Westgold ResourcesWGXRF +2.69%70 Operating Margin % is 33.68% as of Dec. 2025, which is 680% above its 10-year median of 4.32. GuruFocus rates WGXRF with a GF Score™ of 70/100 and a GF Value™ of $3.26 (Fairly Valued). The stock has 5 warning signs investors should review. Among 841 Metals & Mining companies, Westgold Resources ranks better than 80.38% on this metric.
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.
Westgold Resources Operating Margin % Related Terms
Westgold Resources Operating Margin % Historical Data
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The historical data trend for Westgold Resources'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 Gold subindustry, Westgold Resources'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.
Westgold Resources Operating Margin % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Westgold Resources's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Westgold Resources'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.
Westgold Resources's Operating Margin % for the fiscal year that ended in Jun. 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.
Westgold Resources (WGXRF) has a Operating Margin % of 33.68% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Westgold Resources and its competitors. This is 680% above median its historical median of 4.32. According to the industry distribution chart, Westgold Resources ranks #165 out of 841 companies in the Metals & Mining industry, placing it in the top 19.6%.
Is Westgold Resources' Operating Margin % too high?
Westgold Resources' current Operating Margin % of 33.68% is 680% above median its 10-year median of 4.32. The Metals & Mining industry median Operating Margin % is 5.79. Westgold Resources' value of 33.68% is 481.7% above this industry median. Based on the distribution chart, Westgold Resources ranks #165 out of 841 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, Westgold Resources has a GF Score™ of 70/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Westgold Resources' Operating Margin % compare to NEM and AU?
According to the Metals & Mining industry distribution chart, Westgold Resources ranks #165 out of 841 companies for Operating Margin %. This places Westgold Resources in the top 20% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 5.79. Westgold Resources' value of 33.68% is 481.7% above this benchmark. While the company's 10-year median is 4.32 vs. the industry median of 5.79, Westgold Resources 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 Metals & Mining company?
The median Operating Margin % among Metals & Mining companies is 5.79, based on 841 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. Westgold Resources's current Operating Margin % of 33.68% is 481.7% 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 Westgold Resources and its competitors. For the Metals & Mining industry, the median Operating Margin % is 5.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Westgold Resources's current Operating Margin % is 33.68%, which is 680% above median its own 10-year median of 4.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Westgold Resources stock overvalued right now?
Based on GuruFocus' analysis, Westgold Resources (WGXRF) is currently considered Fairly Valued. The stock's GF Value™ is $3.26, compared to a current price of $3.34 — trading 2.4% above its estimated fair value. The current Operating Margin % is 33.68%, which is 680% above median its 10-year median of 4.32 and 481.7% above the Metals & Mining industry median of 5.79. Westgold Resources' overall GF Score™ is 70/100 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 Westgold Resources (WGXRF), the current Operating Margin % is 33.68% 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 Westgold Resources (WGXRF) Overvalued in 2026?
Based on GuruFocus' analysis, Westgold Resources stock appears to be overvalued.
The current stock price of $3.34 is trading 2.4% above its estimated GF Value™ of $3.26.
GuruFocus considers Westgold Resources to be Fairly Valued.
Key valuation signals for WGXRF:
Operating Margin %: 33.68% (680% above median its 10-year median of 4.32)
GF Value™: $3.26 vs. price of $3.34 (2.4% above fair value)
Industry Position: 481.7% above the Metals & Mining median (#165 of 841)
No single metric tells the full story. See the WGXRF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Westgold Resources Ltd is a gold producer with a large and strategic landholding across two of Western Australia's prolific gold regions, the Murchison and the Southern Goldfields. The group has acquired several square kilometers of land holdings and operates multiple underground mines and four processing hubs across these regions. Its reportable segments are: Murchison and Southern Goldfields. The majority of the group's revenue is generated from the Murchison segment, which incorporates the operations of its three processing hubs at Cue, Meekatharra, and Fortnum. The group generates maximum revenue from the sale of gold at spot, and the rest from the sale of silver.
70GF Score
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