Operating Margin % is calculated as Operating Income divided by its Revenue. Eon Electric's Operating Income for the
three
months ended in Dec. 2019 was ₹-224.5 Mil. Eon Electric's Revenue for the
three
months ended in Dec. 2019 was ₹18.7 Mil. Therefore, Eon Electric's Operating Margin % for the quarter that ended in Dec. 2019 was -1,198.46%.
The historical rank and industry rank for Eon Electric's Operating Margin % or its related term are showing as below:
NSE:EON's Operating Margin % is not ranked *
in the Industrial Products industry.
Industry Median: 6.53 * Ranked among companies with meaningful Operating Margin % only.
Eon Electric's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
Eon Electric's Operating Income for the
three
months ended in Dec. 2019 was ₹-224.5 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2019 was ₹-499.1 Mil.
Eon Electric (NSE:EON) 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.
Eon Electric Operating Margin % Related Terms
Eon Electric Operating Margin % Historical Data
* Premium members only.
The historical data trend for Eon Electric'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:EON vs HON, MMM, GE: Operating Margin % Comparison
For the Specialty Industrial Machinery subindustry, Eon Electric'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.
Eon Electric Operating Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Eon Electric's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Eon Electric'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.
Eon Electric's Operating Margin % for the fiscal year that ended in Mar. 2019 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.
What does a Operating Margin % of -1,198.46% mean?
Eon Electric (NSE:EON) has a Operating Margin % of -1,198.46% as of Dec. 2019. Operating margin is the ratio of total operating income to net sales. View historical data on Eon Electric and its competitors.
Is Eon Electric's Operating Margin % too high?
Eon Electric's current Operating Margin % is -1,198.46%. Overall, Eon Electric has a GF Score™ of 4/100, reflecting its overall financial health beyond just this single metric.
How does Eon Electric's Operating Margin % compare to HON and MMM?
Eon Electric's Operating Margin % of -1,198.46% can be compared against companies in the Industrial Products industry. The industry median Operating Margin % is 6.53. 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 Industrial Products company?
The median Operating Margin % among Industrial Products companies is 6.53, based on 3,038 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. 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 Eon Electric and its competitors. For the Industrial Products industry, the median Operating Margin % is 6.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eon Electric's current Operating Margin % is -1,198.46%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eon Electric stock overvalued right now?
Eon Electric (NSE:EON) has a current Operating Margin % of -1,198.46%. The current Operating Margin % is -1,198.46%. Eon Electric's overall GF Score™ is 4/100. 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 Eon Electric (NSE:EON), the current Operating Margin % is -1,198.46% as of Dec. 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.
Eon Electric Ltd manufactures electrical switchgear, lighting equipment, and cables. It engages in the manufacturing and marketing of wires and cables, lighting products and LED Lights. It operates its business through the following segments: Cable and Wires, Lighting, Electrical Consumer Durables, and Others. The Cable and Wires segment includes wires and cables. The Lighting segment includes compact fluorescent lamps, fluorescent tube lights, and luminaires etc. The Electrical Consumer Durables segment includes Fans, Water Heaters etc. The Others segment includes modular switches, wiring accessories, home automation, fans, lithium-ion batteries, mobile phone accessories. Its Lighting segment acts as a core revenue driver for the firm.
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