Sharqiyah Desalination CompanyOGMUS:SHRQ 35 Operating Margin % is 26.39% as of Dec. 2025, which is 10% below its 10-year median of 29.43. GuruFocus rates MUS:SHRQ with a GF Score™ of 35/100 and a GF Value™ of ر.ع0.12 (Significantly Overvalued). The stock has 13 warning signs investors should review. Among 500 Utilities - Regulated companies, Sharqiyah Desalination CompanyOG ranks better than 80.6% on this metric.
Sharqiyah Desalination Company SAOG operating margin has been in a 5-year decline. The average rate of decline per year is -4.2%.
The historical rank and industry rank for Sharqiyah Desalination CompanyOG's Operating Margin % or its related term are showing as below:
MUS:SHRQ'
s Operating Margin % Range Over the Past 10 Years
Min: 25.14 Med: 29.43 Max: 38.37
Current: 26.39
MUS:SHRQ's Operating Margin % is ranked better than 80.6% of 500
companies
in the Utilities - Regulated industry
Industry Median: 14.89
vs MUS:SHRQ: 26.39
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.
Sharqiyah Desalination CompanyOG Operating Margin % Related Terms
Sharqiyah Desalination CompanyOG 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.
MUS:SHRQ vs AWK, WTRG, AWR: Operating Margin % Comparison
For the Utilities - Regulated Water subindustry, Sharqiyah Desalination CompanyOG'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.
Sharqiyah Desalination CompanyOG Operating Margin % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, Sharqiyah Desalination CompanyOG's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Sharqiyah Desalination CompanyOG'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.
* 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.
Sharqiyah Desalination CompanyOG (MUS:SHRQ) has a Operating Margin % of 26.39% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Sharqiyah Desalination CompanyOG and its competitors. This is 10% below median its historical median of 29.43. Over the past decade, Sharqiyah Desalination CompanyOG's Operating Margin % has ranged from 25.14 to 38.37. According to the industry distribution chart, Sharqiyah Desalination CompanyOG ranks #97 out of 500 companies in the Utilities - Regulated industry, placing it in the top 19.4%.
Is Sharqiyah Desalination CompanyOG's Operating Margin % too high?
Sharqiyah Desalination CompanyOG's current Operating Margin % of 26.39% is 10% below median its 10-year median of 29.43. Over the past 10 years, this metric has ranged from a low of 25.14 to a high of 38.37. The Utilities - Regulated industry median Operating Margin % is 14.89. Sharqiyah Desalination CompanyOG's value of 26.39% is 77.2% above this industry median. Based on the distribution chart, Sharqiyah Desalination CompanyOG ranks #97 out of 500 companies in the Utilities - Regulated industry, which is in the top quartile — a strong position relative to peers. Overall, Sharqiyah Desalination CompanyOG has a GF Score™ of 35/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sharqiyah Desalination CompanyOG's Operating Margin % compare to AWK and WTRG?
According to the Utilities - Regulated industry distribution chart, Sharqiyah Desalination CompanyOG ranks #97 out of 500 companies for Operating Margin %. This places Sharqiyah Desalination CompanyOG in the top 19% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 14.89. Sharqiyah Desalination CompanyOG's value of 26.39% is 77.2% above this benchmark. Historically, Sharqiyah Desalination CompanyOG's own Operating Margin % has ranged from 25.14 to 38.37 over the past decade. While the company's 10-year median is 29.43 vs. the industry median of 14.89, Sharqiyah Desalination CompanyOG 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 an Utilities - Regulated company?
The median Operating Margin % among Utilities - Regulated companies is 14.89, based on 500 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. Sharqiyah Desalination CompanyOG's current Operating Margin % of 26.39% is 77.2% 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 Sharqiyah Desalination CompanyOG and its competitors. For the Utilities - Regulated industry, the median Operating Margin % is 14.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sharqiyah Desalination CompanyOG's current Operating Margin % is 26.39%, which is 10% below median its own 10-year median of 29.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sharqiyah Desalination CompanyOG stock overvalued right now?
Based on GuruFocus' analysis, Sharqiyah Desalination CompanyOG (MUS:SHRQ) is currently considered Significantly Overvalued. The stock's GF Value™ is ر.ع0.12, compared to a current price of ر.ع0.18 — trading 45.8% above its estimated fair value. The current Operating Margin % is 26.39%, which is 10% below median its 10-year median of 29.43 and 77.2% above the Utilities - Regulated industry median of 14.89. Sharqiyah Desalination CompanyOG's overall GF Score™ is 35/100 with 13 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 Sharqiyah Desalination CompanyOG (MUS:SHRQ), the current Operating Margin % is 26.39% as of Dec. 2025. 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 Sharqiyah Desalination CompanyOG (MUS:SHRQ) Overvalued in 2026?
Based on GuruFocus' analysis, Sharqiyah Desalination CompanyOG stock appears to be overvalued.
The current stock price of ر.ع0.18 is trading 45.8% above its estimated GF Value™ of ر.ع0.12.
GuruFocus considers Sharqiyah Desalination CompanyOG to be Significantly Overvalued.
Key valuation signals for MUS:SHRQ:
Operating Margin %: 26.39% (10% below median its 10-year median of 29.43)
GF Value™: ر.ع0.12 vs. price of ر.ع0.18 (45.8% above fair value)
Industry Position: 77.2% above the Utilities - Regulated median (#97 of 500)
No single metric tells the full story. See the MUS:SHRQ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sharqiyah Desalination CompanyOG Business Description
Sharqiyah Desalination Company SAOG acquires, develops, operates, and maintains a water desalination plant at Sur in the Sharqiyah region of the Sultanate of Oman, producing potable water under a build-own-operate model.
35GF Score
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