Tomer Energy Royalties (2012) (XTAE:TOEN) 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.
Tomer Energy Royalties (2012) Operating Margin % Related Terms
Tomer Energy Royalties (2012) 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.
Tomer Energy Royalties (2012) Operating Margin % Chart
XTAE:TOEN vs COP, EOG, FANG: Operating Margin % Comparison
For the Oil & Gas E&P subindustry, Tomer Energy Royalties (2012)'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.
Tomer Energy Royalties (2012) Operating Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Tomer Energy Royalties (2012)'s Operating Margin % distribution charts can be found below:
* The bar in red indicates where Tomer Energy Royalties (2012)'s Operating Margin % falls into.
Tomer Energy Royalties (2012) Operating Margin % Calculation
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.
Tomer Energy Royalties (2012) (XTAE:TOEN) has a Operating Margin % of 30.46% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Tomer Energy Royalties (2012) and its competitors. This is 15% below median its historical median of 36.02. Over the past decade, Tomer Energy Royalties (2012)'s Operating Margin % has ranged from 26.31 to 44.99. According to the industry distribution chart, Tomer Energy Royalties (2012) ranks #176 out of 918 companies in the Oil & Gas industry, placing it in the top 19.2%.
Is Tomer Energy Royalties (2012)'s Operating Margin % too high?
Tomer Energy Royalties (2012)'s current Operating Margin % of 30.46% is 15% below median its 10-year median of 36.02. Over the past 10 years, this metric has ranged from a low of 26.31 to a high of 44.99. The Oil & Gas industry median Operating Margin % is 6.86. Tomer Energy Royalties (2012)'s value of 30.46% is 344% above this industry median. Based on the distribution chart, Tomer Energy Royalties (2012) ranks #176 out of 918 companies in the Oil & Gas industry, which is in the top quartile — a strong position relative to peers. Overall, Tomer Energy Royalties (2012) has a GF Score™ of 50/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Tomer Energy Royalties (2012)'s Operating Margin % compare to COP and EOG?
According to the Oil & Gas industry distribution chart, Tomer Energy Royalties (2012) ranks #176 out of 918 companies for Operating Margin %. This places Tomer Energy Royalties (2012) in the top 19% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 6.86. Tomer Energy Royalties (2012)'s value of 30.46% is 344% above this benchmark. Historically, Tomer Energy Royalties (2012)'s own Operating Margin % has ranged from 26.31 to 44.99 over the past decade. While the company's 10-year median is 36.02 vs. the industry median of 6.86, Tomer Energy Royalties (2012) 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 an Oil & Gas company?
The median Operating Margin % among Oil & Gas companies is 6.86, based on 918 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. Tomer Energy Royalties (2012)'s current Operating Margin % of 30.46% is 344% 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 Tomer Energy Royalties (2012) and its competitors. For the Oil & Gas industry, the median Operating Margin % is 6.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tomer Energy Royalties (2012)'s current Operating Margin % is 30.46%, which is 15% below median its own 10-year median of 36.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tomer Energy Royalties (2012) stock overvalued right now?
Based on GuruFocus' analysis, Tomer Energy Royalties (2012) (XTAE:TOEN) is currently considered Fairly Valued. The stock's GF Value™ is ₪17.88, compared to a current price of ₪17.15 — trading 4.1% below its estimated fair value. The current Operating Margin % is 30.46%, which is 15% below median its 10-year median of 36.02 and 344% above the Oil & Gas industry median of 6.86. Tomer Energy Royalties (2012)'s overall GF Score™ is 50/100 with 4 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 Tomer Energy Royalties (2012) (XTAE:TOEN), the current Operating Margin % is 30.46% 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 Tomer Energy Royalties (2012) (XTAE:TOEN) Overvalued in 2026?
Based on GuruFocus' analysis, Tomer Energy Royalties (2012) stock appears to be undervalued.
The current stock price of ₪17.15 is trading 4.1% below its estimated GF Value™ of ₪17.88.
GuruFocus considers Tomer Energy Royalties (2012) to be Fairly Valued.
Key valuation signals for XTAE:TOEN:
Operating Margin %: 30.46% (15% below median its 10-year median of 36.02)
GF Value™: ₪17.88 vs. price of ₪17.15 (4.1% below fair value)
Industry Position: 344% above the Oil & Gas median (#176 of 918)
No single metric tells the full story. See the XTAE:TOEN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tomer Energy Royalties (2012) Business Description
Tomer Energy Royalties (2012) Ltd is a special-purpose yield company. The company's sole business is the holding of the right to receive overriding royalties in respect of oil and/or gas and/or other valuable materials derived from the share of various companies and entities holding oil and gas reservoirs, both in Israel and elsewhere in the world.
50GF Score
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