REA Group (STU:R9C) Operating Margin %: 45.74% (As of Dec. 2025) — Near Median


STU:R9C REA Group Ltd STU:R9C
82 GF Score
Price €80.00
GF Value €134.46
Valuation Significantly Undervalued
! 1 Warning Sign
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What is REA Group Operating Margin %?

REA Group STU:R9C +0.63% 82 Operating Margin % is 45.74% as of Dec. 2025, which is 0% above its 10-year median of 45.61. GuruFocus rates STU:R9C with a GF Score™ of 82/100 and a GF Value™ of €134.46 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 553 Interactive Media companies, REA Group ranks better than 94.39% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. REA Group's Operating Income for the six months ended in Dec. 2025 was €271 Mil. REA Group's Revenue for the six months ended in Dec. 2025 was €592 Mil. Therefore, REA Group's Operating Margin % for the quarter that ended in Dec. 2025 was 45.74%.

Warning Sign:

REA Group Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -2.2%.

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

STU:R9C' s Operating Margin % Range Over the Past 10 Years
Min: 38.86   Med: 45.61   Max: 51.2
Current: 42.45


STU:R9C's Operating Margin % is ranked better than
94.39% of 553 companies
in the Interactive Media industry
Industry Median: 2.99 vs STU:R9C: 42.45

REA Group's 5-Year Average Operating Margin % Growth Rate was -2.20% per year.

REA Group's Operating Income for the six months ended in Dec. 2025 was €271 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was €478 Mil.


REA Group  (STU:R9C) 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.


REA Group Operating Margin % Related Terms


REA Group Operating Margin % Historical Data

* Premium members only.

The historical data trend for REA 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.

REA Group Operating Margin % Chart

REA Group Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 45.48 38.86 38.90 41.83 41.29

REA Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 45.73 37.96 43.67 38.81 45.74

STU:R9C vs GOOGL, META, SPOT: Operating Margin % Comparison

For the Internet Content & Information subindustry, REA 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.


REA Group Operating Margin % vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, REA Group's Operating Margin % distribution charts can be found below:

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


STU:R9C
82GF Score
REA Group Ltd STU:R9C
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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REA Group 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.

REA Group's Operating Margin % for the fiscal year that ended in Jun. 2025 is calculated as

Operating Margin %=Operating Income (A: Jun. 2025 ) / Revenue (A: Jun. 2025 )
=449.418 / 1088.548
=41.29 %

REA Group's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=270.84 / 592.069
=45.74 %

* 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 45.74% mean?
REA Group (STU:R9C) has a Operating Margin % of 45.74% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on REA Group and its competitors. This is near median its historical median of 45.61. Over the past decade, REA Group's Operating Margin % has ranged from 38.86 to 51.20. According to the industry distribution chart, REA Group ranks #31 out of 553 companies in the Interactive Media industry, placing it in the top 5.6%.
Is REA Group's Operating Margin % too high?
REA Group's current Operating Margin % of 45.74% is near median its 10-year median of 45.61. Over the past 10 years, this metric has ranged from a low of 38.86 to a high of 51.20. The Interactive Media industry median Operating Margin % is 2.99. REA Group's value of 45.74% is 1429.8% above this industry median. Based on the distribution chart, REA Group ranks #31 out of 553 companies in the Interactive Media industry, which is in the top quartile — a strong position relative to peers. Overall, REA Group has a GF Score™ of 82/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does REA Group's Operating Margin % compare to GOOGL and META?
According to the Interactive Media industry distribution chart, REA Group ranks #31 out of 553 companies for Operating Margin %. This places REA Group in the top 6% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 2.99. REA Group's value of 45.74% is 1429.8% above this benchmark. Historically, REA Group's own Operating Margin % has ranged from 38.86 to 51.20 over the past decade. While the company's 10-year median is 45.61 vs. the industry median of 2.99, REA Group 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 Interactive Media company?
The median Operating Margin % among Interactive Media companies is 2.99, based on 553 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. REA Group's current Operating Margin % of 45.74% is 1429.8% 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 REA Group and its competitors. For the Interactive Media industry, the median Operating Margin % is 2.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. REA Group's current Operating Margin % is 45.74%, which is near median its own 10-year median of 45.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is REA Group stock overvalued right now?
Based on GuruFocus' analysis, REA Group (STU:R9C) is currently considered Significantly Undervalued. The stock's GF Value™ is €134.46, compared to a current price of €80.00 — trading 40.5% below its estimated fair value. The current Operating Margin % is 45.74%, which is near median its 10-year median of 45.61 and 1429.8% above the Interactive Media industry median of 2.99. REA Group's overall GF Score™ is 82/100 with 1 warning sign 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 REA Group (STU:R9C), the current Operating Margin % is 45.74% as of Dec. 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.

Is REA Group (STU:R9C) Overvalued in 2026?

Based on GuruFocus' analysis, REA Group stock appears to be undervalued. The current stock price of €80.00 is trading 40.5% below its estimated GF Value™ of €134.46. GuruFocus considers REA Group to be Significantly Undervalued.

Key valuation signals for STU:R9C:

  • Operating Margin %: 45.74% (near median its 10-year median of 45.61)
  • GF Value™: €134.46 vs. price of €80.00 (40.5% below fair value)
  • GF Score™: 82/100 with 1 warning sign
  • Industry Position: 1429.8% above the Interactive Media median (#31 of 553)

No single metric tells the full story. See the STU:R9C stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


REA Group Business Description

Other Exchanges RPGRY:USAREA:Australia
Address 511 Church Street, Richmond, VIC, AUS, 3121
REA Group is a technology company operating in the real estate sector. REA Group's primary business is an online listings platform for residential real estate, www.realestate.com.au, which is the largest residential real estate listings platform in Australia, at around four times the size of number two, www.domain.com.au. REA Group is majority-owned by News Corp. REA Group's other businesses include adjacent markets and services, and investments in online listings platforms in India.
82GF Score

Get the complete analysis for STU:R9C

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

€80.00
Price
€134.46
GF Value