Villeroy & Boch AGXTER:VIB3 -1.88%72 Operating Margin % is 4.11% as of Mar. 2026, which is 31% below its 10-year median of 5.93. GuruFocus rates XTER:VIB3 with a GF Score™ of 72/100 and a GF Value™ of €17.03 (Fairly Valued). The stock has 8 warning signs investors should review. Among 1,767 Construction companies, Villeroy & Boch AG ranks worse than 63.89% on this metric.
Villeroy & Boch AG (XTER:VIB3) 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.
Villeroy & Boch AG Operating Margin % Related Terms
Villeroy & Boch AG Operating Margin % Historical Data
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The historical data trend for Villeroy & Boch AG'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.
XTER:VIB3 vs TT, JCI, CARR: Operating Margin % Comparison
For the Building Products & Equipment subindustry, Villeroy & Boch AG'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.
Villeroy & Boch AG Operating Margin % vs Construction Industry
For the Construction industry and Industrials sector, Villeroy & Boch AG's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Villeroy & Boch AG'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.
Villeroy & Boch AG'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.
Villeroy & Boch AG (XTER:VIB3) has a Operating Margin % of 4.11% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Villeroy & Boch AG and its competitors. This is 31% below median its historical median of 5.93. Over the past decade, Villeroy & Boch AG's Operating Margin % has ranged from 1.50 to 10.02. According to the industry distribution chart, Villeroy & Boch AG ranks #1129 out of 1767 companies in the Construction industry, placing it in the top 63.9%.
Is Villeroy & Boch AG's Operating Margin % too high?
Villeroy & Boch AG's current Operating Margin % of 4.11% is 31% below median its 10-year median of 5.93. Over the past 10 years, this metric has ranged from a low of 1.50 to a high of 10.02. The Construction industry median Operating Margin % is 5.89. Villeroy & Boch AG's value of 4.11% is 30.2% below this industry median. Based on the distribution chart, Villeroy & Boch AG ranks #1129 out of 1767 companies in the Construction industry, which is below the industry midpoint. Overall, Villeroy & Boch AG has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Villeroy & Boch AG's Operating Margin % compare to TT and JCI?
According to the Construction industry distribution chart, Villeroy & Boch AG ranks #1129 out of 1767 companies for Operating Margin %. This places Villeroy & Boch AG in the lower half of its industry. The industry median Operating Margin % is 5.89. Villeroy & Boch AG's value of 4.11% is 30.2% below this benchmark. Historically, Villeroy & Boch AG's own Operating Margin % has ranged from 1.50 to 10.02 over the past decade. While the company's 10-year median is 5.93 vs. the industry median of 5.89, Villeroy & Boch AG 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 Construction company?
The median Operating Margin % among Construction companies is 5.89, based on 1,767 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. Villeroy & Boch AG's current Operating Margin % of 4.11% is 30.2% 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 Villeroy & Boch AG and its competitors. For the Construction industry, the median Operating Margin % is 5.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Villeroy & Boch AG's current Operating Margin % is 4.11%, which is 31% below median its own 10-year median of 5.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Villeroy & Boch AG stock overvalued right now?
Based on GuruFocus' analysis, Villeroy & Boch AG (XTER:VIB3) is currently considered Fairly Valued. The stock's GF Value™ is €17.03, compared to a current price of €15.65 — trading 8.1% below its estimated fair value. The current Operating Margin % is 4.11%, which is 31% below median its 10-year median of 5.93 and 30.2% below the Construction industry median of 5.89. Villeroy & Boch AG's overall GF Score™ is 72/100 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 Villeroy & Boch AG (XTER:VIB3), the current Operating Margin % is 4.11% 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 Villeroy & Boch AG (XTER:VIB3) Overvalued in 2026?
Based on GuruFocus' analysis, Villeroy & Boch AG stock appears to be undervalued.
The current stock price of €15.65 is trading 8.1% below its estimated GF Value™ of €17.03.
GuruFocus considers Villeroy & Boch AG to be Fairly Valued.
Key valuation signals for XTER:VIB3:
Operating Margin %: 4.11% (31% below median its 10-year median of 5.93)
GF Value™: €17.03 vs. price of €15.65 (8.1% below fair value)
Industry Position: 30.2% below the Construction median (#1129 of 1767)
No single metric tells the full story. See the XTER:VIB3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Villeroy & Boch AG is a manufacturer of home furnishing products based in Germany. The firm's activities are broadly categorized into two segments. The Bathroom and Wellness Division produces a variety of items, including ceramic sanitary ware, ceramic kitchen sinks, bathroom furniture, shower tubs, whirlpools, as well as bath and kitchen fittings and accessories. This division also offers shower toilets, installation systems, outdoor whirlpools, and a range of accessories. Meanwhile, the Dining & Lifestyle Division provides an extensive selection of tableware, glassware, and cutlery designed for stylish dining, along with home accessories, gifts, and convenience-oriented products made from porcelain. The majority of the firm's revenue comes from the Bathroom and Wellness Division.
72GF Score
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