Operating Margin

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Price: 18.97 EUR 0.24% Market Closed

Market Cap: €20.3B

22.2%

Declining

by 4%

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

22.2%

Operating Income

$2.2B

Revenue

$11.8B

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

22.2%

Operating Income

€2.2B

Revenue

$11.8B

Peer Comparison

Country		Company	Market Cap	Operating Margin
LU		Tenaris SA MIL:TEN	19.7B EUR	Loading...
US		Schlumberger NV NYSE:SLB	73.9B USD	Loading...
US	B	Baker Hughes Co NASDAQ:BKR	53.7B USD	Loading...
US		Halliburton Co NYSE:HAL	29B USD	Loading...
UK		TechnipFMC PLC NYSE:FTI	22.1B USD	Loading...
CN		Yantai Jereh Oilfield Services Group Co Ltd SZSE:002353	88.2B CNY	Loading...
UK		Subsea 7 SA OSE:SUBC	69.9B NOK	Loading...
US		Nov Inc NYSE:NOV	6.9B USD	Loading...
IT		Saipem SpA MIL:SPM	5.7B EUR	Loading...
FR		Technip Energies NV PAR:TE	5.7B EUR	Loading...
US		Weatherford International PLC NASDAQ:WFRD	6.4B USD	Loading...

Market Distribution

Min	-1 481.3%
30th Percentile	1.7%
Median	6.5%
70th Percentile	12.1%
Max	347.7%

Other Profitability Ratios

Tenaris SA
Glance View

Economic Moat

None

Market Cap

20.3B EUR

Industry

N/A

In the sprawling global theater of energy, Tenaris SA emerges as a titan that seamlessly marries industrial prowess with technological finesse. Born in the heart of the steel industry, the company has positioned itself as a crucial player in the production and supply of seamless steel pipes—critical components in the oil and gas sector. Through a strategic web of manufacturing facilities and service centers spread across continents, from the Americas to Europe and Asia, Tenaris orchestrates the delivery of high-quality tubular products that cater to the ever-complex needs of its clients. These clients include oil and gas giants who demand reliability and durability in extreme conditions, both offshore and on land. By leveraging decades of technical expertise, continuous research, and development, Tenaris not only meets but anticipates industry needs, cultivating strong partnerships and a reputation for excellence. Beyond merely producing tubular goods, Tenaris distinguishes itself through its commitment to providing integrated services that enhance operational efficiencies. Its offerings extend far beyond pipeline manufacture, encompassing sophisticated supply chain solutions that reduce costs and enhance time-to-market for its customers. By integrating digital technologies, the company supports predictive maintenance and real-time data management, augmenting the performance of its products. This comprehensive approach to customer service bolsters long-term relationships and generates steady revenues through not just sales, but lifecycle services that include consulting, logistical support, and on-site assistance. This dual focus on product innovation and service-enhancement ensures that Tenaris remains a pivotal entity in a sector that thrives on precision, endurance, and adaptability.

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TEN Intrinsic Value

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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.

Tenaris SA
MIL:TEN

Peer Comparison

Market Distribution

Other Profitability Ratios

Tenaris SA
Glance View

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Tenaris SA MIL:TEN