systems' value of 21.21% is 452.3% above this benchmark. Historically, Citrix Systems' own Operating Margin % has ranged from 10.47 to 23.36 over the past decade. While the company's 10-year median is 16.83 vs. the industry median of 3.84, Citrix Systems 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 Software company?
The median Operating Margin % among Software companies is 3.84, based on 2,826 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. Citrix Systems's current Operating Margin % of 21.21% is 452.3% 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 Citrix Systems and its competitors. For the Software industry, the median Operating Margin % is 3.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Citrix Systems's current Operating Margin % is 21.21%, which is 26% above median its own 10-year median of 16.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Citrix Systems stock overvalued right now?
Citrix Systems (LTS:0HYR) has a current Operating Margin % of 21.21%. The current Operating Margin % is 21.21%, which is 26% above median its 10-year median of 16.83 and 452.3% above the Software industry median of 3.84. Citrix Systems' overall GF Score™ is 4/100 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 Citrix Systems (LTS:0HYR), the current Operating Margin % is 21.21% as of Jun. 2022. 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.

Citrix Systems Business Description

Address 851 West Cypress Creek Road, Fort Lauderdale, FL, USA, 33309
Citrix Systems provides virtualization software, including Virtual Apps and Desktops for desktop virtualization and Citrix Virtual Apps for application virtualization. The company also provides Citrix Endpoint Management for mobile device management and Citrix ADC for application delivery and Citrix SDWAN for routing, security, and WAN monitoring.