CSL FinanceNSE:CSLFINANCE -0.97%79 Operating Margin % is 47.95% as of Mar. 2026, which is 19% below its 10-year median of 59.03. GuruFocus rates NSE:CSLFINANCE with a GF Score™ of 79/100 and a GF Value™ of ₹440.07 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 412 Credit Services companies, CSL Finance ranks better than 80.1% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. CSL Finance's Operating Income for the
three
months ended in Mar. 2026 was ₹327 Mil. CSL Finance's Revenue for the
three
months ended in Mar. 2026 was ₹683 Mil. Therefore, CSL Finance's Operating Margin % for the quarter that ended in Mar. 2026 was 47.95%.
Warning Sign:
CSL Finance Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -8%.
The historical rank and industry rank for CSL Finance's Operating Margin % or its related term are showing as below:
NSE:CSLFINANCE'
s Operating Margin % Range Over the Past 10 Years
Min: 46.98 Med: 59.03 Max: 71.74
Current: 46.98
NSE:CSLFINANCE's Operating Margin % is ranked better than 80.1% of 412
companies
in the Credit Services industry
Industry Median: 17.325
vs NSE:CSLFINANCE: 46.98
CSL Finance's 5-Year Average Operating Margin % Growth Rate was -8.00% per year.
CSL Finance's Operating Income for the
three
months ended in Mar. 2026 was ₹327 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ₹1,182 Mil.
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.
CSL Finance Operating Margin % Related Terms
CSL Finance Operating Margin % Historical Data
* Premium members only.
The historical data trend for CSL Finance'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:CSLFINANCE vs V, MA, AXP: Operating Margin % Comparison
For the Credit Services subindustry, CSL Finance'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.
CSL Finance Operating Margin % vs Credit Services Industry
For the Credit Services industry and Financial Services sector, CSL Finance's Operating Margin % distribution charts can be found below:
* The bar in red indicates where CSL Finance'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.
CSL Finance'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.
CSL Finance (NSE:CSLFINANCE) has a Operating Margin % of 47.95% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on CSL Finance and its competitors. This is 19% below median its historical median of 59.03. Over the past decade, CSL Finance's Operating Margin % has ranged from 46.98 to 71.74. According to the industry distribution chart, CSL Finance ranks #82 out of 412 companies in the Credit Services industry, placing it in the top 19.9%.
Is CSL Finance's Operating Margin % too high?
CSL Finance's current Operating Margin % of 47.95% is 19% below median its 10-year median of 59.03. Over the past 10 years, this metric has ranged from a low of 46.98 to a high of 71.74. The Credit Services industry median Operating Margin % is 17.33. CSL Finance's value of 47.95% is 176.8% above this industry median. Based on the distribution chart, CSL Finance ranks #82 out of 412 companies in the Credit Services industry, which is in the top quartile — a strong position relative to peers. Overall, CSL Finance has a GF Score™ of 79/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does CSL Finance's Operating Margin % compare to V and MA?
According to the Credit Services industry distribution chart, CSL Finance ranks #82 out of 412 companies for Operating Margin %. This places CSL Finance in the top 20% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 17.33. CSL Finance's value of 47.95% is 176.8% above this benchmark. Historically, CSL Finance's own Operating Margin % has ranged from 46.98 to 71.74 over the past decade. While the company's 10-year median is 59.03 vs. the industry median of 17.33, CSL Finance 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 Credit Services company?
The median Operating Margin % among Credit Services companies is 17.33, based on 412 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. CSL Finance's current Operating Margin % of 47.95% is 176.8% 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 CSL Finance and its competitors. For the Credit Services industry, the median Operating Margin % is 17.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CSL Finance's current Operating Margin % is 47.95%, which is 19% below median its own 10-year median of 59.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CSL Finance stock overvalued right now?
Based on GuruFocus' analysis, CSL Finance (NSE:CSLFINANCE) is currently considered Possible Value Trap. The stock's GF Value™ is ₹440.07, compared to a current price of ₹225.97 — trading 48.7% below its estimated fair value. The current Operating Margin % is 47.95%, which is 19% below median its 10-year median of 59.03 and 176.8% above the Credit Services industry median of 17.33. CSL Finance's overall GF Score™ is 79/100 with 7 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 CSL Finance (NSE:CSLFINANCE), the current Operating Margin % is 47.95% 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 CSL Finance (NSE:CSLFINANCE) Overvalued in 2026?
Based on GuruFocus' analysis, CSL Finance stock appears to be undervalued.
The current stock price of ₹225.97 is trading 48.7% below its estimated GF Value™ of ₹440.07.
GuruFocus considers CSL Finance to be Possible Value Trap.
Key valuation signals for NSE:CSLFINANCE:
Operating Margin %: 47.95% (19% below median its 10-year median of 59.03)
GF Value™: ₹440.07 vs. price of ₹225.97 (48.7% below fair value)
Industry Position: 176.8% above the Credit Services median (#82 of 412)
No single metric tells the full story. See the NSE:CSLFINANCE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
CSL Finance Ltd operates as a non-banking financial institution. The business activity of the company is to offer secured and unsecured lending to small and medium-size business units to fulfil their financial needs. The company's business is classified into two broader segments of SME business and Wholesale business. SME business is mainly focused on micro and small business loans to various business entities, which is secured mostly against self-occupied Residential or Commercial properties. Wholesale business is focused on big ticket size loans for the working capital requirement of businesses. The primary revenue source of the company is interest income. The company operates within India.
79GF Score
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