LG Display CoWBO:LGA -2.75%55 Operating Margin % is 2.65% as of Mar. 2026, which is 2108% above its 10-year median of 0.12. GuruFocus rates WBO:LGA with a GF Score™ of 55/100 and a GF Value™ of €3.07 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 2,471 Hardware companies, LG Display Co ranks worse than 57.3% on this metric.
LG Display Co (WBO:LGA) 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.
LG Display Co Operating Margin % Related Terms
LG Display Co Operating Margin % Historical Data
* Premium members only.
The historical data trend for LG Display Co'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.
For the Consumer Electronics subindustry, LG Display Co'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.
LG Display Co Operating Margin % vs Hardware Industry
For the Hardware industry and Technology sector, LG Display Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where LG Display Co'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.
LG Display Co'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.
LG Display Co (WBO:LGA) has a Operating Margin % of 2.65% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on LG Display Co and its competitors. This is 2108% above median its historical median of 0.12. According to the industry distribution chart, LG Display Co ranks #1416 out of 2471 companies in the Hardware industry, placing it in the top 57.3%.
Is LG Display Co's Operating Margin % too high?
LG Display Co's current Operating Margin % of 2.65% is 2108% above median its 10-year median of 0.12. The Hardware industry median Operating Margin % is 3.80. LG Display Co's value of 2.65% is 30.3% below this industry median. Based on the distribution chart, LG Display Co ranks #1416 out of 2471 companies in the Hardware industry, which is below the industry midpoint. Overall, LG Display Co has a GF Score™ of 55/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does LG Display Co's Operating Margin % compare to AAPL?
According to the Hardware industry distribution chart, LG Display Co ranks #1416 out of 2471 companies for Operating Margin %. This places LG Display Co in the lower half of its industry. The industry median Operating Margin % is 3.80. LG Display Co's value of 2.65% is 30.3% below this benchmark. While the company's 10-year median is 0.12 vs. the industry median of 3.80, LG Display Co 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 a Hardware company?
The median Operating Margin % among Hardware companies is 3.80, based on 2,471 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. LG Display Co's current Operating Margin % of 2.65% is 30.3% 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 LG Display Co and its competitors. For the Hardware industry, the median Operating Margin % is 3.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LG Display Co's current Operating Margin % is 2.65%, which is 2108% above median its own 10-year median of 0.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LG Display Co stock overvalued right now?
Based on GuruFocus' analysis, LG Display Co (WBO:LGA) is currently considered Modestly Overvalued. The stock's GF Value™ is €3.07, compared to a current price of €3.54 — trading 15.3% above its estimated fair value. The current Operating Margin % is 2.65%, which is 2108% above median its 10-year median of 0.12 and 30.3% below the Hardware industry median of 3.80. LG Display Co's overall GF Score™ is 55/100 with 5 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 LG Display Co (WBO:LGA), the current Operating Margin % is 2.65% 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 LG Display Co (WBO:LGA) Overvalued in 2026?
Based on GuruFocus' analysis, LG Display Co stock appears to be overvalued.
The current stock price of €3.54 is trading 15.3% above its estimated GF Value™ of €3.07.
GuruFocus considers LG Display Co to be Modestly Overvalued.
Key valuation signals for WBO:LGA:
Operating Margin %: 2.65% (2108% above median its 10-year median of 0.12)
GF Value™: €3.07 vs. price of €3.54 (15.3% above fair value)
Industry Position: 30.3% below the Hardware median (#1416 of 2471)
No single metric tells the full story. See the WBO:LGA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LG Display Co Ltd manufacture TFT-LCD and OLED technology-based display panels in a broad range of sizes and specifications mainly for use in IT products (comprising notebook computers, desktop monitors and tablet computers), televisions, mobile devices, including smartphones, as well as auto products, and it are one of the world's suppliers of large-sized OLED television panels. It also manufacture display panels for industrial and other applications, including entertainment systems and medical diagnostic equipment.
55GF Score
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