Vibhor Steel TubesNSE:VSTL -0.44%32 Operating Margin % is 2.85% as of Mar. 2026, which is 3% above its 10-year median of 2.76. GuruFocus rates NSE:VSTL with a GF Score™ of 32/100. The stock has 3 warning signs investors should review. Among 616 Steel companies, Vibhor Steel Tubes ranks worse than 55.52% 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.
Vibhor Steel Tubes Operating Margin % Related Terms
Vibhor Steel Tubes Operating Margin % Historical Data
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The historical data trend for Vibhor Steel Tubes'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:VSTL vs NUE, STLD, RS: Operating Margin % Comparison
For the Steel subindustry, Vibhor Steel Tubes'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.
Vibhor Steel Tubes Operating Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Vibhor Steel Tubes's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Vibhor Steel Tubes'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.
Vibhor Steel Tubes'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.
Vibhor Steel Tubes (NSE:VSTL) has a Operating Margin % of 2.85% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Vibhor Steel Tubes and its competitors. This is near median its historical median of 2.76. Over the past decade, Vibhor Steel Tubes' Operating Margin % has ranged from 2.33 to 3.79. According to the industry distribution chart, Vibhor Steel Tubes ranks #342 out of 616 companies in the Steel industry, placing it in the top 55.5%.
Is Vibhor Steel Tubes' Operating Margin % too high?
Vibhor Steel Tubes' current Operating Margin % of 2.85% is near median its 10-year median of 2.76. Over the past 10 years, this metric has ranged from a low of 2.33 to a high of 3.79. The Steel industry median Operating Margin % is 3.00. Vibhor Steel Tubes' value of 2.85% is 5% below this industry median. Based on the distribution chart, Vibhor Steel Tubes ranks #342 out of 616 companies in the Steel industry, which is below the industry midpoint. Overall, Vibhor Steel Tubes has a GF Score™ of 32/100, reflecting its overall financial health beyond just this single metric.
How does Vibhor Steel Tubes' Operating Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Vibhor Steel Tubes ranks #342 out of 616 companies for Operating Margin %. This places Vibhor Steel Tubes in the lower half of its industry. The industry median Operating Margin % is 3.00. Vibhor Steel Tubes' value of 2.85% is 5% below this benchmark. Historically, Vibhor Steel Tubes' own Operating Margin % has ranged from 2.33 to 3.79 over the past decade. While the company's 10-year median is 2.76 vs. the industry median of 3.00, Vibhor Steel Tubes 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 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. Vibhor Steel Tubes's current Operating Margin % of 2.85% is 5% 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 Vibhor Steel Tubes 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. Vibhor Steel Tubes's current Operating Margin % is 2.85%, which is near median its own 10-year median of 2.76. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vibhor Steel Tubes stock overvalued right now?
Vibhor Steel Tubes (NSE:VSTL) has a current Operating Margin % of 2.85%. The current Operating Margin % is 2.85%, which is near median its 10-year median of 2.76 and 5% below the Steel industry median of 3.00. Vibhor Steel Tubes' overall GF Score™ is 32/100 with 3 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 Vibhor Steel Tubes (NSE:VSTL), the current Operating Margin % is 2.85% 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.
Vibhor Steel Tubes Ltd is a manufacturer and exporter of Mild Steel/Carbon Steel ERW Black and Galvanized Pipes, Hallow Steel Pipe, Cold rolled Steel (CR) Strips/ Coils. Steel pipes and tubes are used pipes for frames and shafts, steel pipes for bicycle frames, steel pipes for furniture, CDW pipes for shockers, steel pipes for various structural purposes, steel pipes for various engineering purposes, and others.
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