EQL Pharma ABOSTO:EQL -2.32%42 Operating Margin % is 4.26% as of Mar. 2026, which is 59% below its 10-year median of 10.33. GuruFocus rates OSTO:EQL with a GF Score™ of 42/100. The stock has 4 warning signs investors should review. Among 954 Drug Manufacturers companies, EQL Pharma AB ranks better than 58.7% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. EQL Pharma AB's Operating Income for the
three
months ended in Mar. 2026 was kr5.1 Mil. EQL Pharma AB's Revenue for the
three
months ended in Mar. 2026 was kr120.2 Mil. Therefore, EQL Pharma AB's Operating Margin % for the quarter that ended in Mar. 2026 was 4.26%.
Good Sign:
EQL Pharma AB operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for EQL Pharma AB's Operating Margin % or its related term are showing as below:
OSTO:EQL'
s Operating Margin % Range Over the Past 10 Years
Min: -2.86 Med: 10.33 Max: 18.04
Current: 11.25
OSTO:EQL's Operating Margin % is ranked better than 58.7% of 954
companies
in the Drug Manufacturers industry
Industry Median: 7.58
vs OSTO:EQL: 11.25
EQL Pharma AB's 5-Year Average Operating Margin % Growth Rate was 14.20% per year.
EQL Pharma AB's Operating Income for the
three
months ended in Mar. 2026 was kr5.1 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was kr48.7 Mil.
EQL Pharma AB (OSTO:EQL) Operating Margin % Explanation
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.
EQL Pharma AB Operating Margin % Related Terms
EQL Pharma AB Operating Margin % Historical Data
* Premium members only.
The historical data trend for EQL Pharma AB'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.
OSTO:EQL vs ZTS, UTHR: Operating Margin % Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, EQL Pharma AB'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.
EQL Pharma AB Operating Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, EQL Pharma AB's Operating Margin % distribution charts can be found below:
* The bar in red indicates where EQL Pharma AB'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.
EQL Pharma AB'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.
EQL Pharma AB (OSTO:EQL) has a Operating Margin % of 4.26% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on EQL Pharma AB and its competitors. This is 59% below median its historical median of 10.33. According to the industry distribution chart, EQL Pharma AB ranks #394 out of 954 companies in the Drug Manufacturers industry, placing it in the top 41.3%.
Is EQL Pharma AB's Operating Margin % too high?
EQL Pharma AB's current Operating Margin % of 4.26% is 59% below median its 10-year median of 10.33. The Drug Manufacturers industry median Operating Margin % is 7.58. EQL Pharma AB's value of 4.26% is 43.8% below this industry median. Based on the distribution chart, EQL Pharma AB ranks #394 out of 954 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, EQL Pharma AB has a GF Score™ of 42/100, reflecting its overall financial health beyond just this single metric.
How does EQL Pharma AB's Operating Margin % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, EQL Pharma AB ranks #394 out of 954 companies for Operating Margin %. This puts EQL Pharma AB in the upper half of its industry. The industry median Operating Margin % is 7.58. EQL Pharma AB's value of 4.26% is 43.8% below this benchmark. While the company's 10-year median is 10.33 vs. the industry median of 7.58, EQL Pharma AB 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 Drug Manufacturers company?
The median Operating Margin % among Drug Manufacturers companies is 7.58, based on 954 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. EQL Pharma AB's current Operating Margin % of 4.26% is 43.8% 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 EQL Pharma AB and its competitors. For the Drug Manufacturers industry, the median Operating Margin % is 7.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. EQL Pharma AB's current Operating Margin % is 4.26%, which is 59% below median its own 10-year median of 10.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is EQL Pharma AB stock overvalued right now?
EQL Pharma AB (OSTO:EQL) has a current Operating Margin % of 4.26%. The current Operating Margin % is 4.26%, which is 59% below median its 10-year median of 10.33 and 43.8% below the Drug Manufacturers industry median of 7.58. EQL Pharma AB's overall GF Score™ is 42/100 with 4 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 EQL Pharma AB (OSTO:EQL), the current Operating Margin % is 4.26% 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.
EQL Pharma AB is a pharmaceutical company focused on efficiently and thoughtfully developing and marketing generic drugs. The company operates in one segment, which is medicine. Its niche generics are divided into four parts based on four sales and marketing models: Retail, Hospital, Branded, and Tests. EQL Pharma specializes in identifying, developing, and selling generics, i.e., medicines that are medically equivalent to originator medicines. The company operates in Sweden, Denmark, Norway, Finland, the rest of Europe, and outside Europe, generating the majority of its revenue from Sweden.
42GF Score
Get the complete analysis for OSTO:EQL
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
OSTO:EQL has been successfully added to your 
