CoverCOVCF -0.79%58 Net Margin % is -6.22% as of Mar. 2026. GuruFocus rates COVCF with a GF Score™ of 58/100 and a GF Value™ of $21.41 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 2,825 Software companies, Cover ranks better than 62.76% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Cover's Net Income for the
three
months ended in Mar. 2026 was $-5.7 Mil. Cover's Revenue for the
three
months ended in Mar. 2026 was $92.3 Mil. Therefore, Cover's net margin for the quarter that ended in Mar. 2026 was -6.22%.
The historical rank and industry rank for Cover's Net Margin % or its related term are showing as below:
COVCF'
s Net Margin % Range Over the Past 10 Years
Min: 6.11 Med: 12.54 Max: 21.32
Current: 6.11
COVCF's Net Margin % is ranked better than 62.76% of 2825
companies
in the Software industry
Industry Median: 2.54
vs COVCF: 6.11
Cover (OTCPK:COVCF) 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.
Cover Net Margin % Related Terms
Cover Net Margin % Historical Data
* Premium members only.
The historical data trend for Cover'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 Software - Application subindustry, Cover'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.
Cover Net Margin % vs Software Industry
For the Software industry and Technology sector, Cover's Net Margin % distribution charts can be found below:
* The bar in red indicates where Cover'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.
Cover (COVCF) has a Net Margin % of -6.22% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Cover and its competitors. Over the past decade, Cover's Net Margin % has ranged from 6.11 to 21.32. According to the industry distribution chart, Cover ranks #1052 out of 2825 companies in the Software industry, placing it in the top 37.2%.
Is Cover's Net Margin % too high?
Cover's current Net Margin % is -6.22%. Over the past 10 years, this metric has ranged from a low of 6.11 to a high of 21.32. Based on the distribution chart, Cover ranks #1052 out of 2825 companies in the Software industry, which is above the industry midpoint. Overall, Cover has a GF Score™ of 58/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cover's Net Margin % compare to CRM and SHOP?
According to the Software industry distribution chart, Cover ranks #1052 out of 2825 companies for Net Margin %. This puts Cover in the upper half of its industry. The industry median Net Margin % is 2.54. Historically, Cover's own Net Margin % has ranged from 6.11 to 21.32 over the past decade. 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 Software company?
The median Net Margin % among Software companies is 2.54, based on 2,825 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. 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 Cover and its competitors. For the Software industry, the median Net Margin % is 2.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cover's current Net Margin % is -6.22%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cover stock overvalued right now?
Based on GuruFocus' analysis, Cover (COVCF) is currently considered Significantly Undervalued. The stock's GF Value™ is $21.41, compared to a current price of $7.57 — trading 64.6% below its estimated fair value. The current Net Margin % is -6.22%. Cover's overall GF Score™ is 58/100 with 3 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 Cover (COVCF), the current Net Margin % is -6.22% 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 Cover (COVCF) Overvalued in 2026?
Based on GuruFocus' analysis, Cover stock appears to be undervalued.
The current stock price of $7.57 is trading 64.6% below its estimated GF Value™ of $21.41.
GuruFocus considers Cover to be Significantly Undervalued.
Key valuation signals for COVCF:
Net Margin %: -6.22%
GF Value™: $21.41 vs. price of $7.57 (64.6% below fair value)
No single metric tells the full story. See the COVCF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cover Corp operates as a platformer for two-dimensional entertainment. It is engaged in developing multifaceted businesses to accelerate 2D entertainment such as distribution system development, VTuber office management, and content development.
58GF Score
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