GURUFOCUS.COM » STOCK LIST » Real Estate » Real Estate » Newmark Group Inc (NAS:NMRK) » Definitions » Operating Margin %

NMRK (Newmark Group) Operating Margin % : 5.94% (As of Sep. 2024)


View and export this data going back to 2017. Start your Free Trial

What is Newmark Group Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Newmark Group's Operating Income for the three months ended in Sep. 2024 was $41 Mil. Newmark Group's Revenue for the three months ended in Sep. 2024 was $686 Mil. Therefore, Newmark Group's Operating Margin % for the quarter that ended in Sep. 2024 was 5.94%.

Warning Sign:

Newmark Group Inc operating margin has been in a 5-year decline. The average rate of decline per year is -14.4%.

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

NMRK' s Operating Margin % Range Over the Past 10 Years
Min: -0.9   Med: 7.88   Max: 11.27
Current: 4.7


NMRK's Operating Margin % is ranked worse than
67.86% of 1761 companies
in the Real Estate industry
Industry Median: 13.26 vs NMRK: 4.70

Newmark Group's 5-Year Average Operating Margin % Growth Rate was -14.40% per year.

Newmark Group's Operating Income for the three months ended in Sep. 2024 was $41 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was $123 Mil.


Newmark Group Operating Margin % Historical Data

The historical data trend for Newmark Group'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.

* Premium members only.

Newmark Group Operating Margin % Chart

Newmark Group Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only 7.45 8.86 0.76 10.47 4.51

Newmark Group Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 4.36 9.33 -4.14 5.54 5.94

Competitive Comparison of Newmark Group's Operating Margin %

For the Real Estate Services subindustry, Newmark Group'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.


Newmark Group's Operating Margin % Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Newmark Group's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Newmark Group's Operating Margin % falls into.



Newmark Group 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.

Newmark Group's Operating Margin % for the fiscal year that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=111.361 / 2470.368
=4.51 %

Newmark Group's Operating Margin % for the quarter that ended in Sep. 2024 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=40.73 / 685.912
=5.94 %

* 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.


Newmark Group  (NAS:NMRK) 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.


Newmark Group Operating Margin % Related Terms

Thank you for viewing the detailed overview of Newmark Group's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Newmark Group Business Description

Traded in Other Exchanges
Address
125 Park Avenue, New York, NY, USA, 10017
Newmark Group Inc is a commercial real estate advisory firm. It offers services, including leasing and corporate advisory services, investment sales, commercial mortgage brokerage, appraisal and valuation, project management, and property, among others. Newmark offers a diverse array of integrated services and products designed to meet the full needs of both real estate investors/owners and occupiers. The company provides real estate strategic consulting and systems integration services to CFI's clients including many Fortune and Forbes companies, owner-occupiers, government agencies, healthcare, and higher education clients.
Executives
Jay Itzkowitz director NEW YORK HOCKEY HOLDINGS, LLC, 200 PARK AVENUE SOUTH SUITE 1610, NEW YORK NY 10003
Howard W Lutnick director, 10 percent owner, officer: Chairman
Stephen M Merkel officer: EVP, Chief Legal Officer C/O BGC PARTNERS, INC., 499 PARK AVENUE, NEW YORK NY 10022
Mcintyre Kenneth A Jr director C/O HUDSON CITY BANCORP, INC., WEST 80 CENTURY ROAD, PARAMUS NJ 07652
Barry M Gosin officer: Chief Executive Officer C/O ESPEED, INC., 110 EAST 59TH STREET, NEW YORK NY 10022
Virginia S Bauer director C/O NEWMARK GROUP, INC., 125 PARK AVENUE, NEW YORK NY 10022
Cantor Fitzgerald, L. P. director, 10 percent owner 110 EAST 59TH STREET, NEW YORK NY 10022
Cf Group Management Inc director, 10 percent owner 135 EAST 57TH ST, NEW YORK NY 10022
Michael Snow director C/O GFI GROUP INC., 55 WATER STREET, NEW YORK NY 10041
Bgc Partners, Inc. director, 10 percent owner 499 PARK AVENUE, NEW YORK NY 10022
Peter F Cervinka director C/O NEWMARK GROUP, INC., 125 PARK AVENUE, NEW YORK NY 10022
Michael J. Rispoli officer: Chief Financial Officer C/O NNN 2003 VALUE FUND, LLC, 1551 N. TUSTIN AVENUE, SUITE 200, SANTA ANA CA 92705
John H Dalton director 50 OLD WEBSTER ROAD, OXFORD MA 01540
James R Ficarro director, officer: Chief Operating Officer C/O NEWMARK GROUP, INC., 125 PARK AVENUE, NEW YORK NY 10017