Paramount Communications Ltd operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Paramount Communications's Operating Margin % or its related term are showing as below:
NSE:PARACABLES'
s Operating Margin % Range Over the Past 10 Years
Min: -18.25 Med: 3.82 Max: 8.03
Current: 2.66
NSE:PARACABLES's Operating Margin % is ranked worse than 56.42% of 2476
companies
in the Hardware industry
Industry Median: 3.795
vs NSE:PARACABLES: 2.66
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.
Paramount Communications Operating Margin % Related Terms
Paramount Communications 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.
NSE:PARACABLES vs CSCO, CIEN, MSI: Operating Margin % Comparison
For the Communication Equipment subindustry, Paramount Communications'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.
Paramount Communications Operating Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Paramount Communications's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Paramount Communications'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.
Paramount Communications'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.
Paramount Communications (NSE:PARACABLES) has a Operating Margin % of 4.54% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Paramount Communications and its competitors. This is 19% above median its historical median of 3.82. According to the industry distribution chart, Paramount Communications ranks #1397 out of 2476 companies in the Hardware industry, placing it in the top 56.4%.
Is Paramount Communications' Operating Margin % too high?
Paramount Communications' current Operating Margin % of 4.54% is 19% above median its 10-year median of 3.82. The Hardware industry median Operating Margin % is 3.80. Paramount Communications' value of 4.54% is 19.6% above this industry median. Based on the distribution chart, Paramount Communications ranks #1397 out of 2476 companies in the Hardware industry, which is below the industry midpoint. Overall, Paramount Communications has a GF Score™ of 85/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Paramount Communications' Operating Margin % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, Paramount Communications ranks #1397 out of 2476 companies for Operating Margin %. This places Paramount Communications in the lower half of its industry. The industry median Operating Margin % is 3.80. Paramount Communications' value of 4.54% is 19.6% above this benchmark. While the company's 10-year median is 3.82 vs. the industry median of 3.80, Paramount Communications 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 Hardware company?
The median Operating Margin % among Hardware companies is 3.80, based on 2,476 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. Paramount Communications's current Operating Margin % of 4.54% is 19.6% 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 Paramount Communications and its competitors. For the Hardware industry, the median Operating Margin % is 3.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paramount Communications's current Operating Margin % is 4.54%, which is 19% above median its own 10-year median of 3.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Paramount Communications stock overvalued right now?
Based on GuruFocus' analysis, Paramount Communications (NSE:PARACABLES) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹86.33, compared to a current price of ₹70.34 — trading 18.5% below its estimated fair value. The current Operating Margin % is 4.54%, which is 19% above median its 10-year median of 3.82 and 19.6% above the Hardware industry median of 3.80. Paramount Communications' overall GF Score™ is 85/100 with 7 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 Paramount Communications (NSE:PARACABLES), the current Operating Margin % is 4.54% 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 Paramount Communications (NSE:PARACABLES) Overvalued in 2026?
Based on GuruFocus' analysis, Paramount Communications stock appears to be undervalued.
The current stock price of ₹70.34 is trading 18.5% below its estimated GF Value™ of ₹86.33.
GuruFocus considers Paramount Communications to be Modestly Undervalued.
Key valuation signals for NSE:PARACABLES:
Operating Margin %: 4.54% (19% above median its 10-year median of 3.82)
GF Value™: ₹86.33 vs. price of ₹70.34 (18.5% below fair value)
Industry Position: 19.6% above the Hardware median (#1397 of 2476)
No single metric tells the full story. See the NSE:PARACABLES stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Paramount Communications Ltd is a wire and cable manufacturing company. Its product portfolio consists of low-voltage and high-voltage power cables, aerial bunch cables (ABC), control and instrumentation cables, thermocouple extension and compensating cables, fire performance cables, and others. Its products are used in the power, railways, telecom and information technology (IT), petrochemicals, construction, and defense industries. The company operates in a single business segment which is Wire and Cables comprising of power cables, telecom cables, railway cables and specialised cables.
85GF Score
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