Sleep NumberSNBRQ +8.31% Operating Margin % is -4.74% as of Mar. 2026. The stock has 9 warning signs investors should review. Among 433 Furnishings, Fixtures & Appliances companies, Sleep Number ranks worse than 72.52% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Sleep Number's Operating Income for the
three
months ended in Mar. 2026 was $-15 Mil. Sleep Number's Revenue for the
three
months ended in Mar. 2026 was $319 Mil. Therefore, Sleep Number's Operating Margin % for the quarter that ended in Mar. 2026 was -4.74%.
Warning Sign:
Sleep Number Corp operating margin has been in a 5-year decline. The average rate of decline per year is -46.7%.
The historical rank and industry rank for Sleep Number's Operating Margin % or its related term are showing as below:
SNBRQ'
s Operating Margin % Range Over the Past 10 Years
Min: -0.97 Med: 5.94 Max: 9.96
Current: -0.97
SNBRQ's Operating Margin % is ranked worse than 72.52% of 433
companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 3.79
vs SNBRQ: -0.97
Sleep Number's 5-Year Average Operating Margin % Growth Rate was -46.70% per year.
Sleep Number's Operating Income for the
three
months ended in Mar. 2026 was $-15 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was $-13 Mil.
Warning Sign:
Sleep Number Corp has recorded a loss in operating income at least once over the past 3 years.
Sleep Number (OTCPK:SNBRQ) 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.
Sleep Number Operating Margin % Related Terms
Sleep Number Operating Margin % Historical Data
* Premium members only.
The historical data trend for Sleep Number'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.
SNBRQ vs CRWS, NTZ, EFOI: Operating Margin % Comparison
For the Furnishings, Fixtures & Appliances subindustry, Sleep Number'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.
Sleep Number Operating Margin % vs Furnishings, Fixtures & Appliances Industry
For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Sleep Number's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Sleep Number'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.
Sleep Number'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.
Sleep Number (SNBRQ) has a Operating Margin % of -4.74% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Sleep Number and its competitors. According to the industry distribution chart, Sleep Number ranks #314 out of 433 companies in the Furnishings, Fixtures & Appliances industry, placing it in the top 72.5%.
Is Sleep Number's Operating Margin % too high?
Sleep Number's current Operating Margin % is -4.74%. Based on the distribution chart, Sleep Number ranks #314 out of 433 companies in the Furnishings, Fixtures & Appliances industry, which is below the industry midpoint.
How does Sleep Number's Operating Margin % compare to CRWS and NTZ?
According to the Furnishings, Fixtures & Appliances industry distribution chart, Sleep Number ranks #314 out of 433 companies for Operating Margin %. This places Sleep Number in the lower half of its industry. The industry median Operating Margin % is 3.79. 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 Furnishings, Fixtures & Appliances company?
The median Operating Margin % among Furnishings, Fixtures & Appliances companies is 3.79, based on 433 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 Sleep Number and its competitors. For the Furnishings, Fixtures & Appliances industry, the median Operating Margin % is 3.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sleep Number's current Operating Margin % is -4.74%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sleep Number stock overvalued right now?
Based on GuruFocus' analysis, Sleep Number (SNBRQ) is currently considered Possible Value Trap. The stock's GF Value™ is $9.42, compared to a current price of $0.04 — trading 99.6% below its estimated fair value. The current Operating Margin % is -4.74%. 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 Sleep Number (SNBRQ), the current Operating Margin % is -4.74% 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.
Sleep Number Corp is a designer, manufacturer, marketer, and retailer, which allows it to offer consumers high-quality, individualized sleep solutions and services. It also offers FlextFit adjustable bases, and Sleep Number pillows, sheets, and other bedding products. The company generates revenue by marketing its innovations directly to new and existing customers and selling products through its Stores, Online, Phone, Chat (Total Retail), and Other. It focuses on personalized sleep wellness, with mattresses designed to evolve with each sleeper to help them feel and perform well, featuring adjustable firmness, pressure-relieving support, and temperature-balancing comfort built into every mattress. Its products include mattresses, bundles, bedding, pillows, and furniture.
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