Housing Development & Infrastructure Ltd has never been profitable in the past 3 years. It lost money every year.
Housing Development & Infrastructure (NSE:HDIL) 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.
Housing Development & Infrastructure Operating Margin % Related Terms
Housing Development & Infrastructure 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.
Housing Development & Infrastructure Operating Margin % Chart
Housing Development & Infrastructure Operating Margin % Competitor Comparison
For the Real Estate - Diversified subindustry, Housing Development & Infrastructure'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.
Housing Development & Infrastructure Operating Margin % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Housing Development & Infrastructure's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Housing Development & Infrastructure's Operating Margin % falls into.
Housing Development & Infrastructure 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.
* 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.
Housing Development & Infrastructure (NSE:HDIL) has a Operating Margin % of -690.27% as of Sep. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Housing Development & Infrastructure and its competitors. According to the industry distribution chart, Housing Development & Infrastructure ranks #956 out of 1745 companies in the Real Estate industry, placing it in the top 54.8%.
Is Housing Development & Infrastructure's Operating Margin % too high?
Housing Development & Infrastructure's current Operating Margin % is -690.27%. Based on the distribution chart, Housing Development & Infrastructure ranks #956 out of 1745 companies in the Real Estate industry, which is below the industry midpoint. Overall, Housing Development & Infrastructure has a GF Score™ of 44/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Housing Development & Infrastructure's Operating Margin % compare to competitors?
According to the Real Estate industry distribution chart, Housing Development & Infrastructure ranks #956 out of 1745 companies for Operating Margin %. This places Housing Development & Infrastructure in the lower half of its industry. The industry median Operating Margin % is 13.23. 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 Real Estate company?
The median Operating Margin % among Real Estate companies is 13.23, based on 1,745 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 Housing Development & Infrastructure and its competitors. For the Real Estate industry, the median Operating Margin % is 13.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Housing Development & Infrastructure's current Operating Margin % is -690.27%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Housing Development & Infrastructure stock overvalued right now?
Based on GuruFocus' analysis, Housing Development & Infrastructure (NSE:HDIL) is currently considered Possible Value Trap. The stock's GF Value™ is ₹5.28, compared to a current price of ₹1.81 — trading 65.7% below its estimated fair value. The current Operating Margin % is -690.27%. Housing Development & Infrastructure's overall GF Score™ is 44/100 with 5 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 Housing Development & Infrastructure (NSE:HDIL), the current Operating Margin % is -690.27% as of Sep. 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 Housing Development & Infrastructure (NSE:HDIL) Overvalued in 2026?
Based on GuruFocus' analysis, Housing Development & Infrastructure stock appears to be undervalued.
The current stock price of ₹1.81 is trading 65.7% below its estimated GF Value™ of ₹5.28.
GuruFocus considers Housing Development & Infrastructure to be Possible Value Trap.
Key valuation signals for NSE:HDIL:
Operating Margin %: -690.27%
GF Value™: ₹5.28 vs. price of ₹1.81 (65.7% below fair value)
No single metric tells the full story. See the NSE:HDIL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Housing Development & Infrastructure Business Description
Housing Development & Infrastructure Ltd is engaged in the business of real estate construction, development of residential and commercial properties, infrastructure facilities and other related activities. The company operates across multiple segments of the real estate sector, including residential, commercial, retail, slum rehabilitation, and land development projects. Its residential portfolio includes apartment complexes, residential towers, and township developments, while its commercial activities include office space and multiplex cinema developments. The company is also involved in the development of retail properties such as shopping malls.
44GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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