The historical rank and industry rank for Guidewire Software's Net Margin % or its related term are showing as below:
FRA:0GS'
s Net Margin % Range Over the Past 10 Years
Min: -22.2 Med: -2.14 Max: 11.25
Current: 11.25
FRA:0GS's Net Margin % is ranked better than 78.34% of 2825
companies
in the Software industry
Industry Median: 2.54
vs FRA:0GS: 11.25
Guidewire Software (FRA:0GS) 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.
Guidewire Software Net Margin % Related Terms
Guidewire Software Net Margin % Historical Data
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The historical data trend for Guidewire Software'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, Guidewire Software'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.
Guidewire Software Net Margin % vs Software Industry
For the Software industry and Technology sector, Guidewire Software's Net Margin % distribution charts can be found below:
* The bar in red indicates where Guidewire Software'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.
Guidewire Software (FRA:0GS) has a Net Margin % of 4.42% as of Apr. 2026. Net margin is the ratio of total net income to net sales. View historical data on Guidewire Software and its competitors. According to the industry distribution chart, Guidewire Software ranks #612 out of 2825 companies in the Software industry, placing it in the top 21.7%.
Is Guidewire Software's Net Margin % too high?
Guidewire Software's current Net Margin % is 4.42%. The Software industry median Net Margin % is 2.54. Guidewire Software's value of 4.42% is 74% above this industry median. Based on the distribution chart, Guidewire Software ranks #612 out of 2825 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Guidewire Software has a GF Score™ of 70/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Guidewire Software's Net Margin % compare to TYL and U?
According to the Software industry distribution chart, Guidewire Software ranks #612 out of 2825 companies for Net Margin %. This places Guidewire Software in the top 22% of its industry — outperforming the majority of peers. The industry median Net Margin % is 2.54. Guidewire Software's value of 4.42% is 74% above 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 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. Guidewire Software's current Net Margin % of 4.42% is 74% 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 Guidewire Software 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. Guidewire Software's current Net Margin % is 4.42%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Guidewire Software stock overvalued right now?
Based on GuruFocus' analysis, Guidewire Software (FRA:0GS) is currently considered Significantly Undervalued. The stock's GF Value™ is €177.18, compared to a current price of €97.48 — trading 45% below its estimated fair value. The current Net Margin % is 4.42% and 74% above the Software industry median of 2.54. Guidewire Software's overall GF Score™ is 70/100 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 Guidewire Software (FRA:0GS), the current Net Margin % is 4.42% as of Apr. 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 Guidewire Software (FRA:0GS) Overvalued in 2026?
Based on GuruFocus' analysis, Guidewire Software stock appears to be undervalued.
The current stock price of €97.48 is trading 45% below its estimated GF Value™ of €177.18.
GuruFocus considers Guidewire Software to be Significantly Undervalued.
Key valuation signals for FRA:0GS:
Net Margin %: 4.42%
GF Value™: €177.18 vs. price of €97.48 (45% below fair value)
Industry Position: 74% above the Software median (#612 of 2825)
No single metric tells the full story. See the FRA:0GS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Guidewire Software provides cloud-based software solutions for property and casualty insurers. The flagship product, InsuranceSuite is a system of record and comprises ClaimCenter, a claims management system; PolicyCenter, a policy management system including policy definitions, quotas, issuance, maintenance, and renewal; and BillingCenter, for billing management, payment plans, and agent commissions. The company also offers InsuranceNow, a midmarket offering, as well as a variety of other add-on applications and services.
70GF Score
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Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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