Amazon.comAMZN +0.11%95 Net Margin % is 16.67% as of Mar. 2026, which is 247% above its 10-year median of 4.81. GuruFocus rates AMZN with a GF Score™ of 95/100 and a GF Value™ of $233.18 (Fairly Valued). The stock has 2 warning signs investors should review. Among 1,128 Retail - Cyclical companies, Amazon.com ranks better than 89.72% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Amazon.com's Net Income for the
three
months ended in Mar. 2026 was $30,255 Mil. Amazon.com's Revenue for the
three
months ended in Mar. 2026 was $181,519 Mil. Therefore, Amazon.com's net margin for the quarter that ended in Mar. 2026 was 16.67%.
The historical rank and industry rank for Amazon.com's Net Margin % or its related term are showing as below:
AMZN'
s Net Margin % Range Over the Past 10 Years
Min: -0.53 Med: 4.81 Max: 12.22
Current: 12.22
AMZN's Net Margin % is ranked better than 89.72% of 1128
companies
in the Retail - Cyclical industry
Industry Median: 2.335
vs AMZN: 12.22
Amazon.com (NAS:AMZN) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Amazon.com Net Margin % Related Terms
Amazon.com Net Margin % Historical Data
* Premium members only.
The historical data trend for Amazon.com's Net 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.
For the Internet Retail subindustry, Amazon.com's Net Margin %, along with its competitors' market caps and Net 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.
Amazon.com Net Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Amazon.com's Net Margin % distribution charts can be found below:
* The bar in red indicates where Amazon.com's Net 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.
Amazon.com (AMZN) has a Net Margin % of 16.67% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Amazon.com and its competitors. This is 247% above median its historical median of 4.81. According to the industry distribution chart, Amazon.com ranks #116 out of 1128 companies in the Retail - Cyclical industry, placing it in the top 10.3%.
Is Amazon.com's Net Margin % too high?
Amazon.com's current Net Margin % of 16.67% is 247% above median its 10-year median of 4.81. The Retail - Cyclical industry median Net Margin % is 2.34. Amazon.com's value of 16.67% is 613.9% above this industry median. Based on the distribution chart, Amazon.com ranks #116 out of 1128 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Amazon.com has a GF Score™ of 95/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Amazon.com's Net Margin % compare to BABA and PDD?
According to the Retail - Cyclical industry distribution chart, Amazon.com ranks #116 out of 1128 companies for Net Margin %. This places Amazon.com in the top 10% of its industry — outperforming the majority of peers. The industry median Net Margin % is 2.34. Amazon.com's value of 16.67% is 613.9% above this benchmark. While the company's 10-year median is 4.81 vs. the industry median of 2.34, Amazon.com 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 Net Margin % for a Retail - Cyclical company?
The median Net Margin % among Retail - Cyclical companies is 2.34, based on 1,128 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Amazon.com's current Net Margin % of 16.67% is 613.9% 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 Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Amazon.com and its competitors. For the Retail - Cyclical industry, the median Net Margin % is 2.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Amazon.com's current Net Margin % is 16.67%, which is 247% above median its own 10-year median of 4.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Amazon.com stock overvalued right now?
Based on GuruFocus' analysis, Amazon.com (AMZN) is currently considered Fairly Valued. The stock's GF Value™ is $233.18, compared to a current price of $234.27 — trading 0.5% above its estimated fair value. The current Net Margin % is 16.67%, which is 247% above median its 10-year median of 4.81 and 613.9% above the Retail - Cyclical industry median of 2.34. Amazon.com's overall GF Score™ is 95/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Amazon.com (AMZN), the current Net Margin % is 16.67% 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 Amazon.com (AMZN) Overvalued in 2026?
Based on GuruFocus' analysis, Amazon.com stock appears to be overvalued.
The current stock price of $234.27 is trading 0.5% above its estimated GF Value™ of $233.18.
GuruFocus considers Amazon.com to be Fairly Valued.
Key valuation signals for AMZN:
Net Margin %: 16.67% (247% above median its 10-year median of 4.81)
GF Value™: $233.18 vs. price of $234.27 (0.5% above fair value)
Industry Position: 613.9% above the Retail - Cyclical median (#116 of 1128)
No single metric tells the full story. See the AMZN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Amazon is the leading online retailer and marketplace for third party sellers. Retail related revenue represents approximately 74% of total, followed by Amazon Web Services (17%), and advertising services (9%). International segments constitute 22% of Amazon's total revenue, led by Germany, the United Kingdom, and Japan.
95GF Score
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