Radico KhaitanNSE:RADICO +1.92%88 Operating Margin % is 16.11% as of Mar. 2026, which is 32% above its 10-year median of 12.22. GuruFocus rates NSE:RADICO with a GF Score™ of 88/100 and a GF Value™ of ₹2,986.81 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 210 Beverages - Alcoholic companies, Radico Khaitan ranks better than 68.57% on this metric.
Radico Khaitan Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -1.1%.
The historical rank and industry rank for Radico Khaitan's Operating Margin % or its related term are showing as below:
NSE:RADICO'
s Operating Margin % Range Over the Past 10 Years
Min: 9.12 Med: 12.22 Max: 15.01
Current: 14.35
NSE:RADICO's Operating Margin % is ranked better than 68.57% of 210
companies
in the Beverages - Alcoholic industry
Industry Median: 7.915
vs NSE:RADICO: 14.35
Radico Khaitan's 5-Year Average Operating Margin % Growth Rate was -1.10% per year.
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.
Radico Khaitan Operating Margin % Related Terms
Radico Khaitan Operating Margin % Historical Data
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The historical data trend for Radico Khaitan'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.
For the Beverages - Wineries & Distilleries subindustry, Radico Khaitan'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.
Radico Khaitan Operating Margin % vs Beverages - Alcoholic Industry
For the Beverages - Alcoholic industry and Consumer Defensive sector, Radico Khaitan's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Radico Khaitan'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.
Radico Khaitan'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.
Radico Khaitan (NSE:RADICO) has a Operating Margin % of 16.11% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Radico Khaitan and its competitors. This is 32% above median its historical median of 12.22. Over the past decade, Radico Khaitan's Operating Margin % has ranged from 9.12 to 15.01. According to the industry distribution chart, Radico Khaitan ranks #66 out of 210 companies in the Beverages - Alcoholic industry, placing it in the top 31.4%.
Is Radico Khaitan's Operating Margin % too high?
Radico Khaitan's current Operating Margin % of 16.11% is 32% above median its 10-year median of 12.22. Over the past 10 years, this metric has ranged from a low of 9.12 to a high of 15.01. The Beverages - Alcoholic industry median Operating Margin % is 7.92. Radico Khaitan's value of 16.11% is 103.5% above this industry median. Based on the distribution chart, Radico Khaitan ranks #66 out of 210 companies in the Beverages - Alcoholic industry, which is above the industry midpoint. Overall, Radico Khaitan has a GF Score™ of 88/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Radico Khaitan's Operating Margin % compare to BF.B?
According to the Beverages - Alcoholic industry distribution chart, Radico Khaitan ranks #66 out of 210 companies for Operating Margin %. This puts Radico Khaitan in the upper half of its industry. The industry median Operating Margin % is 7.92. Radico Khaitan's value of 16.11% is 103.5% above this benchmark. Historically, Radico Khaitan's own Operating Margin % has ranged from 9.12 to 15.01 over the past decade. While the company's 10-year median is 12.22 vs. the industry median of 7.92, Radico Khaitan 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 Beverages - Alcoholic company?
The median Operating Margin % among Beverages - Alcoholic companies is 7.92, based on 210 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. Radico Khaitan's current Operating Margin % of 16.11% is 103.5% 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 Radico Khaitan and its competitors. For the Beverages - Alcoholic industry, the median Operating Margin % is 7.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Radico Khaitan's current Operating Margin % is 16.11%, which is 32% above median its own 10-year median of 12.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Radico Khaitan stock overvalued right now?
Based on GuruFocus' analysis, Radico Khaitan (NSE:RADICO) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹2,986.81, compared to a current price of ₹3,829.80 — trading 28.2% above its estimated fair value. The current Operating Margin % is 16.11%, which is 32% above median its 10-year median of 12.22 and 103.5% above the Beverages - Alcoholic industry median of 7.92. Radico Khaitan's overall GF Score™ is 88/100 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 Radico Khaitan (NSE:RADICO), the current Operating Margin % is 16.11% 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 Radico Khaitan (NSE:RADICO) Overvalued in 2026?
Based on GuruFocus' analysis, Radico Khaitan stock appears to be overvalued.
The current stock price of ₹3,829.80 is trading 28.2% above its estimated GF Value™ of ₹2,986.81.
GuruFocus considers Radico Khaitan to be Modestly Overvalued.
Key valuation signals for NSE:RADICO:
Operating Margin %: 16.11% (32% above median its 10-year median of 12.22)
GF Value™: ₹2,986.81 vs. price of ₹3,829.80 (28.2% above fair value)
Industry Position: 103.5% above the Beverages - Alcoholic median (#66 of 210)
No single metric tells the full story. See the NSE:RADICO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Radico Khaitan Ltd is an India-based liquor manufacturing company. Its products include whiskey, vodka, rum, brandy, and gin. The company's brand portfolio includes After Dark Whisky, Contessa Rum, Magic Moments Vodka, Morpheus Brandy, Old Admiral Brandy, and 8 PM Whisky among others. It has three distilleries in Rampur, Uttar Pradesh, and one in Aurangabad, Maharashtra. It produces extra neutral alcohol from molasses, as well as grain. It produces malt spirit and aged grain spirit, as well as matured malt spirit. The company operates in a single segment which is manufacturing and trading in Liquor & Alcohol. Geographically, it derives maximum revenue from India and the rest from overseas markets.
88GF Score
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