NECNIPNF +2.57%79 EBITDA Margin % is 19.55% as of Mar. 2026, which is 75% above its 10-year median of 11.15. GuruFocus rates NIPNF with a GF Score™ of 79/100 and a GF Value™ of $17.90 (Significantly Overvalued). Among 2,818 Software companies, NEC ranks better than 70.05% on this metric.
EBITDA Margin % is calculated as EBITDA divided by its Revenue. NEC's EBITDA for the
three
months ended in Mar. 2026 was $1,430 Mil. NEC's Revenue for the
three
months ended in Mar. 2026 was $7,313 Mil. Therefore, NEC's EBITDA margin for the quarter that ended in Mar. 2026 was 19.55%.
NEC (OTCPK:NIPNF) EBITDA Margin % Explanation
EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.
NEC EBITDA Margin % Related Terms
NEC EBITDA Margin % Historical Data
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The historical data trend for NEC's EBITDA Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
NIPNF vs IBM, ACN, FISV: EBITDA Margin % Comparison
For the Information Technology Services subindustry, NEC's EBITDA Margin %, along with its competitors' market caps and EBITDA Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
NEC EBITDA Margin % vs Software Industry
For the Software industry and Technology sector, NEC's EBITDA Margin % distribution charts can be found below:
* The bar in red indicates where NEC's EBITDA Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
NEC (NIPNF) has a EBITDA Margin % of 19.55% as of Mar. 2026. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on NEC and its competitors. This is 75% above median its historical median of 11.15. Over the past decade, NEC's EBITDA Margin % has ranged from 6.34 to 15.93. According to the industry distribution chart, NEC ranks #844 out of 2818 companies in the Software industry, placing it in the top 30%.
Is NEC's EBITDA Margin % too high?
NEC's current EBITDA Margin % of 19.55% is 75% above median its 10-year median of 11.15. Over the past 10 years, this metric has ranged from a low of 6.34 to a high of 15.93. The Software industry median EBITDA Margin % is 8.07. NEC's value of 19.55% is 142.3% above this industry median. Based on the distribution chart, NEC ranks #844 out of 2818 companies in the Software industry, which is above the industry midpoint. Overall, NEC has a GF Score™ of 79/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does NEC's EBITDA Margin % compare to IBM and ACN?
According to the Software industry distribution chart, NEC ranks #844 out of 2818 companies for EBITDA Margin %. This puts NEC in the upper half of its industry. The industry median EBITDA Margin % is 8.07. NEC's value of 19.55% is 142.3% above this benchmark. Historically, NEC's own EBITDA Margin % has ranged from 6.34 to 15.93 over the past decade. While the company's 10-year median is 11.15 vs. the industry median of 8.07, NEC has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBITDA Margin % for a Software company?
The median EBITDA Margin % among Software companies is 8.07, based on 2,818 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. NEC's current EBITDA Margin % of 19.55% is 142.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on NEC and its competitors. For the Software industry, the median EBITDA Margin % is 8.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NEC's current EBITDA Margin % is 19.55%, which is 75% above median its own 10-year median of 11.15. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NEC stock overvalued right now?
Based on GuruFocus' analysis, NEC (NIPNF) is currently considered Significantly Overvalued. The stock's GF Value™ is $17.90, compared to a current price of $23.75 — trading 32.7% above its estimated fair value. The current EBITDA Margin % is 19.55%, which is 75% above median its 10-year median of 11.15 and 142.3% above the Software industry median of 8.07. NEC's overall GF Score™ is 79/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For NEC (NIPNF), the current EBITDA Margin % is 19.55% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is NEC (NIPNF) Overvalued in 2026?
Based on GuruFocus' analysis, NEC stock appears to be overvalued.
The current stock price of $23.75 is trading 32.7% above its estimated GF Value™ of $17.90.
GuruFocus considers NEC to be Significantly Overvalued.
Key valuation signals for NIPNF:
EBITDA Margin %: 19.55% (75% above median its 10-year median of 11.15)
GF Value™: $17.90 vs. price of $23.75 (32.7% above fair value)
Industry Position: 142.3% above the Software median (#844 of 2818)
No single metric tells the full story. See the NIPNF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NEC Corp is engaged in IT services, networks, social infrastructure, and solutions. The company operates through three segments: IT Services, Social Infrastructure, and Others. The IT Services segment provides system integration, consulting, maintenance, outsourcing, cloud services, system equipment, and software services. The Social Infrastructure segment offers network infrastructure, including core networks, mobile base stations, optical transmission systems, and marine systems, along with telecom software, OSS/BSS solutions, aerospace and defense system integration, and maintenance. The Others segment covers the development, manufacturing, and sales of system equipment. It generates the majority of its revenue from the IT Services segment.
79GF Score
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