Kalyani SteelsNSE:KSL +0.15%78 Operating Margin % is 17.62% as of Mar. 2026, which is 11% above its 10-year median of 15.85. GuruFocus rates NSE:KSL with a GF Score™ of 78/100 and a GF Value™ of ₹760.28 (Fairly Valued). The stock has 5 warning signs investors should review. Among 616 Steel companies, Kalyani Steels ranks better than 92.53% 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.
Kalyani Steels Operating Margin % Related Terms
Kalyani Steels Operating Margin % Historical Data
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The historical data trend for Kalyani Steels'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:KSL vs NUE, STLD, RS: Operating Margin % Comparison
For the Steel subindustry, Kalyani Steels'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.
Kalyani Steels Operating Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Kalyani Steels's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Kalyani Steels'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.
Kalyani Steels'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.
Kalyani Steels (NSE:KSL) has a Operating Margin % of 17.62% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Kalyani Steels and its competitors. This is 11% above median its historical median of 15.85. Over the past decade, Kalyani Steels' Operating Margin % has ranged from 12.31 to 19.05. According to the industry distribution chart, Kalyani Steels ranks #46 out of 616 companies in the Steel industry, placing it in the top 7.5%.
Is Kalyani Steels' Operating Margin % too high?
Kalyani Steels' current Operating Margin % of 17.62% is 11% above median its 10-year median of 15.85. Over the past 10 years, this metric has ranged from a low of 12.31 to a high of 19.05. The Steel industry median Operating Margin % is 3.00. Kalyani Steels' value of 17.62% is 487.3% above this industry median. Based on the distribution chart, Kalyani Steels ranks #46 out of 616 companies in the Steel industry, which is in the top quartile — a strong position relative to peers. Overall, Kalyani Steels has a GF Score™ of 78/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kalyani Steels' Operating Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Kalyani Steels ranks #46 out of 616 companies for Operating Margin %. This places Kalyani Steels in the top 8% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 3.00. Kalyani Steels' value of 17.62% is 487.3% above this benchmark. Historically, Kalyani Steels' own Operating Margin % has ranged from 12.31 to 19.05 over the past decade. While the company's 10-year median is 15.85 vs. the industry median of 3.00, Kalyani Steels 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 3.00, based on 616 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. Kalyani Steels's current Operating Margin % of 17.62% is 487.3% 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 Kalyani Steels and its competitors. For the Steel industry, the median Operating Margin % is 3.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kalyani Steels's current Operating Margin % is 17.62%, which is 11% above median its own 10-year median of 15.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kalyani Steels stock overvalued right now?
Based on GuruFocus' analysis, Kalyani Steels (NSE:KSL) is currently considered Fairly Valued. The stock's GF Value™ is ₹760.28, compared to a current price of ₹826.00 — trading 8.6% above its estimated fair value. The current Operating Margin % is 17.62%, which is 11% above median its 10-year median of 15.85 and 487.3% above the Steel industry median of 3.00. Kalyani Steels' overall GF Score™ is 78/100 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 Kalyani Steels (NSE:KSL), the current Operating Margin % is 17.62% 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 Kalyani Steels (NSE:KSL) Overvalued in 2026?
Based on GuruFocus' analysis, Kalyani Steels stock appears to be overvalued.
The current stock price of ₹826.00 is trading 8.6% above its estimated GF Value™ of ₹760.28.
GuruFocus considers Kalyani Steels to be Fairly Valued.
Key valuation signals for NSE:KSL:
Operating Margin %: 17.62% (11% above median its 10-year median of 15.85)
GF Value™: ₹760.28 vs. price of ₹826.00 (8.6% above fair value)
Industry Position: 487.3% above the Steel median (#46 of 616)
No single metric tells the full story. See the NSE:KSL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kalyani Steels Ltd manufactures forging and engineering quality carbon and alloy steel. Its product portfolio consists of carbon steel, carbon-manganese steel, chrome steel, chrome-manganese steel, chrome-nickel steel, chrome-moly steel, low carbon chrome-nickel-moly steel, medium carbon cr-ni-mo steel and bearing steel. The company's products are used in automotive forging, construction equipment, bearings, seamless tubes, and aluminum smelting. The majority of the revenue is generated by the sale of Rolled Products, As Cast Blooms and Pig Iron. These operating segment have been aggregated into one reportable business segment which is Forging and Engineering quality carbon and alloy steels.
78GF Score
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