The historical rank and industry rank for Elanco Animal Health's Net Margin % or its related term are showing as below:
ELAN'
s Net Margin % Range Over the Past 10 Years
Min: -27.87 Med: -3.35 Max: 7.61
Current: -4.95
ELAN's Net Margin % is ranked worse than 72.59% of 956
companies
in the Drug Manufacturers industry
Industry Median: 5.56
vs ELAN: -4.95
Elanco Animal Health (NYSE:ELAN) 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.
Elanco Animal Health Net Margin % Related Terms
Elanco Animal Health Net Margin % Historical Data
* Premium members only.
The historical data trend for Elanco Animal Health'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 Drug Manufacturers - Specialty & Generic subindustry, Elanco Animal Health'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.
Elanco Animal Health Net Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Elanco Animal Health's Net Margin % distribution charts can be found below:
* The bar in red indicates where Elanco Animal Health'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.
Elanco Animal Health (ELAN) has a Net Margin % of 4.16% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Elanco Animal Health and its competitors. According to the industry distribution chart, Elanco Animal Health ranks #694 out of 956 companies in the Drug Manufacturers industry, placing it in the top 72.6%.
Is Elanco Animal Health's Net Margin % too high?
Elanco Animal Health's current Net Margin % is 4.16%. The Drug Manufacturers industry median Net Margin % is 5.56. Elanco Animal Health's value of 4.16% is 25.2% below this industry median. Based on the distribution chart, Elanco Animal Health ranks #694 out of 956 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Elanco Animal Health has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Elanco Animal Health's Net Margin % compare to RGC and NBIX?
According to the Drug Manufacturers industry distribution chart, Elanco Animal Health ranks #694 out of 956 companies for Net Margin %. This places Elanco Animal Health in the lower half of its industry. The industry median Net Margin % is 5.56. Elanco Animal Health's value of 4.16% is 25.2% below this benchmark. 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 Drug Manufacturers company?
The median Net Margin % among Drug Manufacturers companies is 5.56, based on 956 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. Elanco Animal Health's current Net Margin % of 4.16% is 25.2% below 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 Elanco Animal Health and its competitors. For the Drug Manufacturers industry, the median Net Margin % is 5.56 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elanco Animal Health's current Net Margin % is 4.16%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elanco Animal Health stock overvalued right now?
Based on GuruFocus' analysis, Elanco Animal Health (ELAN) is currently considered Significantly Overvalued. The stock's GF Value™ is $15.57, compared to a current price of $23.93 — trading 53.7% above its estimated fair value. The current Net Margin % is 4.16% and 25.2% below the Drug Manufacturers industry median of 5.56. Elanco Animal Health's overall GF Score™ is 66/100 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 Elanco Animal Health (ELAN), the current Net Margin % is 4.16% 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 Elanco Animal Health (ELAN) Overvalued in 2026?
Based on GuruFocus' analysis, Elanco Animal Health stock appears to be overvalued.
The current stock price of $23.93 is trading 53.7% above its estimated GF Value™ of $15.57.
GuruFocus considers Elanco Animal Health to be Significantly Overvalued.
Key valuation signals for ELAN:
Net Margin %: 4.16%
GF Value™: $15.57 vs. price of $23.93 (53.7% above fair value)
Industry Position: 25.2% below the Drug Manufacturers median (#694 of 956)
No single metric tells the full story. See the ELAN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Elanco Animal Health is an animal health company that is engaged in developing, manufacturing, and marketing pharma products for companion and food animals. It spun off from Eli Lilly in 2018 and acquired Janssen Animal Health in 2011, Novartis Animal Health in 2014, Boehringer Ingelheim Vetmedica in 2017, and Bayer Animal Health in 2020. The company's operations are conducted globally, and it sells its products in over 90 countries. It offers a range of food animal products used in cattle, sheep, poultry, and swine production.
66GF Score
Get the complete analysis for ELAN
Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ELAN has been successfully added to your 
