Planet Green Holdings Corp had lost money in 92% of the time over the past 12quarters.
Planet Green Holdings (AMEX:PLAG) 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.
Planet Green Holdings Operating Margin % Related Terms
Planet Green Holdings Operating Margin % Historical Data
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The historical data trend for Planet Green Holdings'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.
PLAG vs HHS, LGPS, STRR: Operating Margin % Comparison
For the Conglomerates subindustry, Planet Green Holdings'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.
Planet Green Holdings Operating Margin % vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Planet Green Holdings's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Planet Green Holdings's Operating Margin % falls into.
Planet Green Holdings 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.
Planet Green Holdings'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.
Planet Green Holdings (PLAG) has a Operating Margin % of 8.71% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Planet Green Holdings and its competitors. According to the industry distribution chart, Planet Green Holdings ranks #534 out of 545 companies in the Conglomerates industry, placing it in the top 98%.
Is Planet Green Holdings' Operating Margin % too high?
Planet Green Holdings' current Operating Margin % is 8.71%. The Conglomerates industry median Operating Margin % is 5.93. Planet Green Holdings' value of 8.71% is 46.9% above this industry median. Based on the distribution chart, Planet Green Holdings ranks #534 out of 545 companies in the Conglomerates industry, which is in the bottom quartile relative to peers. Overall, Planet Green Holdings has a GF Score™ of 50/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Planet Green Holdings' Operating Margin % compare to HHS and LGPS?
According to the Conglomerates industry distribution chart, Planet Green Holdings ranks #534 out of 545 companies for Operating Margin %. This places Planet Green Holdings in the lower half of its industry. The industry median Operating Margin % is 5.93. Planet Green Holdings' value of 8.71% is 46.9% 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 Conglomerates company?
The median Operating Margin % among Conglomerates companies is 5.93, based on 545 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. Planet Green Holdings's current Operating Margin % of 8.71% is 46.9% 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 Planet Green Holdings and its competitors. For the Conglomerates industry, the median Operating Margin % is 5.93 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Planet Green Holdings's current Operating Margin % is 8.71%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Planet Green Holdings stock overvalued right now?
Based on GuruFocus' analysis, Planet Green Holdings (PLAG) is currently considered Significantly Overvalued. The stock's GF Value™ is $1.29, compared to a current price of $1.71 — trading 32.2% above its estimated fair value. The current Operating Margin % is 8.71% and 46.9% above the Conglomerates industry median of 5.93. Planet Green Holdings' overall GF Score™ is 50/100 with 8 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 Planet Green Holdings (PLAG), the current Operating Margin % is 8.71% 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 Planet Green Holdings (PLAG) Overvalued in 2026?
Based on GuruFocus' analysis, Planet Green Holdings stock appears to be overvalued.
The current stock price of $1.71 is trading 32.2% above its estimated GF Value™ of $1.29.
GuruFocus considers Planet Green Holdings to be Significantly Overvalued.
Key valuation signals for PLAG:
Operating Margin %: 8.71%
GF Value™: $1.29 vs. price of $1.71 (32.2% above fair value)
Industry Position: 46.9% above the Conglomerates median (#534 of 545)
No single metric tells the full story. See the PLAG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Planet Green Holdings Corp is a diversified technology and consumer products company with a presence in North America and China engaged in Chemical Products, Tea Products, and Online Advertising Services. The company operates in three segments namely to grow, produce, and distribute Cyan brick tea, black tea, and green tea in China; to research, develop, manufacture, and sell chemical products including formaldehyde, urea formaldehyde adhesive, methylal, ethanol fuel, fuel additives and clean fuel in China; and to develop and operate a demand-side platform which empowers buyers of advertising to manage and optimize their digital advertising across different real-time bidding networks in North America and China.
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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