Starcore International Mines (OTCPK:SHVLF) 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.
Starcore International Mines Operating Margin % Related Terms
Starcore International Mines 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.
Starcore International Mines Operating Margin % Chart
Starcore International Mines Operating Margin % Competitor Comparison
For the Other Industrial Metals & Mining subindustry, Starcore International Mines'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.
Starcore International Mines Operating Margin % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Starcore International Mines's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Starcore International Mines's Operating Margin % falls into.
Starcore International Mines 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.
Starcore International Mines (SHVLF) has a Operating Margin % of 11.46% as of Jan. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Starcore International Mines and its competitors. According to the industry distribution chart, Starcore International Mines ranks #484 out of 841 companies in the Metals & Mining industry, placing it in the top 57.6%.
Is Starcore International Mines' Operating Margin % too high?
Starcore International Mines' current Operating Margin % is 11.46%. The Metals & Mining industry median Operating Margin % is 5.79. Starcore International Mines' value of 11.46% is 97.9% above this industry median. Based on the distribution chart, Starcore International Mines ranks #484 out of 841 companies in the Metals & Mining industry, which is below the industry midpoint. Overall, Starcore International Mines has a GF Score™ of 41/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Starcore International Mines' Operating Margin % compare to competitors?
According to the Metals & Mining industry distribution chart, Starcore International Mines ranks #484 out of 841 companies for Operating Margin %. This places Starcore International Mines in the lower half of its industry. The industry median Operating Margin % is 5.79. Starcore International Mines' value of 11.46% is 97.9% 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 Metals & Mining company?
The median Operating Margin % among Metals & Mining companies is 5.79, based on 841 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. Starcore International Mines's current Operating Margin % of 11.46% is 97.9% 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 Starcore International Mines and its competitors. For the Metals & Mining industry, the median Operating Margin % is 5.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Starcore International Mines's current Operating Margin % is 11.46%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Starcore International Mines stock overvalued right now?
Based on GuruFocus' analysis, Starcore International Mines (SHVLF) is currently considered Significantly Overvalued. The stock's GF Value™ is $0.14, compared to a current price of $0.33 — trading 136.1% above its estimated fair value. The current Operating Margin % is 11.46% and 97.9% above the Metals & Mining industry median of 5.79. Starcore International Mines' overall GF Score™ is 41/100 with 4 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 Starcore International Mines (SHVLF), the current Operating Margin % is 11.46% as of Jan. 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 Starcore International Mines (SHVLF) Overvalued in 2026?
Based on GuruFocus' analysis, Starcore International Mines stock appears to be overvalued.
The current stock price of $0.33 is trading 136.1% above its estimated GF Value™ of $0.14.
GuruFocus considers Starcore International Mines to be Significantly Overvalued.
Key valuation signals for SHVLF:
Operating Margin %: 11.46%
GF Value™: $0.14 vs. price of $0.33 (136.1% above fair value)
Industry Position: 97.9% above the Metals & Mining median (#484 of 841)
No single metric tells the full story. See the SHVLF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Starcore International Mines Ltd is in the business of exploration, development, and production of minerals. It has got products in various stages The San Martin being the primary source of operating cash flows. In Mexico, the business holds an interest in the silver and gold processing plant. Some of its projects include San Martin, El Creston, and Toiyabe among others. The majority of the organization's revenue comes from Bernal, Mexico. The Company is also engaged in acquiring mining related operating assets and exploration assets in North America and West Africa directly and through corporate acquisitions.
41GF Score
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