GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » Stagwell Inc (NAS:STGW) » Definitions » Operating Margin %

STGW (Stagwell) Operating Margin % : 5.52% (As of Dec. 2024)


View and export this data going back to 2021. Start your Free Trial

What is Stagwell Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Stagwell's Operating Income for the three months ended in Dec. 2024 was $44 Mil. Stagwell's Revenue for the three months ended in Dec. 2024 was $789 Mil. Therefore, Stagwell's Operating Margin % for the quarter that ended in Dec. 2024 was 5.52%.

Warning Sign:

Stagwell Inc operating margin has been in a 5-year decline. The average rate of decline per year is -8.7%.

The historical rank and industry rank for Stagwell's Operating Margin % or its related term are showing as below:

STGW' s Operating Margin % Range Over the Past 10 Years
Min: 4.03   Med: 5.61   Max: 10.47
Current: 4.74


STGW's Operating Margin % is ranked better than
59.31% of 1037 companies
in the Media - Diversified industry
Industry Median: 2.24 vs STGW: 4.74

Stagwell's 5-Year Average Operating Margin % Growth Rate was -8.70% per year.

Stagwell's Operating Income for the three months ended in Dec. 2024 was $44 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2024 was $135 Mil.


Stagwell Operating Margin % Historical Data

The historical data trend for Stagwell'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.

* Premium members only.

Stagwell Operating Margin % Chart

Stagwell Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Operating Margin %
Get a 7-Day Free Trial 9.43 4.15 10.47 4.03 4.74

Stagwell Quarterly Data
Dec19 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.07 4.08 3.30 5.87 5.52

Competitive Comparison of Stagwell's Operating Margin %

For the Advertising Agencies subindustry, Stagwell'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.


Stagwell's Operating Margin % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Stagwell's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Stagwell's Operating Margin % falls into.


;
;

Stagwell 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.

Stagwell's Operating Margin % for the fiscal year that ended in Dec. 2024 is calculated as

Operating Margin %=Operating Income (A: Dec. 2024 ) / Revenue (A: Dec. 2024 )
=134.783 / 2841.216
=4.74 %

Stagwell's Operating Margin % for the quarter that ended in Dec. 2024 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=43.528 / 788.708
=5.52 %

* 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.


Stagwell  (NAS:STGW) 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 Nokia’s 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.


Stagwell Operating Margin % Related Terms

Thank you for viewing the detailed overview of Stagwell's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Stagwell Business Description

Traded in Other Exchanges
Address
One World Trade Center, Floor 65, New York, NY, USA, 10007
Stagwell Inc is the challenger holding company built to transform marketing. It delivers scaled creative performance for the world's ambitious brands, connecting culture-moving creativity with a technology to harmonize the art and science of marketing. The company's segments include Integrated Agencies Network; Brand Performance Network; and Communications Network. It generates maximum revenue from the Integrated Agencies Network segment. Geographically, it derives a majority of its revenue from the United States.
Executives
Goldman Sachs Group Inc 10 percent owner 200 WEST STREET, NEW YORK NY 10282
Bradley J. Gross director 85 BROAD STREET, NEW YORK NY 10004
Mark Jeffery Penn director, 10 percent owner, officer: Chief Executive Officer 1808 I STREENET, NW, 6TH FLOOR, WASHINGTON DC 20006
Wade Oosterman director C/O INGRAM MICRO INC., 1600 E. ST. ANDREW PLACE, SANTA ANA CA 92705
Peter Mcelligott officer: General Counsel ONE WORLD TRADE CENTER, FLOOR 65, NEW YORK NY 10007
Jay Leveton officer: President 1808 EYE STREET, NW, EIGHTH FLOOR, C/O STAGWELL INC., WASHINGTON DC DC 20006
Vincenzo Dimaggio officer: SVP, Chief Accounting Officer 330 HUDSON STREET, 10TH FLOOR, NEW YORK NY 10013
Alpinvest Partners B.v. 10 percent owner JACHTHAVENWEG 118, AMSTERDAM P7 1081 KJ
Alpinvest Ga Secondary C.v. 10 percent owner C/O ALPINVEST PARTNERS B.V., JACHTHAVENWEG 118, AMSTERDAM P7 1081 KJ
Aj Secondary C.v. 10 percent owner C/O ALPINVEST PARTNERS B.V., JACHTHAVENWEG 118, AMSTERDAM P7 1081 KJ
Alpinvest Partners Us Secondary Investments 2016 I C.v. 10 percent owner C/O ALPINVEST PARTNERS B.V., JACHTHAVENWEG 118, AMSTERDAM P7 1081 KJ
Alpinvest Pep Secondary 2017 C.v. 10 percent owner C/O ALPINVEST PARTNERS B.V., JACHTHAVENWEG 118, AMSTERDAM P7 1081 KJ
Alpinvest Secondaries Fund Vi C.v. 10 percent owner C/O ALPINVEST PARTNERS B.V., JACHTHAVENWEG 118, AMSTERDAM P7 1081 KJ
Alpinvest Secondaries Fund (euro) Vi C.v. 10 percent owner C/O ALPINVEST PARTNERS B.V., JACHTHAVENWEG 118, AMSTERDAM P7 1081 KJ
Ag Secondary C.v. 10 percent owner C/O ALPINVEST PARTNERS B.V., JACHTHAVENWEG 118, AMSTERDAM P7 1081 KJ