Performance ShippingPSHG +0.12%59 Operating Margin % is 44.82% as of Mar. 2026, which is 337% above its 10-year median of 10.25. GuruFocus rates PSHG with a GF Score™ of 59/100 and a GF Value™ of $2.07 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,007 Transportation companies, Performance Shipping ranks better than 95.43% on this metric.
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.
Performance Shipping Operating Margin % Related Terms
Performance Shipping Operating Margin % Historical Data
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The historical data trend for Performance Shipping'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.
PSHG vs UFG, VNTG, HTCO: Operating Margin % Comparison
For the Marine Shipping subindustry, Performance Shipping'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.
Performance Shipping Operating Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, Performance Shipping's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Performance Shipping'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.
Performance Shipping'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.
Performance Shipping (PSHG) has a Operating Margin % of 44.82% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Performance Shipping and its competitors. This is 337% above median its historical median of 10.25. According to the industry distribution chart, Performance Shipping ranks #46 out of 1007 companies in the Transportation industry, placing it in the top 4.6%.
Is Performance Shipping's Operating Margin % too high?
Performance Shipping's current Operating Margin % of 44.82% is 337% above median its 10-year median of 10.25. The Transportation industry median Operating Margin % is 7.36. Performance Shipping's value of 44.82% is 509% above this industry median. Based on the distribution chart, Performance Shipping ranks #46 out of 1007 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, Performance Shipping has a GF Score™ of 59/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Performance Shipping's Operating Margin % compare to UFG and VNTG?
According to the Transportation industry distribution chart, Performance Shipping ranks #46 out of 1007 companies for Operating Margin %. This places Performance Shipping in the top 5% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 7.36. Performance Shipping's value of 44.82% is 509% above this benchmark. While the company's 10-year median is 10.25 vs. the industry median of 7.36, Performance Shipping 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. Performance Shipping's current Operating Margin % of 44.82% is 509% 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 Performance Shipping 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. Performance Shipping's current Operating Margin % is 44.82%, which is 337% above median its own 10-year median of 10.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Performance Shipping stock overvalued right now?
Based on GuruFocus' analysis, Performance Shipping (PSHG) is currently considered Modestly Undervalued. The stock's GF Value™ is $2.07, compared to a current price of $1.69 — trading 18.3% below its estimated fair value. The current Operating Margin % is 44.82%, which is 337% above median its 10-year median of 10.25 and 509% above the Transportation industry median of 7.36. Performance Shipping's overall GF Score™ is 59/100 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 Performance Shipping (PSHG), the current Operating Margin % is 44.82% 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 Performance Shipping (PSHG) Overvalued in 2026?
Based on GuruFocus' analysis, Performance Shipping stock appears to be undervalued.
The current stock price of $1.69 is trading 18.3% below its estimated GF Value™ of $2.07.
GuruFocus considers Performance Shipping to be Modestly Undervalued.
Key valuation signals for PSHG:
Operating Margin %: 44.82% (337% above median its 10-year median of 10.25)
GF Value™: $2.07 vs. price of $1.69 (18.3% below fair value)
Industry Position: 509% above the Transportation median (#46 of 1007)
No single metric tells the full story. See the PSHG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Performance Shipping Inc is a shipping company. The company is a provider of shipping transportation services through the ownership of tanker vessels. The company's vessels are employed on time charters with liner companies carrying container vessels and cargo along various shipping routes. It owns and operates Aframax and Suezmax tanker vessels.
59GF Score
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