Afya (STU:1AY) Operating Margin %: 38.87% (As of Mar. 2026) — 36% Above Median

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Founder & CEO of GuruFocus
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STU:1AY Afya Ltd STU:1AY
91 GF Score
Price €12.00
GF Value €18.46
Valuation Significantly Undervalued
! 2 Warning Signs
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What is Afya Operating Margin %?

Afya STU:1AY -1.64% 91 Operating Margin % is 38.87% as of Mar. 2026, which is 36% above its 10-year median of 28.51. GuruFocus rates STU:1AY with a GF Score™ of 91/100 and a GF Value™ of €18.46 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 255 Education companies, Afya ranks better than 88.63% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Afya's Operating Income for the three months ended in Mar. 2026 was €65.1 Mil. Afya's Revenue for the three months ended in Mar. 2026 was €167.5 Mil. Therefore, Afya's Operating Margin % for the quarter that ended in Mar. 2026 was 38.87%.

Good Sign:

Afya Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

STU:1AY' s Operating Margin % Range Over the Past 10 Years
Min: 22.84   Med: 28.51   Max: 32.81
Current: 32.78


STU:1AY's Operating Margin % is ranked better than
88.63% of 255 companies
in the Education industry
Industry Median: 9.74 vs STU:1AY: 32.78

Afya's 5-Year Average Operating Margin % Growth Rate was 2.70% per year.

Afya's Operating Income for the three months ended in Mar. 2026 was €65.1 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was €197.3 Mil.


Afya  (STU:1AY) 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.


Afya Operating Margin % Related Terms


Afya Operating Margin % Historical Data

* Premium members only.

The historical data trend for Afya'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.

Afya Operating Margin % Chart

Afya Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only 25.45 28.51 26.67 30.63 32.81

Afya Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 Premium Member Only 39.78 31.02 29.87 30.50 38.87

STU:1AY vs DAO, PXED, LINC: Operating Margin % Comparison

For the Education & Training Services subindustry, Afya'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.


Afya Operating Margin % vs Education Industry

For the Education industry and Consumer Defensive sector, Afya's Operating Margin % distribution charts can be found below:

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


STU:1AY
91GF Score
Afya Ltd STU:1AY
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Afya 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.

Afya's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=189.892 / 578.744
=32.81 %

Afya's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=65.103 / 167.507
=38.87 %

* 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.

Frequently Asked Questions Learn more about Operating Margin % →
What does a Operating Margin % of 38.87% mean?
Afya (STU:1AY) has a Operating Margin % of 38.87% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Afya and its competitors. This is 36% above median its historical median of 28.51. Over the past decade, Afya's Operating Margin % has ranged from 22.84 to 32.81. According to the industry distribution chart, Afya ranks #29 out of 255 companies in the Education industry, placing it in the top 11.4%.
Is Afya's Operating Margin % too high?
Afya's current Operating Margin % of 38.87% is 36% above median its 10-year median of 28.51. Over the past 10 years, this metric has ranged from a low of 22.84 to a high of 32.81. The Education industry median Operating Margin % is 9.74. Afya's value of 38.87% is 299.1% above this industry median. Based on the distribution chart, Afya ranks #29 out of 255 companies in the Education industry, which is in the top quartile — a strong position relative to peers. Overall, Afya has a GF Score™ of 91/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Afya's Operating Margin % compare to DAO and PXED?
According to the Education industry distribution chart, Afya ranks #29 out of 255 companies for Operating Margin %. This places Afya in the top 11% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 9.74. Afya's value of 38.87% is 299.1% above this benchmark. Historically, Afya's own Operating Margin % has ranged from 22.84 to 32.81 over the past decade. While the company's 10-year median is 28.51 vs. the industry median of 9.74, Afya 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 an Education company?
The median Operating Margin % among Education companies is 9.74, based on 255 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. Afya's current Operating Margin % of 38.87% is 299.1% 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 Afya and its competitors. For the Education industry, the median Operating Margin % is 9.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Afya's current Operating Margin % is 38.87%, which is 36% above median its own 10-year median of 28.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Afya stock overvalued right now?
Based on GuruFocus' analysis, Afya (STU:1AY) is currently considered Significantly Undervalued. The stock's GF Value™ is €18.46, compared to a current price of €12.00 — trading 35% below its estimated fair value. The current Operating Margin % is 38.87%, which is 36% above median its 10-year median of 28.51 and 299.1% above the Education industry median of 9.74. Afya's overall GF Score™ is 91/100 with 2 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 Afya (STU:1AY), the current Operating Margin % is 38.87% 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 Afya (STU:1AY) Overvalued in 2026?

Based on GuruFocus' analysis, Afya stock appears to be undervalued. The current stock price of €12.00 is trading 35% below its estimated GF Value™ of €18.46. GuruFocus considers Afya to be Significantly Undervalued.

Key valuation signals for STU:1AY:

  • Operating Margin %: 38.87% (36% above median its 10-year median of 28.51)
  • GF Value™: €18.46 vs. price of €12.00 (35% below fair value)
  • GF Score™: 91/100 with 2 warning signs
  • Industry Position: 299.1% above the Education median (#29 of 255)

No single metric tells the full story. See the STU:1AY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Afya Business Description

Address Rua Paraiba, No. 330, 17th floor, Funcionarios, Belo Horizonte, MG, BRA
Afya Ltd is a medical education group based in Brazil. Its education portfolio has several courses in addition to Medicine, such as Management, Dentistry, Law, Engineering, Nursing, Psychology, and Accounting Sciences, among others. It has three segments; Undergraduate, deriving key revenue provides educational services through undergraduate courses related to medical school, undergraduate health science and other ex-health undergraduate programs, Continuing Education provides medical education, specialization and graduate courses in medicine, delivered through digital and in-person content; and Medical practice solution provides clinical decision, clinical management and doctor-patient relationships for physicians and provide access, demand and efficiency for the healthcare players.
91GF Score

Get the complete analysis for STU:1AY

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€12.00
Price
€18.46
GF Value