Madras FertilizersNSE:MADRASFERT -2.50%69 Operating Margin % is 4.61% as of Mar. 2026, which is 67% below its 10-year median of 13.94. GuruFocus rates NSE:MADRASFERT with a GF Score™ of 69/100 and a GF Value™ of ₹257.63 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 251 Agriculture companies, Madras Fertilizers ranks worse than 62.55% on this metric.
Madras Fertilizers Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -41.3%.
The historical rank and industry rank for Madras Fertilizers's Operating Margin % or its related term are showing as below:
NSE:MADRASFERT'
s Operating Margin % Range Over the Past 10 Years
Min: -8.41 Med: 13.94 Max: 104.97
Current: 4.2
NSE:MADRASFERT's Operating Margin % is ranked worse than 62.55% of 251
companies
in the Agriculture industry
Industry Median: 6.76
vs NSE:MADRASFERT: 4.20
Madras Fertilizers's 5-Year Average Operating Margin % Growth Rate was -41.30% per year.
Madras Fertilizers (NSE:MADRASFERT) 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.
Madras Fertilizers Operating Margin % Related Terms
Madras Fertilizers Operating Margin % Historical Data
* Premium members only.
The historical data trend for Madras Fertilizers'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:MADRASFERT vs CTVA, CF: Operating Margin % Comparison
For the Agricultural Inputs subindustry, Madras Fertilizers'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.
Madras Fertilizers Operating Margin % vs Agriculture Industry
For the Agriculture industry and Basic Materials sector, Madras Fertilizers's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Madras Fertilizers'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.
Madras Fertilizers'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.
Madras Fertilizers (NSE:MADRASFERT) has a Operating Margin % of 4.61% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Madras Fertilizers and its competitors. This is 67% below median its historical median of 13.94. According to the industry distribution chart, Madras Fertilizers ranks #157 out of 251 companies in the Agriculture industry, placing it in the top 62.5%.
Is Madras Fertilizers' Operating Margin % too high?
Madras Fertilizers' current Operating Margin % of 4.61% is 67% below median its 10-year median of 13.94. The Agriculture industry median Operating Margin % is 6.76. Madras Fertilizers' value of 4.61% is 31.8% below this industry median. Based on the distribution chart, Madras Fertilizers ranks #157 out of 251 companies in the Agriculture industry, which is below the industry midpoint. Overall, Madras Fertilizers has a GF Score™ of 69/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Madras Fertilizers' Operating Margin % compare to CTVA and CF?
According to the Agriculture industry distribution chart, Madras Fertilizers ranks #157 out of 251 companies for Operating Margin %. This places Madras Fertilizers in the lower half of its industry. The industry median Operating Margin % is 6.76. Madras Fertilizers' value of 4.61% is 31.8% below this benchmark. While the company's 10-year median is 13.94 vs. the industry median of 6.76, Madras Fertilizers has consistently been below 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 an Agriculture company?
The median Operating Margin % among Agriculture companies is 6.76, based on 251 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. Madras Fertilizers's current Operating Margin % of 4.61% is 31.8% below 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 Madras Fertilizers and its competitors. For the Agriculture industry, the median Operating Margin % is 6.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Madras Fertilizers's current Operating Margin % is 4.61%, which is 67% below median its own 10-year median of 13.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Madras Fertilizers stock overvalued right now?
Based on GuruFocus' analysis, Madras Fertilizers (NSE:MADRASFERT) is currently considered Possible Value Trap. The stock's GF Value™ is ₹257.63, compared to a current price of ₹68.77 — trading 73.3% below its estimated fair value. The current Operating Margin % is 4.61%, which is 67% below median its 10-year median of 13.94 and 31.8% below the Agriculture industry median of 6.76. Madras Fertilizers' overall GF Score™ is 69/100 with 4 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 Madras Fertilizers (NSE:MADRASFERT), the current Operating Margin % is 4.61% 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 Madras Fertilizers (NSE:MADRASFERT) Overvalued in 2026?
Based on GuruFocus' analysis, Madras Fertilizers stock appears to be undervalued.
The current stock price of ₹68.77 is trading 73.3% below its estimated GF Value™ of ₹257.63.
GuruFocus considers Madras Fertilizers to be Possible Value Trap.
Key valuation signals for NSE:MADRASFERT:
Operating Margin %: 4.61% (67% below median its 10-year median of 13.94)
GF Value™: ₹257.63 vs. price of ₹68.77 (73.3% below fair value)
Industry Position: 31.8% below the Agriculture median (#157 of 251)
No single metric tells the full story. See the NSE:MADRASFERT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Madras Fertilizers Ltd is engaged in the manufacture of ammonia, urea, and complex fertilizers. It is also engaged in manufacturing bio-fertilizers and marketing fertilizers and agrochemicals under the brand name Vijay. The company operates through the manufacture and sale of fertilizers segment. It also provides biofertilizers, including Azospirillum for paddy, plantation crops, and other crops; Rhizobium for groundnuts and pulses; and Phosphor Bacteria and NP Bio for various crops.
69GF Score
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