Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Middle East Healthcare CoSAU:4009 +0.60%79 Operating Margin % is 9.74% as of Mar. 2026, which is 20% below its 10-year median of 12.15. GuruFocus rates SAU:4009 with a GF Score™ of 79/100 and a GF Value™ of ﷼80.23 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 662 Healthcare Providers & Services companies, Middle East Healthcare Co ranks better than 73.87% on this metric.
Middle East Healthcare Co operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Middle East Healthcare Co's Operating Margin % or its related term are showing as below:
SAU:4009'
s Operating Margin % Range Over the Past 10 Years
Min: 3.34 Med: 12.15 Max: 22.25
Current: 11.68
SAU:4009's Operating Margin % is ranked better than 73.87% of 662
companies
in the Healthcare Providers & Services industry
Industry Median: 4.865
vs SAU:4009: 11.68
Middle East Healthcare Co (SAU:4009) 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.
Middle East Healthcare Co Operating Margin % Related Terms
Middle East Healthcare 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.
Middle East Healthcare Co Operating Margin % Chart
SAU:4009 vs HCA, THC, DVA: Operating Margin % Comparison
For the Medical Care Facilities subindustry, Middle East Healthcare 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.
Middle East Healthcare Co Operating Margin % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Middle East Healthcare Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Middle East Healthcare Co's Operating Margin % falls into.
Middle East Healthcare 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.
Middle East Healthcare Co'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.
Middle East Healthcare Co (SAU:4009) has a Operating Margin % of 9.74% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Middle East Healthcare Co and its competitors. This is 20% below median its historical median of 12.15. Over the past decade, Middle East Healthcare Co's Operating Margin % has ranged from 3.34 to 22.25. According to the industry distribution chart, Middle East Healthcare Co ranks #173 out of 662 companies in the Healthcare Providers & Services industry, placing it in the top 26.1%.
Is Middle East Healthcare Co's Operating Margin % too high?
Middle East Healthcare Co's current Operating Margin % of 9.74% is 20% below median its 10-year median of 12.15. Over the past 10 years, this metric has ranged from a low of 3.34 to a high of 22.25. The Healthcare Providers & Services industry median Operating Margin % is 4.87. Middle East Healthcare Co's value of 9.74% is 100.2% above this industry median. Based on the distribution chart, Middle East Healthcare Co ranks #173 out of 662 companies in the Healthcare Providers & Services industry, which is above the industry midpoint. Overall, Middle East Healthcare Co has a GF Score™ of 79/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Middle East Healthcare Co's Operating Margin % compare to HCA and THC?
According to the Healthcare Providers & Services industry distribution chart, Middle East Healthcare Co ranks #173 out of 662 companies for Operating Margin %. This puts Middle East Healthcare Co in the upper half of its industry. The industry median Operating Margin % is 4.87. Middle East Healthcare Co's value of 9.74% is 100.2% above this benchmark. Historically, Middle East Healthcare Co's own Operating Margin % has ranged from 3.34 to 22.25 over the past decade. While the company's 10-year median is 12.15 vs. the industry median of 4.87, Middle East Healthcare 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 a Healthcare Providers & Services company?
The median Operating Margin % among Healthcare Providers & Services companies is 4.87, based on 662 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. Middle East Healthcare Co's current Operating Margin % of 9.74% is 100.2% 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 Middle East Healthcare Co and its competitors. For the Healthcare Providers & Services industry, the median Operating Margin % is 4.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Middle East Healthcare Co's current Operating Margin % is 9.74%, which is 20% below median its own 10-year median of 12.15. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Middle East Healthcare Co stock overvalued right now?
Based on GuruFocus' analysis, Middle East Healthcare Co (SAU:4009) is currently considered Possible Value Trap. The stock's GF Value™ is ﷼80.23, compared to a current price of ﷼30.28 — trading 62.3% below its estimated fair value. The current Operating Margin % is 9.74%, which is 20% below median its 10-year median of 12.15 and 100.2% above the Healthcare Providers & Services industry median of 4.87. Middle East Healthcare Co's overall GF Score™ is 79/100 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 Middle East Healthcare Co (SAU:4009), the current Operating Margin % is 9.74% 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 Middle East Healthcare Co (SAU:4009) Overvalued in 2026?
Based on GuruFocus' analysis, Middle East Healthcare Co stock appears to be undervalued.
The current stock price of ﷼30.28 is trading 62.3% below its estimated GF Value™ of ﷼80.23.
GuruFocus considers Middle East Healthcare Co to be Possible Value Trap.
Key valuation signals for SAU:4009:
Operating Margin %: 9.74% (20% below median its 10-year median of 12.15)
GF Value™: ﷼80.23 vs. price of ﷼30.28 (62.3% below fair value)
Industry Position: 100.2% above the Healthcare Providers & Services median (#173 of 662)
No single metric tells the full story. See the SAU:4009 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Middle East Healthcare Co is a Saudi Arabia-based company engaged in the business of managing, operating and maintaining hospitals, medical centers, educational centers, rehabilitation centers, physiotherapy, laboratories and radiology centers, pharmacies, construction, and to buy land for the purpose of constructing medical projects and to establish, manage and organize exhibitions for the company. The company's reportable segments are Inpatient Services, Outpatient Services, Pharmacy Sales and Others. The majority of revenue is derived from the Inpatient Services segment.
79GF Score
Get the complete analysis for SAU:4009
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:4009 has been successfully added to your 
