Operating Margin

Watchlist Manager

Watchlist

Price: 193.2 NOK -0.92% Market Closed

Market Cap: 19.3B NOK

16.4%

Declining

by 0.9%

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

16.4%

Operating Income

kr1.3B

Revenue

kr7.6B

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

16.4%

Operating Income

kr1.3B

Revenue

kr7.6B

Peer Comparison

Country		Company	Market Cap	Operating Margin
NO		Borregaard ASA OSE:BRG	19.3B NOK	Loading...
US		Sherwin-Williams Co NYSE:SHW	86B USD	Loading...
US		Ecolab Inc NYSE:ECL	77.7B USD	Loading...
JP		Shin-Etsu Chemical Co Ltd TSE:4063	10.3T JPY	Loading...
CN		Wanhua Chemical Group Co Ltd SSE:600309	263.2B CNY	Loading...
CH		Givaudan SA SIX:GIVN	29B CHF	Loading...
IN		Asian Paints Ltd NSE:ASIANPAINT	2.6T INR	Loading...
DK		Novozymes A/S CSE:NZYM B	165.6B DKK	Loading...
US		PPG Industries Inc NYSE:PPG	24.5B USD	Loading...
CH		Sika AG F:SIKA	19.9B EUR	Loading...
CH	D	DSM-Firmenich AG AEX:DSFIR	17.3B EUR	Loading...

Market Distribution

Min	-3 055 100%
30th Percentile	-3.7%
Median	1.8%
70th Percentile	6.8%
Max	784.1%

Other Profitability Ratios

Borregaard ASA
Glance View

Market Cap

19.3B NOK

Industry

Chemicals

Nestled in the lush landscapes of Norway, Borregaard ASA has meticulously carved out a distinctive niche for itself in the world of biorefinery. Emerging from its roots in traditional pulp and paper production, Borregaard has adeptly transformed itself into a global leader of advanced and sustainable biochemicals. The company's biorefinery operation skillfully harnesses the potential of wood as its raw material, extracting high-value lignin, cellulose, vanillin, and other specialty chemicals. This innovative approach enables Borregaard to capitalize on its ability to not only replace fossil-based products but also to create environmentally friendly solutions for a range of industries such as agriculture, construction, and pharmaceuticals. The firm's dedication to sustainability and specialization reflects a forward-looking mindset that aligns with evolving market demands and global environmental standards. Revenue at Borregaard flows predominantly from its divisions, all working in concert to sustain its diverse portfolio. The Performance Chemicals division, for example, primarily markets lignin-based products, which serve as vital ingredients in concrete admixtures and battery components. Meanwhile, the Specialty Cellulose division transforms cellulose into unique applications, ranging from food additives to cosmetics, and fuels the company's growth in diverse markets. Then there is the Fine Chemicals department, which refines vanillin for flavor and fragrance industries. The company's tactical orientation towards innovation and sustainable production not only ensures a steady stream of revenue but also galvanizes its standing as a beacon of environmental responsibility in the chemical industry. In sum, Borregaard's story is one of transformation and foresight, leveraging its expertise to craft a profitable model that harmonizes with the planet's ecological aspirations.

View BRG Analysis

BRG Intrinsic Value

Undervaluation 6%

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.

Borregaard ASA
OSE:BRG

Peer Comparison

Market Distribution

Other Profitability Ratios

Borregaard ASA
Glance View

See Also

Company

Help

Tools

Stocks

52 Week Range	159.9335 211.5
Price Target

Borregaard ASA OSE:BRG