CineplexTSX:CGX -1.85%76 Operating Margin % is 2.71% as of Mar. 2026, which is 63% below its 10-year median of 7.42. GuruFocus rates TSX:CGX with a GF Score™ of 76/100 and a GF Value™ of C$11.74 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,023 Media - Diversified companies, Cineplex ranks better than 69.89% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Cineplex's Operating Income for the
three
months ended in Mar. 2026 was C$8 Mil. Cineplex's Revenue for the
three
months ended in Mar. 2026 was C$291 Mil. Therefore, Cineplex's Operating Margin % for the quarter that ended in Mar. 2026 was 2.71%.
The historical rank and industry rank for Cineplex's Operating Margin % or its related term are showing as below:
TSX:CGX'
s Operating Margin % Range Over the Past 10 Years
Min: -73.83 Med: 7.42 Max: 10.74
Current: 8.36
TSX:CGX's Operating Margin % is ranked better than 69.89% of 1023
companies
in the Media - Diversified industry
Industry Median: 2.51
vs TSX:CGX: 8.36
Cineplex's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
Cineplex's Operating Income for the
three
months ended in Mar. 2026 was C$8 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was C$112 Mil.
Cineplex (TSX:CGX) 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.
Cineplex Operating Margin % Related Terms
Cineplex Operating Margin % Historical Data
* Premium members only.
The historical data trend for Cineplex'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.
TSX:CGX vs NFLX, DIS, WBD: Operating Margin % Comparison
For the Entertainment subindustry, Cineplex'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.
Cineplex Operating Margin % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Cineplex's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Cineplex'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.
Cineplex'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.
Cineplex (TSX:CGX) has a Operating Margin % of 2.71% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Cineplex and its competitors. This is 63% below median its historical median of 7.42. According to the industry distribution chart, Cineplex ranks #308 out of 1023 companies in the Media - Diversified industry, placing it in the top 30.1%.
Is Cineplex's Operating Margin % too high?
Cineplex's current Operating Margin % of 2.71% is 63% below median its 10-year median of 7.42. The Media - Diversified industry median Operating Margin % is 2.51. Cineplex's value of 2.71% is 8% above this industry median. Based on the distribution chart, Cineplex ranks #308 out of 1023 companies in the Media - Diversified industry, which is above the industry midpoint. Overall, Cineplex has a GF Score™ of 76/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Cineplex's Operating Margin % compare to NFLX and DIS?
According to the Media - Diversified industry distribution chart, Cineplex ranks #308 out of 1023 companies for Operating Margin %. This puts Cineplex in the upper half of its industry. The industry median Operating Margin % is 2.51. Cineplex's value of 2.71% is 8% above this benchmark. While the company's 10-year median is 7.42 vs. the industry median of 2.51, Cineplex 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 Media - Diversified company?
The median Operating Margin % among Media - Diversified companies is 2.51, based on 1,023 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. Cineplex's current Operating Margin % of 2.71% is 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 Cineplex and its competitors. For the Media - Diversified industry, the median Operating Margin % is 2.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cineplex's current Operating Margin % is 2.71%, which is 63% below median its own 10-year median of 7.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cineplex stock overvalued right now?
Based on GuruFocus' analysis, Cineplex (TSX:CGX) is currently considered Fairly Valued. The stock's GF Value™ is C$11.74, compared to a current price of C$11.69 — trading 0.4% below its estimated fair value. The current Operating Margin % is 2.71%, which is 63% below median its 10-year median of 7.42 and 8% above the Media - Diversified industry median of 2.51. Cineplex's overall GF Score™ is 76/100 with 7 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 Cineplex (TSX:CGX), the current Operating Margin % is 2.71% 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 Cineplex (TSX:CGX) Overvalued in 2026?
Based on GuruFocus' analysis, Cineplex stock appears to be undervalued.
The current stock price of C$11.69 is trading 0.4% below its estimated GF Value™ of C$11.74.
GuruFocus considers Cineplex to be Fairly Valued.
Key valuation signals for TSX:CGX:
Operating Margin %: 2.71% (63% below median its 10-year median of 7.42)
GF Value™: C$11.74 vs. price of C$11.69 (0.4% below fair value)
Industry Position: 8% above the Media - Diversified median (#308 of 1023)
No single metric tells the full story. See the TSX:CGX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cineplex Inc is a diversified media company that operates chains of movie theaters. The company has three reporting segments: film entertainment and content, media and amusement and leisure. The film entertainment and content segment include Theatre Exhibition, Theatre Food Services, Alternative Programming & Distribution and Digital Commerce. Media segment includes Cinema and Digital Place-Based Media. Amusement and leisure segment includes Location Based Entertainment. Key revenue is generated from Film Entertainment and Content.
76GF Score
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