Net margin is calculated as Net Income divided by its Revenue. DLH Holdings's Net Income for the
three
months ended in Mar. 2026 was $-2.5 Mil. DLH Holdings's Revenue for the
three
months ended in Mar. 2026 was $59.3 Mil. Therefore, DLH Holdings's net margin for the quarter that ended in Mar. 2026 was -4.28%.
The historical rank and industry rank for DLH Holdings's Net Margin % or its related term are showing as below:
DLHC'
s Net Margin % Range Over the Past 10 Years
Min: -1.53 Med: 3.08 Max: 5.89
Current: -1.53
DLHC's Net Margin % is ranked worse than 76.82% of 1074
companies
in the Business Services industry
Industry Median: 3.82
vs DLHC: -1.53
DLH Holdings (NAS:DLHC) 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.
DLH Holdings Net Margin % Related Terms
DLH Holdings Net Margin % Historical Data
* Premium members only.
The historical data trend for DLH Holdings'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 Specialty Business Services subindustry, DLH Holdings'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.
DLH Holdings Net Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, DLH Holdings's Net Margin % distribution charts can be found below:
* The bar in red indicates where DLH Holdings'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.
DLH Holdings (DLHC) has a Net Margin % of -4.28% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on DLH Holdings and its competitors. According to the industry distribution chart, DLH Holdings ranks #825 out of 1074 companies in the Business Services industry, placing it in the top 76.8%.
Is DLH Holdings' Net Margin % too high?
DLH Holdings' current Net Margin % is -4.28%. Based on the distribution chart, DLH Holdings ranks #825 out of 1074 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, DLH Holdings has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does DLH Holdings' Net Margin % compare to TISI and ANPA?
According to the Business Services industry distribution chart, DLH Holdings ranks #825 out of 1074 companies for Net Margin %. This places DLH Holdings in the lower half of its industry. The industry median Net Margin % is 3.82. 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 Business Services company?
The median Net Margin % among Business Services companies is 3.82, based on 1,074 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 DLH Holdings and its competitors. For the Business Services industry, the median Net Margin % is 3.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DLH Holdings's current Net Margin % is -4.28%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DLH Holdings stock overvalued right now?
Based on GuruFocus' analysis, DLH Holdings (DLHC) is currently considered Fairly Valued. The stock's GF Value™ is $5.48, compared to a current price of $5.25 — trading 4.2% below its estimated fair value. The current Net Margin % is -4.28%. DLH Holdings' overall GF Score™ is 74/100 with 7 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 DLH Holdings (DLHC), the current Net Margin % is -4.28% 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 DLH Holdings (DLHC) Overvalued in 2026?
Based on GuruFocus' analysis, DLH Holdings stock appears to be undervalued.
The current stock price of $5.25 is trading 4.2% below its estimated GF Value™ of $5.48.
GuruFocus considers DLH Holdings to be Fairly Valued.
Key valuation signals for DLHC:
Net Margin %: -4.28%
GF Value™: $5.48 vs. price of $5.25 (4.2% below fair value)
No single metric tells the full story. See the DLHC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
DLH Holdings Corp delivers health and readiness solutions for federal government customers through digital transformation and cyber security, science research and development, and systems engineering and integration. It provides technology-enabled business process, program management, and digital transformation solutions to U.S. government agencies, focusing on large-scale, technology-powered health and defense initiatives for agencies including HHS, VA, DoD, and their sub-agencies. Its revenues come from technology-enabled business process outsourcing, program management solutions, and public health research and analytics under time-and-materials, cost-reimbursable, and firm-fixed-price contracts.
74GF Score
Get the complete analysis for DLHC
Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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