MegaworldPHS:MEG +0.49%92 Operating Margin % is 38.67% as of Mar. 2026, which is 2% below its 10-year median of 39.60. GuruFocus rates PHS:MEG with a GF Score™ of 92/100 and a GF Value™ of ₱2.06 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,745 Real Estate companies, Megaworld ranks better than 78.85% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Megaworld's Operating Income for the
three
months ended in Mar. 2026 was ₱7,909 Mil. Megaworld's Revenue for the
three
months ended in Mar. 2026 was ₱20,456 Mil. Therefore, Megaworld's Operating Margin % for the quarter that ended in Mar. 2026 was 38.67%.
Good Sign:
Megaworld Corp operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Megaworld's Operating Margin % or its related term are showing as below:
PHS:MEG'
s Operating Margin % Range Over the Past 10 Years
Min: 35.49 Med: 39.6 Max: 42.38
Current: 39.66
PHS:MEG's Operating Margin % is ranked better than 78.85% of 1745
companies
in the Real Estate industry
Industry Median: 13.21
vs PHS:MEG: 39.66
Megaworld's 5-Year Average Operating Margin % Growth Rate was 2.10% per year.
Megaworld's Operating Income for the
three
months ended in Mar. 2026 was ₱7,909 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ₱31,617 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.
Megaworld Operating Margin % Related Terms
Megaworld Operating Margin % Historical Data
* Premium members only.
The historical data trend for Megaworld'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.
For the Real Estate - Development subindustry, Megaworld'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.
Megaworld Operating Margin % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Megaworld's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Megaworld'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.
Megaworld's Operating Margin % for the fiscal year that ended in Dec. 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.
Megaworld (PHS:MEG) has a Operating Margin % of 38.67% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Megaworld and its competitors. This is near median its historical median of 39.60. Over the past decade, Megaworld's Operating Margin % has ranged from 35.49 to 42.38. According to the industry distribution chart, Megaworld ranks #369 out of 1745 companies in the Real Estate industry, placing it in the top 21.1%.
Is Megaworld's Operating Margin % too high?
Megaworld's current Operating Margin % of 38.67% is near median its 10-year median of 39.60. Over the past 10 years, this metric has ranged from a low of 35.49 to a high of 42.38. The Real Estate industry median Operating Margin % is 13.21. Megaworld's value of 38.67% is 192.7% above this industry median. Based on the distribution chart, Megaworld ranks #369 out of 1745 companies in the Real Estate industry, which is in the top quartile — a strong position relative to peers. Overall, Megaworld has a GF Score™ of 92/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Megaworld's Operating Margin % compare to competitors?
According to the Real Estate industry distribution chart, Megaworld ranks #369 out of 1745 companies for Operating Margin %. This places Megaworld in the top 21% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 13.21. Megaworld's value of 38.67% is 192.7% above this benchmark. Historically, Megaworld's own Operating Margin % has ranged from 35.49 to 42.38 over the past decade. While the company's 10-year median is 39.60 vs. the industry median of 13.21, Megaworld 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 Real Estate company?
The median Operating Margin % among Real Estate companies is 13.21, based on 1,745 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. Megaworld's current Operating Margin % of 38.67% is 192.7% 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 Megaworld and its competitors. For the Real Estate industry, the median Operating Margin % is 13.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Megaworld's current Operating Margin % is 38.67%, which is near median its own 10-year median of 39.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Megaworld stock overvalued right now?
Based on GuruFocus' analysis, Megaworld (PHS:MEG) is currently considered Fairly Valued. The stock's GF Value™ is ₱2.06, compared to a current price of ₱2.05 — trading 0.5% below its estimated fair value. The current Operating Margin % is 38.67%, which is near median its 10-year median of 39.60 and 192.7% above the Real Estate industry median of 13.21. Megaworld's overall GF Score™ is 92/100 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 Megaworld (PHS:MEG), the current Operating Margin % is 38.67% 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 Megaworld (PHS:MEG) Overvalued in 2026?
Based on GuruFocus' analysis, Megaworld stock appears to be undervalued.
The current stock price of ₱2.05 is trading 0.5% below its estimated GF Value™ of ₱2.06.
GuruFocus considers Megaworld to be Fairly Valued.
Key valuation signals for PHS:MEG:
Operating Margin %: 38.67% (near median its 10-year median of 39.60)
GF Value™: ₱2.06 vs. price of ₱2.05 (0.5% below fair value)
Industry Position: 192.7% above the Real Estate median (#369 of 1745)
No single metric tells the full story. See the PHS:MEG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Megaworld Corp is one of the property developers in the Philippines and is engaged in the development of large-scale mixed-use planned communities, or community townships, that comprise residential, commercial and office developments and integrate leisure, entertainment and educational/training components. The Company's real estate portfolio includes residential condominium units, subdivision lots and townhouses as well as office projects and retail space. It has the following three primary business segments: (i)The Rental segment, (ii) management of hotel operations and The Real Estate segment. The Rental segment includes leasing of office and commercial spaces and the Hotel Operations segment relates to the management of hotel business operations.
92GF Score
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