Operating Margin

Watchlist Manager

Watchlist

Price: 294 IDR -14.53% Market Closed

Market Cap: Rp109.2T

No historical data

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

Operating Income

$120m

Revenue

$1.5B

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

Operating Income

Rp120m

Revenue

$1.5B

Peer Comparison

Country		Company	Market Cap	Operating Margin
ID		Bumi Resources Tbk PT IDX:BUMI	109.2T IDR	Loading...
ID		Alamtri Resources Indonesia Tbk PT F:A640	146.9B EUR	Loading...
CN		China Shenhua Energy Co Ltd SSE:601088	824.3B CNY	Loading...
CA	C	Cameco Corp NYSE:CCJ	54.8B USD	Loading...
ID		Dian Swastatika Sentosa Tbk PT IDX:DSSA	759.8T IDR	Loading...
ID		Bayan Resources Tbk PT IDX:BYAN	509.2T IDR	Loading...
CN		Shaanxi Coal Industry Co Ltd SSE:601225	211.8B CNY	Loading...
IN		Coal India Ltd NSE:COALINDIA	2.7T INR	Loading...
CN		China Coal Energy Co Ltd SSE:601898	173.3B CNY	Loading...
CN		Yankuang Energy Group Co Ltd SSE:600188	143.1B CNY	Loading...
ID	P	PT Petrindo Jaya Kreasi Tbk IDX:CUAN	172.6T IDR	Loading...

Market Distribution

Min	-111 644.7%
30th Percentile	0%
Median	6.1%
70th Percentile	12.9%
Max	524 864.9%

Other Profitability Ratios

Bumi Resources Tbk PT
Glance View

Market Cap

109.2T IDR

Industry

Energy

In the heart of Indonesia, Bumi Resources Tbk PT stands as a behemoth in the coal industry, weaving a narrative that intertwines with the country's rich natural resources. The company, headquartered in Jakarta, has strategically positioned itself at the epicenter of energy supply, primarily through its significant operations in coal mining. These operations unfold across Kalimantan and Sumatra, where vast coal reserves serve as the company's lifeblood. Bumi Resources extracts and sells this coal, primarily to the burgeoning markets of Asia, leveraging the ever-increasing demand for energy in rapidly developing nations. The journey from the mines to the markets is meticulously managed, ensuring that their operations run seamlessly, both in extraction and logistics. The business model of Bumi Resources is robustly anchored in its ability to efficiently mine and distribute coal, generating revenues predominantly from long-term sales contracts with power producers and industrial players in countries such as China and India. This is bolstered by their substantial investments in infrastructure and technology, reducing production costs and enhancing operational efficiency. Amidst fluctuating commodity prices, the company strategically navigates the complexities of the global market by focusing on volume sales and maintaining strong customer relationships. Despite environmental concerns and pressures towards sustainable energy alternatives, Bumi Resources remains a dominant player in the energy sector, banking on coal's current indispensability in many parts of the world.

View BUMI Analysis

BUMI Intrinsic Value

Overvaluation 81%

Intrinsic Value

Price

What is Intrinsic Value?

Economic Moat is a concept popularized by Warren Buffett to describe a company's durable competitive advantage. It represents the 'moat' that protects a company from competitors and helps it sustain profitability over the long term. Our analysis of the past 10 years showed that companies with a wide economic moat significantly outperformed the market, delivering +645% returns compared to +189% for the S&P 500.

Our research into Economic Moat performance spans the past 10 years and focuses on companies with a wide economic moat. For this analysis, we calculated the average stock price returns of these companies, comparing them to the performance of the S&P 500 index over the same period.

The results were compelling: wide moat stocks achieved a remarkable +645% average return, compared to +188% for the broader market. This difference highlights the long-term benefits of investing in businesses that can maintain their market position and pricing power over time.

Note: This research does not account for survivorship bias. Past performance is not indicative of future results.

Determining whether a company has an economic moat requires both a deep dive into financial metrics and a qualitative assessment of its competitive position. Our analysts conduct a rigorous evaluation that focuses on identifying structural advantages that enable a company to sustain profitability and defend its market share over the long term.

The process begins with an analysis of a company’s historical financial performance. We assess how consistently the company has generated returns above its cost of capital and whether those returns have been stable or improving. However, financial performance alone doesn’t reveal the full picture. To understand the sources of these advantages, we evaluate five key drivers of economic moats:

Network Effect: We analyze whether the value of a company’s product or service grows as its user base expands. Platforms like payment systems or marketplaces benefit from this self-reinforcing.

Switching Costs: We assess whether customers face significant costs or disruptions when switching to a competitor’s product or service. High switching costs create customer stickiness and provide pricing power.

Intangible Assets: Strong brands, patents, and regulatory licenses can protect a company’s market position by creating barriers for competitors or enabling premium pricing. For example, a well-recognized consumer brand may command higher customer loyalty and margins.

Efficient scale: Occurs when a market is optimally served by one or a few players, making it unprofitable for new entrants to compete. This typically happens in industries with high fixed costs or geographic constraints, such as utilities or pipelines.

Cost Advantage: Companies with structural cost advantages can produce goods or services at a lower cost than their competitors, enabling them to offer competitive pricing or maintain higher margins. These advantages often arise from economies of scale, superior supply chain management, or proprietary technology. Firms like Walmart leverage their massive scale to negotiate better terms with suppliers, allowing them to undercut competitors on price.

By examining these factors in combination with a company’s financial performance and market positioning, we classify each company into one of three categories:

This rigorous evaluation ensures that our moat ratings are both comprehensive and reliable, giving investors the tools they need to make well-informed, long-term decisions.

The AI Assistant may sometimes provide inaccurate information.

Make your own investment decisions or consult a licensed financial advisor.

Bumi Resources Tbk PT
IDX:BUMI

Peer Comparison

Market Distribution

Other Profitability Ratios

Bumi Resources Tbk PT
Glance View

See Also

Company

Help

Tools

Stocks

52 Week Range	77 464
Price Target

Bumi Resources Tbk PT IDX:BUMI