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.
Coka duvanska industrija a.d Operating Margin % Related Terms
Coka duvanska industrija a.d Operating Margin % Historical Data
* 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.
XBEL:COKA vs PM, MO, TPB: Operating Margin % Comparison
For the Tobacco subindustry, Coka duvanska industrija a.d'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.
Coka duvanska industrija a.d Operating Margin % vs Tobacco Products Industry
For the Tobacco Products industry and Consumer Defensive sector, Coka duvanska industrija a.d's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Coka duvanska industrija a.d'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.
* 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.
Coka duvanska industrija a.d (XBEL:COKA) has a Operating Margin % of -90.93% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Coka duvanska industrija a.d and its competitors. According to the industry distribution chart, Coka duvanska industrija a.d ranks #37 out of 48 companies in the Tobacco Products industry, placing it in the top 77.1%.
Is Coka duvanska industrija a.d's Operating Margin % too high?
Coka duvanska industrija a.d's current Operating Margin % is -90.93%. Based on the distribution chart, Coka duvanska industrija a.d ranks #37 out of 48 companies in the Tobacco Products industry, which is in the bottom quartile relative to peers. Overall, Coka duvanska industrija a.d has a GF Score™ of 66/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Coka duvanska industrija a.d's Operating Margin % compare to PM and MO?
According to the Tobacco Products industry distribution chart, Coka duvanska industrija a.d ranks #37 out of 48 companies for Operating Margin %. This places Coka duvanska industrija a.d in the lower half of its industry. The industry median Operating Margin % is 9.37. 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 Tobacco Products company?
The median Operating Margin % among Tobacco Products companies is 9.37, based on 48 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. 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 Coka duvanska industrija a.d and its competitors. For the Tobacco Products industry, the median Operating Margin % is 9.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Coka duvanska industrija a.d's current Operating Margin % is -90.93%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Coka duvanska industrija a.d stock overvalued right now?
Based on GuruFocus' analysis, Coka duvanska industrija a.d (XBEL:COKA) is currently considered Fairly Valued. The stock's GF Value™ is RSD9,103.72, compared to a current price of RSD8,900.00 — trading 2.2% below its estimated fair value. The current Operating Margin % is -90.93%. Coka duvanska industrija a.d's overall GF Score™ is 66/100 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 Coka duvanska industrija a.d (XBEL:COKA), the current Operating Margin % is -90.93% 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 Coka duvanska industrija a.d (XBEL:COKA) Overvalued in 2026?
Based on GuruFocus' analysis, Coka duvanska industrija a.d stock appears to be undervalued.
The current stock price of RSD8,900.00 is trading 2.2% below its estimated GF Value™ of RSD9,103.72.
GuruFocus considers Coka duvanska industrija a.d to be Fairly Valued.
Key valuation signals for XBEL:COKA:
Operating Margin %: -90.93%
GF Value™: RSD9,103.72 vs. price of RSD8,900.00 (2.2% below fair value)
No single metric tells the full story. See the XBEL:COKA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Coka duvanska industrija a.d is a Serbia based company. It is engaged in the production and processing of raw tobacco. it is also engaged in the wholesale and retail trade of tobacco products.
66GF Score
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