MainfreightNZSE:MFT -0.80%91 Operating Margin % is 8.98% as of Mar. 2026, which is 15% above its 10-year median of 7.81. GuruFocus rates NZSE:MFT with a GF Score™ of 91/100 and a GF Value™ of NZ$70.78 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,007 Transportation companies, Mainfreight ranks better than 51.54% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Mainfreight's Operating Income for the
six
months ended in Mar. 2026 was NZ$250 Mil. Mainfreight's Revenue for the
six
months ended in Mar. 2026 was NZ$2,778 Mil. Therefore, Mainfreight's Operating Margin % for the quarter that ended in Mar. 2026 was 8.98%.
Warning Sign:
Mainfreight Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -2.7%.
The historical rank and industry rank for Mainfreight's Operating Margin % or its related term are showing as below:
NZSE:MFT'
s Operating Margin % Range Over the Past 10 Years
Min: 6.4 Med: 7.81 Max: 10.78
Current: 7.6
NZSE:MFT's Operating Margin % is ranked better than 51.54% of 1007
companies
in the Transportation industry
Industry Median: 7.36
vs NZSE:MFT: 7.60
Mainfreight's 5-Year Average Operating Margin % Growth Rate was -2.70% per year.
Mainfreight's Operating Income for the
six
months ended in Mar. 2026 was NZ$250 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was NZ$409 Mil.
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.
Mainfreight Operating Margin % Related Terms
Mainfreight Operating Margin % Historical Data
* Premium members only.
The historical data trend for Mainfreight'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:MFT vs FDX, UPS, JBHT: Operating Margin % Comparison
For the Integrated Freight & Logistics subindustry, Mainfreight'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.
Mainfreight Operating Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, Mainfreight's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Mainfreight'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.
Mainfreight'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.
Mainfreight (NZSE:MFT) has a Operating Margin % of 8.98% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Mainfreight and its competitors. This is 15% above median its historical median of 7.81. Over the past decade, Mainfreight's Operating Margin % has ranged from 6.40 to 10.78. According to the industry distribution chart, Mainfreight ranks #488 out of 1007 companies in the Transportation industry, placing it in the top 48.5%.
Is Mainfreight's Operating Margin % too high?
Mainfreight's current Operating Margin % of 8.98% is 15% above median its 10-year median of 7.81. Over the past 10 years, this metric has ranged from a low of 6.40 to a high of 10.78. The Transportation industry median Operating Margin % is 7.36. Mainfreight's value of 8.98% is 22% above this industry median. Based on the distribution chart, Mainfreight ranks #488 out of 1007 companies in the Transportation industry, which is above the industry midpoint. Overall, Mainfreight has a GF Score™ of 91/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Mainfreight's Operating Margin % compare to FDX and UPS?
According to the Transportation industry distribution chart, Mainfreight ranks #488 out of 1007 companies for Operating Margin %. This puts Mainfreight in the upper half of its industry. The industry median Operating Margin % is 7.36. Mainfreight's value of 8.98% is 22% above this benchmark. Historically, Mainfreight's own Operating Margin % has ranged from 6.40 to 10.78 over the past decade. While the company's 10-year median is 7.81 vs. the industry median of 7.36, Mainfreight 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 Transportation company?
The median Operating Margin % among Transportation companies is 7.36, based on 1,007 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. Mainfreight's current Operating Margin % of 8.98% is 22% 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 Mainfreight and its competitors. For the Transportation industry, the median Operating Margin % is 7.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mainfreight's current Operating Margin % is 8.98%, which is 15% above median its own 10-year median of 7.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mainfreight stock overvalued right now?
Based on GuruFocus' analysis, Mainfreight (NZSE:MFT) is currently considered Modestly Undervalued. The stock's GF Value™ is NZ$70.78, compared to a current price of NZ$59.62 — trading 15.8% below its estimated fair value. The current Operating Margin % is 8.98%, which is 15% above median its 10-year median of 7.81 and 22% above the Transportation industry median of 7.36. Mainfreight's overall GF Score™ is 91/100 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 Mainfreight (NZSE:MFT), the current Operating Margin % is 8.98% 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 Mainfreight (NZSE:MFT) Overvalued in 2026?
Based on GuruFocus' analysis, Mainfreight stock appears to be undervalued.
The current stock price of NZ$59.62 is trading 15.8% below its estimated GF Value™ of NZ$70.78.
GuruFocus considers Mainfreight to be Modestly Undervalued.
Key valuation signals for NZSE:MFT:
Operating Margin %: 8.98% (15% above median its 10-year median of 7.81)
GF Value™: NZ$70.78 vs. price of NZ$59.62 (15.8% below fair value)
Industry Position: 22% above the Transportation median (#488 of 1007)
No single metric tells the full story. See the NZSE:MFT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mainfreight Ltd is in the supply chain logistics business. It provides the full spectrum of warehousing, Transport, and international air and ocean freight services. Geographically, it operates businesses in New Zealand, Australia, Europe, The Americas, Asia, and others.
91GF Score
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