Melcor DevelopmentsMODVF 79 Operating Margin % is 34.64% as of Mar. 2026, which is 6% below its 10-year median of 36.95. GuruFocus rates MODVF with a GF Score™ of 79/100 and a GF Value™ of $11.42 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 1,745 Real Estate companies, Melcor Developments ranks better than 78.05% 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.
Melcor Developments Operating Margin % Related Terms
Melcor Developments Operating Margin % Historical Data
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The historical data trend for Melcor Developments'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.
For the Real Estate - Development subindustry, Melcor Developments'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.
Melcor Developments Operating Margin % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Melcor Developments's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Melcor Developments'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.
Melcor Developments'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.
Melcor Developments (MODVF) has a Operating Margin % of 34.64% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Melcor Developments and its competitors. This is near median its historical median of 36.95. Over the past decade, Melcor Developments' Operating Margin % has ranged from 35.25 to 39.40. According to the industry distribution chart, Melcor Developments ranks #383 out of 1745 companies in the Real Estate industry, placing it in the top 21.9%.
Is Melcor Developments' Operating Margin % too high?
Melcor Developments' current Operating Margin % of 34.64% is near median its 10-year median of 36.95. Over the past 10 years, this metric has ranged from a low of 35.25 to a high of 39.40. The Real Estate industry median Operating Margin % is 13.21. Melcor Developments' value of 34.64% is 162.2% above this industry median. Based on the distribution chart, Melcor Developments ranks #383 out of 1745 companies in the Real Estate industry, which is in the top quartile — a strong position relative to peers. Overall, Melcor Developments has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Melcor Developments' Operating Margin % compare to competitors?
According to the Real Estate industry distribution chart, Melcor Developments ranks #383 out of 1745 companies for Operating Margin %. This places Melcor Developments in the top 22% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 13.21. Melcor Developments' value of 34.64% is 162.2% above this benchmark. Historically, Melcor Developments' own Operating Margin % has ranged from 35.25 to 39.40 over the past decade. While the company's 10-year median is 36.95 vs. the industry median of 13.21, Melcor Developments 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 Real Estate company?
The median Operating Margin % among Real Estate companies is 13.21, based on 1,745 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. Melcor Developments's current Operating Margin % of 34.64% is 162.2% 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 Melcor Developments and its competitors. For the Real Estate industry, the median Operating Margin % is 13.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Melcor Developments's current Operating Margin % is 34.64%, which is near median its own 10-year median of 36.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Melcor Developments stock overvalued right now?
Based on GuruFocus' analysis, Melcor Developments (MODVF) is currently considered Modestly Overvalued. The stock's GF Value™ is $11.42, compared to a current price of $13.05 — trading 14.3% above its estimated fair value. The current Operating Margin % is 34.64%, which is near median its 10-year median of 36.95 and 162.2% above the Real Estate industry median of 13.21. Melcor Developments' overall GF Score™ is 79/100 with 4 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 Melcor Developments (MODVF), the current Operating Margin % is 34.64% 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 Melcor Developments (MODVF) Overvalued in 2026?
Based on GuruFocus' analysis, Melcor Developments stock appears to be overvalued.
The current stock price of $13.05 is trading 14.3% above its estimated GF Value™ of $11.42.
GuruFocus considers Melcor Developments to be Modestly Overvalued.
Key valuation signals for MODVF:
Operating Margin %: 34.64% (near median its 10-year median of 36.95)
GF Value™: $11.42 vs. price of $13.05 (14.3% above fair value)
Industry Position: 162.2% above the Real Estate median (#383 of 1745)
No single metric tells the full story. See the MODVF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Melcor Developments Ltd is a real estate development company. It develops and manages mixed-use residential communities, business and industrial parks, office buildings, retail commercial centers, and golf courses. Its divisions includes Land: acquires raw land and plans residential communities and commercial developments, Properties: owns and operates a portfolio of commercial and residential properties and development of commercial properties, Golf: owning and operating championship golf courses associated with residential communities, Corporate: orchestrates strategic planning, financial governance, risk mitigation guiding the organization through dynamic market shifts towards sustained and adaptive success.
79GF Score
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