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The average operating margin for companies on the S&P 500, the "best of the best" of US corporations, is 9.35% - and that's a figure that is inflated by all of
by CountSessine 5y ago
The average operating margin for companies on the S&P 500, the "best of the best" of US corporations, is 9.35% - and that's a figure that is inflated by all of the pharma companies that have crazy 20% margins and sell into a dysfunctional drug market in the US and don't have to compete with generic drugs. Remove them and the operating margin is even lower.
There's no pot of gold in most cases. But I still think there's a good case for unionization.
- aylmao 5y agoI will point out 9.35% when talking about companies that size is a lot of money. Also worth noting; companies pay taxes on their profits, so while there's a lot of incentive to report high profits when a company is looking for investors, there's also plenty of incentive to hide profits (and thus lower operating margins) or shift them to subsidiaries in countries with lower taxes when companies that don't need to inflate their value. I am curious wether the stats you found take this into account.