The historical rank and industry rank for Al Fajar AL Alamia CoOG's Operating Margin % or its related term are showing as below:
MUS:AFAI's Operating Margin % is not ranked *
in the Metals & Mining industry.
Industry Median: 5.79 * Ranked among companies with meaningful Operating Margin % only.
Al Fajar AL Alamia CoOG (MUS:AFAI) 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.
Al Fajar AL Alamia CoOG Operating Margin % Related Terms
Al Fajar AL Alamia CoOG Operating Margin % Historical Data
* Premium members only.
The historical data trend for Al Fajar AL Alamia CoOG'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 Other Industrial Metals & Mining subindustry, Al Fajar AL Alamia CoOG'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.
Al Fajar AL Alamia CoOG Operating Margin % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Al Fajar AL Alamia CoOG's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Al Fajar AL Alamia CoOG's Operating Margin % falls into.
Al Fajar AL Alamia CoOG 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.
Al Fajar AL Alamia CoOG's Operating Margin % for the fiscal year that ended in Jun. 2018 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.
Al Fajar AL Alamia CoOG (MUS:AFAI) has a Operating Margin % of 14.66% as of Mar. 2019. Operating margin is the ratio of total operating income to net sales. View historical data on Al Fajar AL Alamia CoOG and its competitors.
Is Al Fajar AL Alamia CoOG's Operating Margin % too high?
Al Fajar AL Alamia CoOG's current Operating Margin % is 14.66%. The Metals & Mining industry median Operating Margin % is 5.79. Al Fajar AL Alamia CoOG's value of 14.66% is 153.2% above this industry median.
How does Al Fajar AL Alamia CoOG's Operating Margin % compare to SND?
Al Fajar AL Alamia CoOG's Operating Margin % of 14.66% can be compared against companies in the Metals & Mining industry. The industry median Operating Margin % is 5.79. Al Fajar AL Alamia CoOG's value of 14.66% is 153.2% above this benchmark. 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 Metals & Mining company?
The median Operating Margin % among Metals & Mining companies is 5.79, based on 841 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. Al Fajar AL Alamia CoOG's current Operating Margin % of 14.66% is 153.2% 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 Al Fajar AL Alamia CoOG and its competitors. For the Metals & Mining industry, the median Operating Margin % is 5.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Al Fajar AL Alamia CoOG's current Operating Margin % is 14.66%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al Fajar AL Alamia CoOG stock overvalued right now?
Al Fajar AL Alamia CoOG (MUS:AFAI) has a current Operating Margin % of 14.66%. The current Operating Margin % is 14.66% and 153.2% above the Metals & Mining industry median of 5.79. 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 Al Fajar AL Alamia CoOG (MUS:AFAI), the current Operating Margin % is 14.66% as of Mar. 2019. 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.
AddressGhala Industrial Estate, Block No: 260, Plot no: 969, Complex no: 260, Street no: 6037, Building no: 2822, City Center Al Qurum, Muscat, OMN, 102
Al Fajar AL Alamia Co SAOG along with its subsidiaries engages in the manufacture and sale of industrial grade explosives. The company primarily manufactures, packages and stores ammonium nitrate, fuel oil (ANFO) and emulsion explosives. ANFO explosives are priced lower than emulsion high explosives and are used in larger quantities. It also provide service of import and storage of initiating systems and drilling accessories. The group operates in two segments:Explosives manufacturing and trading segment includes manufacture and sale of explosives. The Drilling and blasting segment engages in the business of providing drilling and blasting services. It provide services to roads, pipelines, dams, tunnels, undersea blasting for ports, mining and quarrying companies.
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