OVH GroupeXPAR:OVH -0.06%61 Operating Margin % is 6.28% as of Feb. 2026, which is 67% above its 10-year median of 3.75. GuruFocus rates XPAR:OVH with a GF Score™ of 61/100 and a GF Value™ of €13.45 (Modestly Overvalued). The stock has 8 warning signs investors should review. Among 2,818 Software companies, OVH Groupe ranks better than 62.85% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. OVH Groupe's Operating Income for the
six
months ended in Feb. 2026 was €35 Mil. OVH Groupe's Revenue for the
six
months ended in Feb. 2026 was €555 Mil. Therefore, OVH Groupe's Operating Margin % for the quarter that ended in Feb. 2026 was 6.28%.
Good Sign:
OVH Groupe operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for OVH Groupe's Operating Margin % or its related term are showing as below:
XPAR:OVH'
s Operating Margin % Range Over the Past 10 Years
Min: -1.66 Med: 3.75 Max: 8.71
Current: 7.72
XPAR:OVH's Operating Margin % is ranked better than 62.85% of 2818
companies
in the Software industry
Industry Median: 3.875
vs XPAR:OVH: 7.72
OVH Groupe's 5-Year Average Operating Margin % Growth Rate was 2.00% per year.
OVH Groupe's Operating Income for the
six
months ended in Feb. 2026 was €35 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Feb. 2026 was €85 Mil.
OVH Groupe (XPAR:OVH) 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.
OVH Groupe Operating Margin % Related Terms
OVH Groupe Operating Margin % Historical Data
* Premium members only.
The historical data trend for OVH Groupe'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.
XPAR:OVH vs MSFT, ORCL, PLTR: Operating Margin % Comparison
For the Software - Infrastructure subindustry, OVH Groupe'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.
OVH Groupe Operating Margin % vs Software Industry
For the Software industry and Technology sector, OVH Groupe's Operating Margin % distribution charts can be found below:
* The bar in red indicates where OVH Groupe'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.
OVH Groupe's Operating Margin % for the fiscal year that ended in Aug. 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.
OVH Groupe (XPAR:OVH) has a Operating Margin % of 6.28% as of Feb. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on OVH Groupe and its competitors. This is 67% above median its historical median of 3.75. According to the industry distribution chart, OVH Groupe ranks #1047 out of 2818 companies in the Software industry, placing it in the top 37.2%.
Is OVH Groupe's Operating Margin % too high?
OVH Groupe's current Operating Margin % of 6.28% is 67% above median its 10-year median of 3.75. The Software industry median Operating Margin % is 3.88. OVH Groupe's value of 6.28% is 62.1% above this industry median. Based on the distribution chart, OVH Groupe ranks #1047 out of 2818 companies in the Software industry, which is above the industry midpoint. Overall, OVH Groupe has a GF Score™ of 61/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does OVH Groupe's Operating Margin % compare to MSFT and ORCL?
According to the Software industry distribution chart, OVH Groupe ranks #1047 out of 2818 companies for Operating Margin %. This puts OVH Groupe in the upper half of its industry. The industry median Operating Margin % is 3.88. OVH Groupe's value of 6.28% is 62.1% above this benchmark. While the company's 10-year median is 3.75 vs. the industry median of 3.88, OVH Groupe 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 Software company?
The median Operating Margin % among Software companies is 3.88, based on 2,818 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. OVH Groupe's current Operating Margin % of 6.28% is 62.1% 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 OVH Groupe and its competitors. For the Software industry, the median Operating Margin % is 3.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. OVH Groupe's current Operating Margin % is 6.28%, which is 67% above median its own 10-year median of 3.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is OVH Groupe stock overvalued right now?
Based on GuruFocus' analysis, OVH Groupe (XPAR:OVH) is currently considered Modestly Overvalued. The stock's GF Value™ is €13.45, compared to a current price of €15.79 — trading 17.4% above its estimated fair value. The current Operating Margin % is 6.28%, which is 67% above median its 10-year median of 3.75 and 62.1% above the Software industry median of 3.88. OVH Groupe's overall GF Score™ is 61/100 with 8 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 OVH Groupe (XPAR:OVH), the current Operating Margin % is 6.28% as of Feb. 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 OVH Groupe (XPAR:OVH) Overvalued in 2026?
Based on GuruFocus' analysis, OVH Groupe stock appears to be overvalued.
The current stock price of €15.79 is trading 17.4% above its estimated GF Value™ of €13.45.
GuruFocus considers OVH Groupe to be Modestly Overvalued.
Key valuation signals for XPAR:OVH:
Operating Margin %: 6.28% (67% above median its 10-year median of 3.75)
GF Value™: €13.45 vs. price of €15.79 (17.4% above fair value)
Industry Position: 62.1% above the Software median (#1047 of 2818)
No single metric tells the full story. See the XPAR:OVH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
OVH Groupe is a provider of cloud services, occupying a position in the cloud market. It provides businesses with a complete suite of solutions designed to meet the growing demand for multi-cloud and hybrid cloud strategies, addressing a wide range of needs and customer segments. Geographically operates in France, Europe and Rest of the world. It has three operating segments: Private Cloud, Public Cloud and Web Cloud & Other.
61GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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