Livestock ImprovementNZSE:LIC 74 Operating Margin % is 23.92% as of Nov. 2025, which is 115% above its 10-year median of 11.13. GuruFocus rates NZSE:LIC with a GF Score™ of 74/100 and a GF Value™ of NZ$1.22 (Fairly Valued). The stock has 1 warning sign investors should review. Among 1,951 Consumer Packaged Goods companies, Livestock Improvement ranks better than 67.81% on this metric.
Livestock Improvement Corp Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -6.4%.
The historical rank and industry rank for Livestock Improvement's Operating Margin % or its related term are showing as below:
NZSE:LIC'
s Operating Margin % Range Over the Past 10 Years
Min: -4.21 Med: 11.13 Max: 15.06
Current: 8.94
NZSE:LIC's Operating Margin % is ranked better than 67.81% of 1951
companies
in the Consumer Packaged Goods industry
Industry Median: 5.26
vs NZSE:LIC: 8.94
Livestock Improvement's 5-Year Average Operating Margin % Growth Rate was -6.40% 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.
Livestock Improvement Operating Margin % Related Terms
Livestock Improvement Operating Margin % Historical Data
* Premium members only.
The historical data trend for Livestock Improvement'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.
NZSE:LIC vs ADM, BG, TSN: Operating Margin % Comparison
For the Farm Products subindustry, Livestock Improvement'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.
Livestock Improvement Operating Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Livestock Improvement's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Livestock Improvement'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.
Livestock Improvement's Operating Margin % for the fiscal year that ended in May. 2025 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.
Livestock Improvement (NZSE:LIC) has a Operating Margin % of 23.92% as of Nov. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Livestock Improvement and its competitors. This is 115% above median its historical median of 11.13. According to the industry distribution chart, Livestock Improvement ranks #628 out of 1951 companies in the Consumer Packaged Goods industry, placing it in the top 32.2%.
Is Livestock Improvement's Operating Margin % too high?
Livestock Improvement's current Operating Margin % of 23.92% is 115% above median its 10-year median of 11.13. The Consumer Packaged Goods industry median Operating Margin % is 5.26. Livestock Improvement's value of 23.92% is 354.8% above this industry median. Based on the distribution chart, Livestock Improvement ranks #628 out of 1951 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, Livestock Improvement has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Livestock Improvement's Operating Margin % compare to ADM and BG?
According to the Consumer Packaged Goods industry distribution chart, Livestock Improvement ranks #628 out of 1951 companies for Operating Margin %. This puts Livestock Improvement in the upper half of its industry. The industry median Operating Margin % is 5.26. Livestock Improvement's value of 23.92% is 354.8% above this benchmark. While the company's 10-year median is 11.13 vs. the industry median of 5.26, Livestock Improvement 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 Consumer Packaged Goods company?
The median Operating Margin % among Consumer Packaged Goods companies is 5.26, based on 1,951 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. Livestock Improvement's current Operating Margin % of 23.92% is 354.8% 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 Livestock Improvement and its competitors. For the Consumer Packaged Goods industry, the median Operating Margin % is 5.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Livestock Improvement's current Operating Margin % is 23.92%, which is 115% above median its own 10-year median of 11.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Livestock Improvement stock overvalued right now?
Based on GuruFocus' analysis, Livestock Improvement (NZSE:LIC) is currently considered Fairly Valued. The stock's GF Value™ is NZ$1.22, compared to a current price of NZ$1.20 — trading 1.6% below its estimated fair value. The current Operating Margin % is 23.92%, which is 115% above median its 10-year median of 11.13 and 354.8% above the Consumer Packaged Goods industry median of 5.26. Livestock Improvement's overall GF Score™ is 74/100 with 1 warning sign 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 Livestock Improvement (NZSE:LIC), the current Operating Margin % is 23.92% as of Nov. 2025. 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 Livestock Improvement (NZSE:LIC) Overvalued in 2026?
Based on GuruFocus' analysis, Livestock Improvement stock appears to be undervalued.
The current stock price of NZ$1.20 is trading 1.6% below its estimated GF Value™ of NZ$1.22.
GuruFocus considers Livestock Improvement to be Fairly Valued.
Key valuation signals for NZSE:LIC:
Operating Margin %: 23.92% (115% above median its 10-year median of 11.13)
GF Value™: NZ$1.22 vs. price of NZ$1.20 (1.6% below fair value)
Industry Position: 354.8% above the Consumer Packaged Goods median (#628 of 1951)
No single metric tells the full story. See the NZSE:LIC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Livestock Improvement Corp Ltd is an agri-tech and herd improvement company. The company's operating segments include NZ market genetics; Herd testing; Farm software and international. It generates maximum revenue from the NZ market genetics segment. The NZ market genetics segment provides bovine genetic breeding material and related services, predominately to dairy farmers. Geographically, it derives a majority of revenue from New Zealand.
74GF Score
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