GURUFOCUS.COM » STOCK LIST » Real Estate » Real Estate » Compass Inc (NYSE:COMP) » Definitions » Operating Margin %

Compass (Compass) Operating Margin % : -7.32% (As of Dec. 2023)


View and export this data going back to 2021. Start your Free Trial

What is Compass Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Compass's Operating Income for the three months ended in Dec. 2023 was $-80 Mil. Compass's Revenue for the three months ended in Dec. 2023 was $1,096 Mil. Therefore, Compass's Operating Margin % for the quarter that ended in Dec. 2023 was -7.32%.

Good Sign:

Compass Inc operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Compass's Operating Margin % or its related term are showing as below:

COMP' s Operating Margin % Range Over the Past 10 Years
Min: -26.87   Med: -8.33   Max: -5.68
Current: -5.68


COMP's Operating Margin % is ranked worse than
80.26% of 1783 companies
in the Real Estate industry
Industry Median: 13.27 vs COMP: -5.68

Compass's 5-Year Average Operating Margin % Growth Rate was 23.70% per year.

Compass's Operating Income for the three months ended in Dec. 2023 was $-80 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $-277 Mil.

Warning Sign:

Compass Inc has never been profitable in the past 3 years. It lost money every year.


Compass Operating Margin % Historical Data

The historical data trend for Compass'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.

* Premium members only.

Compass Operating Margin % Chart

Compass Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial -16.84 -7.07 -7.68 -8.98 -5.82

Compass Quarterly Data
Dec18 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -14.64 -14.45 -1.92 -2.24 -7.32

Competitive Comparison of Compass's Operating Margin %

For the Real Estate Services subindustry, Compass'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.


Compass's Operating Margin % Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Compass's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Compass's Operating Margin % falls into.



Compass 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.

Compass's Operating Margin % for the fiscal year that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=-284.5 / 4885
=-5.82 %

Compass's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=-80.3 / 1096.4
=-7.32 %

* 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.


Compass  (NYSE:COMP) 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 Nokia’s 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.


Compass Operating Margin % Related Terms

Thank you for viewing the detailed overview of Compass's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Compass (Compass) Business Description

Traded in Other Exchanges
Address
90 Fifth Avenue, 3rd Floor, New York, NY, USA, 10011
Compass Inc provides an end-to-end platform that empowers residential real estate agents to deliver exceptional service to clients. The platform includes an integrated suite of cloud-based software for customer relationship management, marketing, client service and other critical functionality, all custom-built for the real estate industry and enabling core brokerage services. Business operations are conducted in the United States and earn revenue domestically.
Executives
Svf Excaliber (cayman) Ltd 10 percent owner 27 HOSPITAL ROAD, WALKERS CORPORATE LTD., CAYMAN CORPORATE CENTRE, GEORGE TOWN, GRAND CAYMAN E9 KY-9008
Gregory M. Hart officer: Chief Product Officer C/O COMPASS, INC., 155 AVENUE OF THE AMERICAS, SIXTH FLOOR, NEW YORK NY 10013
Danielle J. Wilkie officer: President, Central Region C/O COMPASS, INC., 155 AVENUE OF THE AMERICAS, SIXTH FLOOR, NEW YORK NY 10013
Kalani Reelitz officer: Chief Financial Officer 90 50TH AVENUE, NEW YORK NY 10011
Joseph Sirosh officer: Chief Technology Officer C/O COMPASS, INC., 155 AVENUE OF THE AMERICAS, SIXTH FLOOR, NEW YORK NY 10013
Dawanna Williams director 865 MERRICK AVE, SUITE 200 S, WESTBURY NY 11590
Frank Martell director 10 GASTON FARMS ROAD, GREENWICH CT 06831
Allan Leinwand director C/O MARIN SOFTWARE INCORPORATED, 123 MISSION STREET, 25TH FLOOR, SAN FRANCISCO CA 94105
Josh N. Mccarter director C/O COMPASS, INC., 90 5TH AVENUE, 3RD FLOOR, NYC NY 10011
Robert S. Lehman officer: Chief Business Officer C/O COMPASS, INC., 155 AVENUE OF THE AMERICAS, SIXTH FLOOR, NEW YORK NY 10013
Priyanka Singh officer: Chief People Officer C/O COMPASS, INC., 90 5TH AVENUE, 3RD FLOOR, NEW YORK NY 10011
Robert L. Reffkin director, officer: Chairman and CEO C/O COMPASS, INC., 155 AVENUE OF THE AMERICAS, SIXTH FLOOR, NEW YORK NY 10013
Kristen M. Ankerbrandt officer: Chief Financial Officer C/O COMPASS, INC., 155 AVENUE OF THE AMERICAS, SIXTH FLOOR, NEW YORK NY 10013
Anand Mehta officer: Chief People Officer C/O COMPASS, INC., 90 5TH AVE, 3RD FLOOR, NEW YORK NY 10011
Kamini R. Lane officer: President, West Region C/O COMPASS, INC., 90 5TH AVE, 3RD FLOOR, NEW YORK NY 10011