TrupanionTRUP +1.67%68 Operating Margin % is 7.13% as of Mar. 2026, which is 375% above its 10-year median of 1.50. GuruFocus rates TRUP with a GF Score™ of 68/100 and a GF Value™ of $40.11 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 64 Insurance companies, Trupanion ranks worse than 57.81% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Trupanion's Operating Income for the
three
months ended in Mar. 2026 was $27 Mil. Trupanion's Revenue for the
three
months ended in Mar. 2026 was $384 Mil. Therefore, Trupanion's Operating Margin % for the quarter that ended in Mar. 2026 was 7.13%.
The historical rank and industry rank for Trupanion's Operating Margin % or its related term are showing as below:
TRUP'
s Operating Margin % Range Over the Past 10 Years
Min: -3.56 Med: 1.5 Max: 7.34
Current: 7.34
TRUP's Operating Margin % is ranked worse than 57.81% of 64
companies
in the Insurance industry
Industry Median: 11.62
vs TRUP: 7.34
Trupanion's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
Trupanion's Operating Income for the
three
months ended in Mar. 2026 was $27 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was $109 Mil.
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.
Trupanion Operating Margin % Related Terms
Trupanion Operating Margin % Historical Data
* Premium members only.
The historical data trend for Trupanion'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.
TRUP vs ASIC, BOW, SAFT: Operating Margin % Comparison
For the Insurance - Property & Casualty subindustry, Trupanion'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.
Trupanion Operating Margin % vs Insurance Industry
For the Insurance industry and Financial Services sector, Trupanion's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Trupanion'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.
Trupanion'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.
Trupanion (TRUP) has a Operating Margin % of 7.13% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Trupanion and its competitors. This is 375% above median its historical median of 1.50. According to the industry distribution chart, Trupanion ranks #37 out of 64 companies in the Insurance industry, placing it in the top 57.8%.
Is Trupanion's Operating Margin % too high?
Trupanion's current Operating Margin % of 7.13% is 375% above median its 10-year median of 1.50. The Insurance industry median Operating Margin % is 11.62. Trupanion's value of 7.13% is 38.6% below this industry median. Based on the distribution chart, Trupanion ranks #37 out of 64 companies in the Insurance industry, which is below the industry midpoint. Overall, Trupanion has a GF Score™ of 68/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Trupanion's Operating Margin % compare to ASIC and BOW?
According to the Insurance industry distribution chart, Trupanion ranks #37 out of 64 companies for Operating Margin %. This places Trupanion in the lower half of its industry. The industry median Operating Margin % is 11.62. Trupanion's value of 7.13% is 38.6% below this benchmark. While the company's 10-year median is 1.50 vs. the industry median of 11.62, Trupanion has consistently been below 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 Insurance company?
The median Operating Margin % among Insurance companies is 11.62, based on 64 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. Trupanion's current Operating Margin % of 7.13% is 38.6% below 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 Trupanion and its competitors. For the Insurance industry, the median Operating Margin % is 11.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Trupanion's current Operating Margin % is 7.13%, which is 375% above median its own 10-year median of 1.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Trupanion stock overvalued right now?
Based on GuruFocus' analysis, Trupanion (TRUP) is currently considered Significantly Undervalued. The stock's GF Value™ is $40.11, compared to a current price of $24.31 — trading 39.4% below its estimated fair value. The current Operating Margin % is 7.13%, which is 375% above median its 10-year median of 1.50 and 38.6% below the Insurance industry median of 11.62. Trupanion's overall GF Score™ is 68/100 with 3 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 Trupanion (TRUP), the current Operating Margin % is 7.13% 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 Trupanion (TRUP) Overvalued in 2026?
Based on GuruFocus' analysis, Trupanion stock appears to be undervalued.
The current stock price of $24.31 is trading 39.4% below its estimated GF Value™ of $40.11.
GuruFocus considers Trupanion to be Significantly Undervalued.
Key valuation signals for TRUP:
Operating Margin %: 7.13% (375% above median its 10-year median of 1.50)
GF Value™: $40.11 vs. price of $24.31 (39.4% below fair value)
Industry Position: 38.6% below the Insurance median (#37 of 64)
No single metric tells the full story. See the TRUP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Trupanion Inc is a specialty insurance products provider in the United States. Its core business is the sale of insurance products tailor-made for pets, especially cats and dogs. It operates in two business segments: The subscription business segment generates revenue majorly from subscription fees related to the company's direct-to-consumer products and Other business segment is comprised of revenue from other product offerings that generally have a business-to-business relationship and a different margin profile than subscription business segment, including revenue from writing policies on behalf of third parties and revenue from other products and software solutions. Geographically, the company operates in United States, which derives maximum revenue; and Canada and Others.
68GF Score
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