APL Apollo TubesNSE:APLAPOLLO -1.79%96 Operating Margin % is 7.44% as of Mar. 2026, which is 20% above its 10-year median of 6.20. GuruFocus rates NSE:APLAPOLLO with a GF Score™ of 96/100 and a GF Value™ of ₹2,069.92 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 615 Steel companies, APL Apollo Tubes ranks better than 72.2% on this metric.
APL Apollo Tubes (NSE:APLAPOLLO) 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.
APL Apollo Tubes Operating Margin % Related Terms
APL Apollo Tubes Operating Margin % Historical Data
* Premium members only.
The historical data trend for APL Apollo Tubes'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.
NSE:APLAPOLLO vs NUE, STLD, RS: Operating Margin % Comparison
For the Steel subindustry, APL Apollo Tubes'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.
APL Apollo Tubes Operating Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, APL Apollo Tubes's Operating Margin % distribution charts can be found below:
* The bar in red indicates where APL Apollo Tubes'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.
APL Apollo Tubes's Operating Margin % for the fiscal year that ended in Mar. 2026 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.
APL Apollo Tubes (NSE:APLAPOLLO) has a Operating Margin % of 7.44% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on APL Apollo Tubes and its competitors. This is 20% above median its historical median of 6.20. Over the past decade, APL Apollo Tubes' Operating Margin % has ranged from 4.80 to 7.56. According to the industry distribution chart, APL Apollo Tubes ranks #171 out of 615 companies in the Steel industry, placing it in the top 27.8%.
Is APL Apollo Tubes' Operating Margin % too high?
APL Apollo Tubes' current Operating Margin % of 7.44% is 20% above median its 10-year median of 6.20. Over the past 10 years, this metric has ranged from a low of 4.80 to a high of 7.56. The Steel industry median Operating Margin % is 2.99. APL Apollo Tubes' value of 7.44% is 148.8% above this industry median. Based on the distribution chart, APL Apollo Tubes ranks #171 out of 615 companies in the Steel industry, which is above the industry midpoint. Overall, APL Apollo Tubes has a GF Score™ of 96/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does APL Apollo Tubes' Operating Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, APL Apollo Tubes ranks #171 out of 615 companies for Operating Margin %. This puts APL Apollo Tubes in the upper half of its industry. The industry median Operating Margin % is 2.99. APL Apollo Tubes' value of 7.44% is 148.8% above this benchmark. Historically, APL Apollo Tubes' own Operating Margin % has ranged from 4.80 to 7.56 over the past decade. While the company's 10-year median is 6.20 vs. the industry median of 2.99, APL Apollo Tubes 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 Steel company?
The median Operating Margin % among Steel companies is 2.99, based on 615 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. APL Apollo Tubes's current Operating Margin % of 7.44% is 148.8% 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 APL Apollo Tubes and its competitors. For the Steel industry, the median Operating Margin % is 2.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. APL Apollo Tubes's current Operating Margin % is 7.44%, which is 20% above median its own 10-year median of 6.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is APL Apollo Tubes stock overvalued right now?
Based on GuruFocus' analysis, APL Apollo Tubes (NSE:APLAPOLLO) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹2,069.92, compared to a current price of ₹1,793.50 — trading 13.4% below its estimated fair value. The current Operating Margin % is 7.44%, which is 20% above median its 10-year median of 6.20 and 148.8% above the Steel industry median of 2.99. APL Apollo Tubes' overall GF Score™ is 96/100 with 1 warning sign 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 APL Apollo Tubes (NSE:APLAPOLLO), the current Operating Margin % is 7.44% 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 APL Apollo Tubes (NSE:APLAPOLLO) Overvalued in 2026?
Based on GuruFocus' analysis, APL Apollo Tubes stock appears to be undervalued.
The current stock price of ₹1,793.50 is trading 13.4% below its estimated GF Value™ of ₹2,069.92.
GuruFocus considers APL Apollo Tubes to be Modestly Undervalued.
Key valuation signals for NSE:APLAPOLLO:
Operating Margin %: 7.44% (20% above median its 10-year median of 6.20)
GF Value™: ₹2,069.92 vs. price of ₹1,793.50 (13.4% below fair value)
Industry Position: 148.8% above the Steel median (#171 of 615)
No single metric tells the full story. See the NSE:APLAPOLLO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
APL Apollo Tubes Ltd is a manufacturer of steel pipes and tubes. Its multi-product offerings include Pre- Galvanized Tubes, Structural Steel Tubes, Galvanized Tubes, MS Black Pipes and Hollow Sections. It operates in a single segment, which is the business of production of ERW steel tubes. Geographically, it operates only in India.
96GF Score
Get the complete analysis for NSE:APLAPOLLO
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
NSE:APLAPOLLO has been successfully added to your 
