Balkan and Sea Properties Reit-Varna (LTS:0HZU) 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.
Balkan and Sea Properties Reit-Varna Operating Margin % Related Terms
Balkan and Sea Properties Reit-Varna 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.
Balkan and Sea Properties Reit-Varna Operating Margin % Chart
LTS:0HZU vs VICI, WPC: Operating Margin % Comparison
For the REIT - Diversified subindustry, Balkan and Sea Properties Reit-Varna'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.
Balkan and Sea Properties Reit-Varna Operating Margin % vs REITs Industry
For the REITs industry and Real Estate sector, Balkan and Sea Properties Reit-Varna's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Balkan and Sea Properties Reit-Varna's Operating Margin % falls into.
Balkan and Sea Properties Reit-Varna 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.
Balkan and Sea Properties Reit-Varna (LTS:0HZU) has a Operating Margin % of -5.23% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Balkan and Sea Properties Reit-Varna and its competitors. According to the industry distribution chart, Balkan and Sea Properties Reit-Varna ranks #661 out of 749 companies in the REITs industry, placing it in the top 88.3%.
Is Balkan and Sea Properties Reit-Varna's Operating Margin % too high?
Balkan and Sea Properties Reit-Varna's current Operating Margin % is -5.23%. Based on the distribution chart, Balkan and Sea Properties Reit-Varna ranks #661 out of 749 companies in the REITs industry, which is in the bottom quartile relative to peers. Overall, Balkan and Sea Properties Reit-Varna has a GF Score™ of 53/100, reflecting its overall financial health beyond just this single metric.
How does Balkan and Sea Properties Reit-Varna's Operating Margin % compare to VICI and WPC?
According to the REITs industry distribution chart, Balkan and Sea Properties Reit-Varna ranks #661 out of 749 companies for Operating Margin %. This places Balkan and Sea Properties Reit-Varna in the lower half of its industry. The industry median Operating Margin % is 52.63. 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 REITs company?
The median Operating Margin % among REITs companies is 52.63, based on 749 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. 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 Balkan and Sea Properties Reit-Varna and its competitors. For the REITs industry, the median Operating Margin % is 52.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Balkan and Sea Properties Reit-Varna's current Operating Margin % is -5.23%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Balkan and Sea Properties Reit-Varna stock overvalued right now?
Balkan and Sea Properties Reit-Varna (LTS:0HZU) has a current Operating Margin % of -5.23%. The stock's GF Value™ is лв194.53, compared to a current price of лв17.00 — trading 91.3% below its estimated fair value. The current Operating Margin % is -5.23%. Balkan and Sea Properties Reit-Varna's overall GF Score™ is 53/100 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 Balkan and Sea Properties Reit-Varna (LTS:0HZU), the current Operating Margin % is -5.23% 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 Balkan and Sea Properties Reit-Varna (LTS:0HZU) Overvalued in 2026?
Based on GuruFocus' analysis, Balkan and Sea Properties Reit-Varna stock appears to be undervalued.
The current stock price of лв17.00 is trading 91.3% below its estimated GF Value™ of лв194.53.
Key valuation signals for LTS:0HZU:
Operating Margin %: -5.23%
GF Value™: лв194.53 vs. price of лв17.00 (91.3% below fair value)
No single metric tells the full story. See the LTS:0HZU stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Balkan and Sea Properties Reit-Varna Business Description
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