Shenandoah Telecommunications Co had lost money in 83% of the time over the past 12quarters.
Shenandoah Telecommunications Co (NAS:SHEN) 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.
Shenandoah Telecommunications Co Operating Margin % Related Terms
Shenandoah Telecommunications 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.
Shenandoah Telecommunications Co Operating Margin % Chart
SHEN vs CCOI, GLIBA, GOGO: Operating Margin % Comparison
For the Telecom Services subindustry, Shenandoah Telecommunications 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.
Shenandoah Telecommunications Co Operating Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Shenandoah Telecommunications Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Shenandoah Telecommunications Co's Operating Margin % falls into.
Shenandoah Telecommunications 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.
Shenandoah Telecommunications Co (SHEN) 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 Shenandoah Telecommunications Co and its competitors. According to the industry distribution chart, Shenandoah Telecommunications Co ranks #318 out of 367 companies in the Telecommunication Services industry, placing it in the top 86.6%.
Is Shenandoah Telecommunications Co's Operating Margin % too high?
Shenandoah Telecommunications Co's current Operating Margin % is -8.71%. Based on the distribution chart, Shenandoah Telecommunications Co ranks #318 out of 367 companies in the Telecommunication Services industry, which is in the bottom quartile relative to peers. Overall, Shenandoah Telecommunications Co has a GF Score™ of 61/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Shenandoah Telecommunications Co's Operating Margin % compare to CCOI and GLIBA?
According to the Telecommunication Services industry distribution chart, Shenandoah Telecommunications Co ranks #318 out of 367 companies for Operating Margin %. This places Shenandoah Telecommunications Co in the lower half of its industry. The industry median Operating Margin % is 9.73. 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 Telecommunication Services company?
The median Operating Margin % among Telecommunication Services companies is 9.73, based on 367 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. 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 Shenandoah Telecommunications Co and its competitors. For the Telecommunication Services industry, the median Operating Margin % is 9.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shenandoah Telecommunications Co'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 Shenandoah Telecommunications Co stock overvalued right now?
Based on GuruFocus' analysis, Shenandoah Telecommunications Co (SHEN) is currently considered Fairly Valued. The stock's GF Value™ is $16.31, compared to a current price of $15.45 — trading 5.3% below its estimated fair value. The current Operating Margin % is -8.71%. Shenandoah Telecommunications Co's overall GF Score™ is 61/100 with 10 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 Shenandoah Telecommunications Co (SHEN), 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 Shenandoah Telecommunications Co (SHEN) Overvalued in 2026?
Based on GuruFocus' analysis, Shenandoah Telecommunications Co stock appears to be undervalued.
The current stock price of $15.45 is trading 5.3% below its estimated GF Value™ of $16.31.
GuruFocus considers Shenandoah Telecommunications Co to be Fairly Valued.
Key valuation signals for SHEN:
Operating Margin %: -8.71%
GF Value™: $16.31 vs. price of $15.45 (5.3% below fair value)
No single metric tells the full story. See the SHEN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shenandoah Telecommunications Co Business Description
Shenandoah Telecommunications Co with its subsidiaries, provides various broadband communication products and services via its wireless, cable, fiber optic, and fixed wireless networks to customers in the Mid-Atlantic United States. The company operates through one business unit: Broadband. The broadband segment provides broadband Internet, video, and voice services to residential and commercial customers. The broadband segment generates the vast majority of the company's revenue, with the bulk of sales flowing from residential and small, and medium businesses within the broadband unit.
61GF Score
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