PHR (Phreesia) Operating Margin %: 5.15% (As of Apr. 2026)


PHR Phreesia Inc PHR
65 GF Score
Price $9.42
GF Value $26.97
Valuation Possible Value Trap
! 3 Warning Signs
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What is Phreesia Operating Margin %?

Phreesia PHR -1.77% 65 Operating Margin % is 5.15% as of Apr. 2026. GuruFocus rates PHR with a GF Score™ of 65/100 and a GF Value™ of $26.97 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 668 Healthcare Providers & Services companies, Phreesia ranks worse than 66.02% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Phreesia's Operating Income for the three months ended in Apr. 2026 was $6.7 Mil. Phreesia's Revenue for the three months ended in Apr. 2026 was $130.9 Mil. Therefore, Phreesia's Operating Margin % for the quarter that ended in Apr. 2026 was 5.15%.

Good Sign:

Phreesia Inc operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Phreesia's Operating Margin % or its related term are showing as below:

PHR' s Operating Margin % Range Over the Past 10 Years
Min: -62.85   Med: -17.27   Max: 0.69
Current: 0.69


PHR's Operating Margin % is ranked worse than
66.02% of 668 companies
in the Healthcare Providers & Services industry
Industry Median: 4.845 vs PHR: 0.69

Phreesia's 5-Year Average Operating Margin % Growth Rate was 38.90% per year.

Phreesia's Operating Income for the three months ended in Apr. 2026 was $6.7 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Apr. 2026 was $3.4 Mil.


Phreesia  (NYSE:PHR) 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 Nokia’s 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.


Phreesia Operating Margin % Related Terms


Phreesia Operating Margin % Historical Data

* Premium members only.

The historical data trend for Phreesia'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.

Phreesia Operating Margin % Chart

Phreesia Annual Data
Trend Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25 Jan26
Operating Margin %
Get a 7-Day Free Trial Premium Member Only -54.78 -62.85 -38.30 -13.84 -1.38

Phreesia Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -2.84 -1.29 3.11 -4.37 5.15

PHR vs HSTM, WEAV, EVH: Operating Margin % Comparison

For the Health Information Services subindustry, Phreesia'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.


Phreesia Operating Margin % vs Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Phreesia's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Phreesia's Operating Margin % falls into.


PHR
65GF Score
Phreesia Inc PHR
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Phreesia Operating Margin % Calculation

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.

Phreesia's Operating Margin % for the fiscal year that ended in Jan. 2026 is calculated as

Operating Margin %=Operating Income (A: Jan. 2026 ) / Revenue (A: Jan. 2026 )
=-6.612 / 480.591
=-1.38 %

Phreesia's Operating Margin % for the quarter that ended in Apr. 2026 is calculated as

Operating Margin %=Operating Income (Q: Apr. 2026 ) / Revenue (Q: Apr. 2026 )
=6.749 / 130.935
=5.15 %

* 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.

Frequently Asked Questions Learn more about Operating Margin % →
What does a Operating Margin % of 5.15% mean?
Phreesia (PHR) has a Operating Margin % of 5.15% as of Apr. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Phreesia and its competitors. According to the industry distribution chart, Phreesia ranks #441 out of 668 companies in the Healthcare Providers & Services industry, placing it in the top 66%.
Is Phreesia's Operating Margin % too high?
Phreesia's current Operating Margin % is 5.15%. The Healthcare Providers & Services industry median Operating Margin % is 4.85. Phreesia's value of 5.15% is 6.3% above this industry median. Based on the distribution chart, Phreesia ranks #441 out of 668 companies in the Healthcare Providers & Services industry, which is below the industry midpoint. Overall, Phreesia has a GF Score™ of 65/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Phreesia's Operating Margin % compare to HSTM and WEAV?
According to the Healthcare Providers & Services industry distribution chart, Phreesia ranks #441 out of 668 companies for Operating Margin %. This places Phreesia in the lower half of its industry. The industry median Operating Margin % is 4.85. Phreesia's value of 5.15% is 6.3% above this benchmark. 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 Healthcare Providers & Services company?
The median Operating Margin % among Healthcare Providers & Services companies is 4.85, based on 668 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. Phreesia's current Operating Margin % of 5.15% is 6.3% 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 Phreesia and its competitors. For the Healthcare Providers & Services industry, the median Operating Margin % is 4.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Phreesia's current Operating Margin % is 5.15%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Phreesia stock overvalued right now?
Based on GuruFocus' analysis, Phreesia (PHR) is currently considered Possible Value Trap. The stock's GF Value™ is $26.97, compared to a current price of $9.42 — trading 65.1% below its estimated fair value. The current Operating Margin % is 5.15% and 6.3% above the Healthcare Providers & Services industry median of 4.85. Phreesia's overall GF Score™ is 65/100 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 Phreesia (PHR), the current Operating Margin % is 5.15% as of Apr. 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 Phreesia (PHR) Overvalued in 2026?

Based on GuruFocus' analysis, Phreesia stock appears to be undervalued. The current stock price of $9.42 is trading 65.1% below its estimated GF Value™ of $26.97. GuruFocus considers Phreesia to be Possible Value Trap.

Key valuation signals for PHR:

  • Operating Margin %: 5.15%
  • GF Value™: $26.97 vs. price of $9.42 (65.1% below fair value)
  • GF Score™: 65/100 with 3 warning signs
  • Industry Position: 6.3% above the Healthcare Providers & Services median (#441 of 668)

No single metric tells the full story. See the PHR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Phreesia Business Description

Other Exchanges 19P:Germany
Address 1521 Concord Pike, Suite 301, PMB 221, Wilmington, DE, USA, 19803
Phreesia Inc is a provides an integrated software, payments, and engagement platform designed to address three foundational challenges in healthcare delivery: access to care, affordability of care, and patient health outcomes. Its platform is embedded directly into provider workflows and patient interactions, enabling healthcare organizations to activate patients, streamline administrative processes, and improve financial performance across the care continuum. The group serves a diverse group of healthcare organizations, including ambulatory practices, health systems, and hospitals, as well as life sciences companies, government entities, patient advocacy, public interest, and not-for-profit and other organizations.
65GF Score

Get the complete analysis for PHR

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$9.42
Price
$26.97
GF Value