Tootsie Roll IndustriesTROLB 75 Operating Margin % is 15.32% as of Mar. 2026, which is 13% above its 10-year median of 13.57. GuruFocus rates TROLB with a GF Score™ of 75/100 and a GF Value™ of $32.80 (Modestly Overvalued). The stock has 1 warning sign investors should review. Among 1,951 Consumer Packaged Goods companies, Tootsie Roll Industries ranks better than 83.24% on this metric.
Tootsie Roll Industries Inc operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Tootsie Roll Industries's Operating Margin % or its related term are showing as below:
TROLB'
s Operating Margin % Range Over the Past 10 Years
Min: 11.76 Med: 13.57 Max: 17.51
Current: 13.74
TROLB's Operating Margin % is ranked better than 83.24% of 1951
companies
in the Consumer Packaged Goods industry
Industry Median: 5.26
vs TROLB: 13.74
Tootsie Roll Industries (OTCPK:TROLB) 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.
Tootsie Roll Industries Operating Margin % Related Terms
Tootsie Roll Industries Operating Margin % Historical Data
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The historical data trend for Tootsie Roll Industries'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.
TROLB vs SOWG, RMCF, MDLZ: Operating Margin % Comparison
For the Confectioners subindustry, Tootsie Roll Industries'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.
Tootsie Roll Industries Operating Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Tootsie Roll Industries's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Tootsie Roll Industries's Operating Margin % falls into.
Tootsie Roll Industries 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.
Tootsie Roll Industries'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.
Tootsie Roll Industries (TROLB) has a Operating Margin % of 15.32% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Tootsie Roll Industries and its competitors. This is 13% above median its historical median of 13.57. Over the past decade, Tootsie Roll Industries' Operating Margin % has ranged from 11.76 to 17.51. According to the industry distribution chart, Tootsie Roll Industries ranks #327 out of 1951 companies in the Consumer Packaged Goods industry, placing it in the top 16.8%.
Is Tootsie Roll Industries' Operating Margin % too high?
Tootsie Roll Industries' current Operating Margin % of 15.32% is 13% above median its 10-year median of 13.57. Over the past 10 years, this metric has ranged from a low of 11.76 to a high of 17.51. The Consumer Packaged Goods industry median Operating Margin % is 5.26. Tootsie Roll Industries' value of 15.32% is 191.3% above this industry median. Based on the distribution chart, Tootsie Roll Industries ranks #327 out of 1951 companies in the Consumer Packaged Goods industry, which is in the top quartile — a strong position relative to peers. Overall, Tootsie Roll Industries has a GF Score™ of 75/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tootsie Roll Industries' Operating Margin % compare to SOWG and RMCF?
According to the Consumer Packaged Goods industry distribution chart, Tootsie Roll Industries ranks #327 out of 1951 companies for Operating Margin %. This places Tootsie Roll Industries in the top 17% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 5.26. Tootsie Roll Industries' value of 15.32% is 191.3% above this benchmark. Historically, Tootsie Roll Industries' own Operating Margin % has ranged from 11.76 to 17.51 over the past decade. While the company's 10-year median is 13.57 vs. the industry median of 5.26, Tootsie Roll Industries 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 a Consumer Packaged Goods company?
The median Operating Margin % among Consumer Packaged Goods companies is 5.26, based on 1,951 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. Tootsie Roll Industries's current Operating Margin % of 15.32% is 191.3% 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 Tootsie Roll Industries and its competitors. For the Consumer Packaged Goods industry, the median Operating Margin % is 5.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tootsie Roll Industries's current Operating Margin % is 15.32%, which is 13% above median its own 10-year median of 13.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tootsie Roll Industries stock overvalued right now?
Based on GuruFocus' analysis, Tootsie Roll Industries (TROLB) is currently considered Modestly Overvalued. The stock's GF Value™ is $32.80, compared to a current price of $39.50 — trading 20.4% above its estimated fair value. The current Operating Margin % is 15.32%, which is 13% above median its 10-year median of 13.57 and 191.3% above the Consumer Packaged Goods industry median of 5.26. Tootsie Roll Industries' overall GF Score™ is 75/100 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 Tootsie Roll Industries (TROLB), the current Operating Margin % is 15.32% 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 Tootsie Roll Industries (TROLB) Overvalued in 2026?
Based on GuruFocus' analysis, Tootsie Roll Industries stock appears to be overvalued.
The current stock price of $39.50 is trading 20.4% above its estimated GF Value™ of $32.80.
GuruFocus considers Tootsie Roll Industries to be Modestly Overvalued.
Key valuation signals for TROLB:
Operating Margin %: 15.32% (13% above median its 10-year median of 13.57)
GF Value™: $32.80 vs. price of $39.50 (20.4% above fair value)
Industry Position: 191.3% above the Consumer Packaged Goods median (#327 of 1951)
No single metric tells the full story. See the TROLB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tootsie Roll Industries Inc manufactures and sells confectionery products. Notable varieties include Tootsie Roll and Tootsie Pops, Charms, Blow-Pops, Dots, Junior Mints, Sugar Daddy and Sugar Babies, Andes, Dubble Bubble, Razzles among others. The company sells its products to wholesale distributors and directly to retail stores. Geographically, it generates a majority of its revenue from the United States and rest from Canada, Mexico and other regions.
75GF Score
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