CloudCoCo GroupSTU:GV2A Operating Margin % is -2.92% as of Sep. 2025. The stock has 7 warning signs investors should review. Among 2,820 Software companies, CloudCoCo Group ranks worse than 68.09% on this metric.
CloudCoCo Group (STU:GV2A) 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.
CloudCoCo Group Operating Margin % Related Terms
CloudCoCo Group Operating Margin % Historical Data
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The historical data trend for CloudCoCo Group'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.
STU:GV2A vs MSFT, ORCL, PLTR: Operating Margin % Comparison
For the Software - Infrastructure subindustry, CloudCoCo Group'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.
CloudCoCo Group Operating Margin % vs Software Industry
For the Software industry and Technology sector, CloudCoCo Group's Operating Margin % distribution charts can be found below:
* The bar in red indicates where CloudCoCo Group'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.
CloudCoCo Group's Operating Margin % for the fiscal year that ended in Sep. 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.
CloudCoCo Group (STU:GV2A) has a Operating Margin % of -2.92% as of Sep. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on CloudCoCo Group and its competitors. According to the industry distribution chart, CloudCoCo Group ranks #1920 out of 2820 companies in the Software industry, placing it in the top 68.1%.
Is CloudCoCo Group's Operating Margin % too high?
CloudCoCo Group's current Operating Margin % is -2.92%. Based on the distribution chart, CloudCoCo Group ranks #1920 out of 2820 companies in the Software industry, which is below the industry midpoint.
How does CloudCoCo Group's Operating Margin % compare to MSFT and ORCL?
According to the Software industry distribution chart, CloudCoCo Group ranks #1920 out of 2820 companies for Operating Margin %. This places CloudCoCo Group in the lower half of its industry. The industry median Operating Margin % is 3.87. 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 Software company?
The median Operating Margin % among Software companies is 3.87, based on 2,820 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 CloudCoCo Group and its competitors. For the Software industry, the median Operating Margin % is 3.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CloudCoCo Group's current Operating Margin % is -2.92%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CloudCoCo Group stock overvalued right now?
CloudCoCo Group (STU:GV2A) has a current Operating Margin % of -2.92%. The current Operating Margin % is -2.92%. 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 CloudCoCo Group (STU:GV2A), the current Operating Margin % is -2.92% as of Sep. 2025. 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.
CloudCoCo Group PLC is a UK-based, streamlined, growth-focused technology group specialising in e-commerce and IT procurement business. The company combines IT procurement solutions through Systems Assurance with the scalable e-commerce capabilities of MoreCoCo, helping organisations deliver enhanced efficiency, security, and agility. Backed by vendor partnerships, it focuses on providing IT hardware, components, and related products to both business and consumer customers through its online platform.
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