Term
Operating margin
The share of each sale left after all the costs of running the business (what was sold, rent, wages, marketing) but before interest and taxes. Operating income divided by revenue.
In pesos: If a hoodie shop sells $100,000 MXN and keeps $15,000 after paying for merchandise, rent and wages, its operating margin is 15%.
Where to go deeper
2/4 6 min Read What you actually buy when you buy a share A share is a piece of a company, not a number on a screen. Where its value comes from, why the price moves, what a dividend is, and why it is not a lottery ticket.More terms on the same topic
Educational content only: not financial, investment or tax advice. The numbers are examples to understand the idea, not a forecast or a recommendation.