IRB Infrastructure DevelopersNSE:IRB -1.24%73 Operating Margin % is 23.65% as of Mar. 2026, which is 36% below its 10-year median of 37.02. GuruFocus rates NSE:IRB with a GF Score™ of 73/100 and a GF Value™ of ₹21.56 (Fairly Valued). The stock has 8 warning signs investors should review. Among 1,767 Construction companies, IRB Infrastructure Developers ranks better than 93.6% on this metric.
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.
IRB Infrastructure Developers Operating Margin % Related Terms
IRB Infrastructure Developers 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.
For the Infrastructure Operations subindustry, IRB Infrastructure Developers'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.
IRB Infrastructure Developers Operating Margin % vs Construction Industry
For the Construction industry and Industrials sector, IRB Infrastructure Developers's Operating Margin % distribution charts can be found below:
* The bar in red indicates where IRB Infrastructure Developers'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.
* 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.
IRB Infrastructure Developers (NSE:IRB) has a Operating Margin % of 23.65% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on IRB Infrastructure Developers and its competitors. This is 36% below median its historical median of 37.02. Over the past decade, IRB Infrastructure Developers' Operating Margin % has ranged from 24.04 to 38.03. According to the industry distribution chart, IRB Infrastructure Developers ranks #113 out of 1767 companies in the Construction industry, placing it in the top 6.4%.
Is IRB Infrastructure Developers' Operating Margin % too high?
IRB Infrastructure Developers' current Operating Margin % of 23.65% is 36% below median its 10-year median of 37.02. Over the past 10 years, this metric has ranged from a low of 24.04 to a high of 38.03. The Construction industry median Operating Margin % is 5.89. IRB Infrastructure Developers' value of 23.65% is 301.5% above this industry median. Based on the distribution chart, IRB Infrastructure Developers ranks #113 out of 1767 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, IRB Infrastructure Developers has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does IRB Infrastructure Developers' Operating Margin % compare to competitors?
According to the Construction industry distribution chart, IRB Infrastructure Developers ranks #113 out of 1767 companies for Operating Margin %. This places IRB Infrastructure Developers in the top 6% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 5.89. IRB Infrastructure Developers' value of 23.65% is 301.5% above this benchmark. Historically, IRB Infrastructure Developers' own Operating Margin % has ranged from 24.04 to 38.03 over the past decade. While the company's 10-year median is 37.02 vs. the industry median of 5.89, IRB Infrastructure Developers 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 Construction company?
The median Operating Margin % among Construction companies is 5.89, based on 1,767 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. IRB Infrastructure Developers's current Operating Margin % of 23.65% is 301.5% 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 IRB Infrastructure Developers and its competitors. For the Construction industry, the median Operating Margin % is 5.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. IRB Infrastructure Developers's current Operating Margin % is 23.65%, which is 36% below median its own 10-year median of 37.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is IRB Infrastructure Developers stock overvalued right now?
Based on GuruFocus' analysis, IRB Infrastructure Developers (NSE:IRB) is currently considered Fairly Valued. The stock's GF Value™ is ₹21.56, compared to a current price of ₹21.43 — trading 0.6% below its estimated fair value. The current Operating Margin % is 23.65%, which is 36% below median its 10-year median of 37.02 and 301.5% above the Construction industry median of 5.89. IRB Infrastructure Developers' overall GF Score™ is 73/100 with 8 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 IRB Infrastructure Developers (NSE:IRB), the current Operating Margin % is 23.65% 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 IRB Infrastructure Developers (NSE:IRB) Overvalued in 2026?
Based on GuruFocus' analysis, IRB Infrastructure Developers stock appears to be undervalued.
The current stock price of ₹21.43 is trading 0.6% below its estimated GF Value™ of ₹21.56.
GuruFocus considers IRB Infrastructure Developers to be Fairly Valued.
Key valuation signals for NSE:IRB:
Operating Margin %: 23.65% (36% below median its 10-year median of 37.02)
GF Value™: ₹21.56 vs. price of ₹21.43 (0.6% below fair value)
Industry Position: 301.5% above the Construction median (#113 of 1767)
No single metric tells the full story. See the NSE:IRB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
IRB Infrastructure Developers Business Description
IRB Infrastructure Developers Ltd is an infrastructure and construction company. The company organizes itself into segments: Built, Operate and Transfer (BOT)/ Toll, Operate and Transfer (TOT) segment consist of operation and maintenance of roads; InvITs & Related Assets segment consists of investments in units of IRB Infrastructure Trust, IRB InvIT Fund and other related assets; and Construction segment consists of development and maintenance of roads. It derives maximum revenue from Construction segment.
73GF Score
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