Meridian EnergyASX:MEZ +1.91%68 Net Margin % is 11.41% as of Dec. 2025, which is 40% above its 10-year median of 8.17. GuruFocus rates ASX:MEZ with a GF Score™ of 68/100 and a GF Value™ of A$4.32 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 421 Utilities - Independent Power Producers companies, Meridian Energy ranks worse than 72.21% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Meridian Energy's Net Income for the
six
months ended in Dec. 2025 was A$198 Mil. Meridian Energy's Revenue for the
six
months ended in Dec. 2025 was A$1,733 Mil. Therefore, Meridian Energy's net margin for the quarter that ended in Dec. 2025 was 11.41%.
The historical rank and industry rank for Meridian Energy's Net Margin % or its related term are showing as below:
ASX:MEZ'
s Net Margin % Range Over the Past 10 Years
Min: -9.43 Med: 8.17 Max: 12.24
Current: -2.29
Meridian Energy (ASX:MEZ) 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.
Meridian Energy Net Margin % Related Terms
Meridian Energy Net Margin % Historical Data
* Premium members only.
The historical data trend for Meridian Energy'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.
Meridian Energy Net Margin % Competitor Comparison
For the Utilities - Renewable subindustry, Meridian Energy'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.
Meridian Energy Net Margin % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Meridian Energy's Net Margin % distribution charts can be found below:
* The bar in red indicates where Meridian Energy'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.
Meridian Energy (ASX:MEZ) has a Net Margin % of 11.41% as of Dec. 2025. Net margin is the ratio of total net income to net sales. View historical data on Meridian Energy and its competitors. This is 40% above median its historical median of 8.17. According to the industry distribution chart, Meridian Energy ranks #304 out of 421 companies in the Utilities - Independent Power Producers industry, placing it in the top 72.2%.
Is Meridian Energy's Net Margin % too high?
Meridian Energy's current Net Margin % of 11.41% is 40% above median its 10-year median of 8.17. The Utilities - Independent Power Producers industry median Net Margin % is 6.17. Meridian Energy's value of 11.41% is 84.9% above this industry median. Based on the distribution chart, Meridian Energy ranks #304 out of 421 companies in the Utilities - Independent Power Producers industry, which is below the industry midpoint. Overall, Meridian Energy has a GF Score™ of 68/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Meridian Energy's Net Margin % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Meridian Energy ranks #304 out of 421 companies for Net Margin %. This places Meridian Energy in the lower half of its industry. The industry median Net Margin % is 6.17. Meridian Energy's value of 11.41% is 84.9% above this benchmark. While the company's 10-year median is 8.17 vs. the industry median of 6.17, Meridian Energy 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 an Utilities - Independent Power Producers company?
The median Net Margin % among Utilities - Independent Power Producers companies is 6.17, based on 421 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. Meridian Energy's current Net Margin % of 11.41% is 84.9% 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 Meridian Energy and its competitors. For the Utilities - Independent Power Producers industry, the median Net Margin % is 6.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Meridian Energy's current Net Margin % is 11.41%, which is 40% above median its own 10-year median of 8.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Meridian Energy stock overvalued right now?
Based on GuruFocus' analysis, Meridian Energy (ASX:MEZ) is currently considered Modestly Overvalued. The stock's GF Value™ is A$4.32, compared to a current price of A$4.79 — trading 10.9% above its estimated fair value. The current Net Margin % is 11.41%, which is 40% above median its 10-year median of 8.17 and 84.9% above the Utilities - Independent Power Producers industry median of 6.17. Meridian Energy's overall GF Score™ is 68/100 with 6 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 Meridian Energy (ASX:MEZ), the current Net Margin % is 11.41% as of Dec. 2025. 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 Meridian Energy (ASX:MEZ) Overvalued in 2026?
Based on GuruFocus' analysis, Meridian Energy stock appears to be overvalued.
The current stock price of A$4.79 is trading 10.9% above its estimated GF Value™ of A$4.32.
GuruFocus considers Meridian Energy to be Modestly Overvalued.
Key valuation signals for ASX:MEZ:
Net Margin %: 11.41% (40% above median its 10-year median of 8.17)
GF Value™: A$4.32 vs. price of A$4.79 (10.9% above fair value)
Industry Position: 84.9% above the Utilities - Independent Power Producers median (#304 of 421)
No single metric tells the full story. See the ASX:MEZ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Meridian Energy is one of New Zealand's leading utilities. It is the largest electricity producer in the nation, with a third of the market, and the fourth-largest energy retailer, with about 15% of the market by customer numbers. It generates 100% renewable electricity, mainly from large hydroelectric schemes in the South Island. It also owns a geographically diversified portfolio of wind farms.
68GF Score
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