National Gas & Industrialization Co (SAU:2080) 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.
National Gas & Industrialization Co Operating Margin % Related Terms
National Gas & Industrialization Co Operating Margin % Historical Data
* 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.
National Gas & Industrialization Co Operating Margin % Chart
SAU:2080 vs XOM, CVX: Operating Margin % Comparison
For the Oil & Gas Integrated subindustry, National Gas & Industrialization Co'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.
National Gas & Industrialization Co Operating Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, National Gas & Industrialization Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where National Gas & Industrialization Co's Operating Margin % falls into.
National Gas & Industrialization Co 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.
* 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.
National Gas & Industrialization Co (SAU:2080) has a Operating Margin % of 7.34% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on National Gas & Industrialization Co and its competitors. This is 40% above median its historical median of 5.25. Over the past decade, National Gas & Industrialization Co's Operating Margin % has ranged from 2.61 to 6.16. According to the industry distribution chart, National Gas & Industrialization Co ranks #473 out of 916 companies in the Oil & Gas industry, placing it in the top 51.6%.
Is National Gas & Industrialization Co's Operating Margin % too high?
National Gas & Industrialization Co's current Operating Margin % of 7.34% is 40% above median its 10-year median of 5.25. Over the past 10 years, this metric has ranged from a low of 2.61 to a high of 6.16. The Oil & Gas industry median Operating Margin % is 6.86. National Gas & Industrialization Co's value of 7.34% is 7% above this industry median. Based on the distribution chart, National Gas & Industrialization Co ranks #473 out of 916 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, National Gas & Industrialization Co has a GF Score™ of 74/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does National Gas & Industrialization Co's Operating Margin % compare to XOM and CVX?
According to the Oil & Gas industry distribution chart, National Gas & Industrialization Co ranks #473 out of 916 companies for Operating Margin %. This places National Gas & Industrialization Co in the lower half of its industry. The industry median Operating Margin % is 6.86. National Gas & Industrialization Co's value of 7.34% is 7% above this benchmark. Historically, National Gas & Industrialization Co's own Operating Margin % has ranged from 2.61 to 6.16 over the past decade. While the company's 10-year median is 5.25 vs. the industry median of 6.86, National Gas & Industrialization Co 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 an Oil & Gas company?
The median Operating Margin % among Oil & Gas companies is 6.86, based on 916 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. National Gas & Industrialization Co's current Operating Margin % of 7.34% is 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 National Gas & Industrialization Co and its competitors. For the Oil & Gas industry, the median Operating Margin % is 6.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. National Gas & Industrialization Co's current Operating Margin % is 7.34%, which is 40% above median its own 10-year median of 5.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is National Gas & Industrialization Co stock overvalued right now?
Based on GuruFocus' analysis, National Gas & Industrialization Co (SAU:2080) is currently considered Modestly Undervalued. The stock's GF Value™ is ﷼100.78, compared to a current price of ﷼72.25 — trading 28.3% below its estimated fair value. The current Operating Margin % is 7.34%, which is 40% above median its 10-year median of 5.25 and 7% above the Oil & Gas industry median of 6.86. National Gas & Industrialization Co's overall GF Score™ is 74/100 with 1 warning sign 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 National Gas & Industrialization Co (SAU:2080), the current Operating Margin % is 7.34% 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 National Gas & Industrialization Co (SAU:2080) Overvalued in 2026?
Based on GuruFocus' analysis, National Gas & Industrialization Co stock appears to be undervalued.
The current stock price of ﷼72.25 is trading 28.3% below its estimated GF Value™ of ﷼100.78.
GuruFocus considers National Gas & Industrialization Co to be Modestly Undervalued.
Key valuation signals for SAU:2080:
Operating Margin %: 7.34% (40% above median its 10-year median of 5.25)
GF Value™: ﷼100.78 vs. price of ﷼72.25 (28.3% below fair value)
Industry Position: 7% above the Oil & Gas median (#473 of 916)
No single metric tells the full story. See the SAU:2080 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
National Gas & Industrialization Co Business Description
National Gas & Industrialization Co is engaged in carrying out all work related to the exploitation, manufacturing, and marketing of all kinds of gas and its derivatives and industrial gases inside and outside the Kingdom of Saudi Arabia. Along with its subsidiaries, it is also involved in other business activities such as; selling, manufacturing, and maintaining cages, cylinders, tanks, and accessories; maintenance of gas networks and accessories; providing water treatment and environmental services; participating in energy production; and acquiring real estate and purchasing land for the construction of buildings, etc. The company's business segments are; Central region SR, which derives maximum revenue, Western region SR, Eastern region SR, and Southern region SR.
74GF Score
Get the complete analysis for SAU:2080
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
SAU:2080 has been successfully added to your 
