Coles GroupFRA:2OF 72 Net Margin % is 2.16% as of Dec. 2025, which is 17% below its 10-year median of 2.59. GuruFocus rates FRA:2OF with a GF Score™ of 72/100 and a GF Value™ of €12.18 (Modestly Overvalued). The stock has 8 warning signs investors should review. Among 310 Retail - Defensive companies, Coles Group ranks better than 51.61% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Coles Group's Net Income for the
six
months ended in Dec. 2025 was €290 Mil. Coles Group's Revenue for the
six
months ended in Dec. 2025 was €13,445 Mil. Therefore, Coles Group's net margin for the quarter that ended in Dec. 2025 was 2.16%.
The historical rank and industry rank for Coles Group's Net Margin % or its related term are showing as below:
FRA:2OF'
s Net Margin % Range Over the Past 10 Years
Min: 2.26 Med: 2.59 Max: 3.73
Current: 2.26
FRA:2OF's Net Margin % is ranked better than 51.61% of 310
companies
in the Retail - Defensive industry
Industry Median: 2.155
vs FRA:2OF: 2.26
Coles Group (FRA:2OF) 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.
Coles Group Net Margin % Related Terms
Coles Group Net Margin % Historical Data
* Premium members only.
The historical data trend for Coles Group'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 Grocery Stores subindustry, Coles Group'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.
Coles Group Net Margin % vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Coles Group's Net Margin % distribution charts can be found below:
* The bar in red indicates where Coles Group'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.
Coles Group (FRA:2OF) has a Net Margin % of 2.16% as of Dec. 2025. Net margin is the ratio of total net income to net sales. View historical data on Coles Group and its competitors. This is 17% below median its historical median of 2.59. Over the past decade, Coles Group's Net Margin % has ranged from 2.26 to 3.73. According to the industry distribution chart, Coles Group ranks #150 out of 310 companies in the Retail - Defensive industry, placing it in the top 48.4%.
Is Coles Group's Net Margin % too high?
Coles Group's current Net Margin % of 2.16% is 17% below median its 10-year median of 2.59. Over the past 10 years, this metric has ranged from a low of 2.26 to a high of 3.73. The Retail - Defensive industry median Net Margin % is 2.16. Coles Group's value of 2.16% is 0.2% above this industry median. Based on the distribution chart, Coles Group ranks #150 out of 310 companies in the Retail - Defensive industry, which is above the industry midpoint. Overall, Coles Group has a GF Score™ of 72/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Coles Group's Net Margin % compare to KR and SFM?
According to the Retail - Defensive industry distribution chart, Coles Group ranks #150 out of 310 companies for Net Margin %. This puts Coles Group in the upper half of its industry. The industry median Net Margin % is 2.16. Coles Group's value of 2.16% is 0.2% above this benchmark. Historically, Coles Group's own Net Margin % has ranged from 2.26 to 3.73 over the past decade. While the company's 10-year median is 2.59 vs. the industry median of 2.16, Coles Group 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 a Retail - Defensive company?
The median Net Margin % among Retail - Defensive companies is 2.16, based on 310 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. Coles Group's current Net Margin % of 2.16% is 0.2% 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 Coles Group and its competitors. For the Retail - Defensive industry, the median Net Margin % is 2.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Coles Group's current Net Margin % is 2.16%, which is 17% below median its own 10-year median of 2.59. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Coles Group stock overvalued right now?
Based on GuruFocus' analysis, Coles Group (FRA:2OF) is currently considered Modestly Overvalued. The stock's GF Value™ is €12.18, compared to a current price of €14.20 — trading 16.6% above its estimated fair value. The current Net Margin % is 2.16%, which is 17% below median its 10-year median of 2.59 and 0.2% above the Retail - Defensive industry median of 2.16. Coles Group's overall GF Score™ is 72/100 with 8 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 Coles Group (FRA:2OF), the current Net Margin % is 2.16% 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 Coles Group (FRA:2OF) Overvalued in 2026?
Based on GuruFocus' analysis, Coles Group stock appears to be overvalued.
The current stock price of €14.20 is trading 16.6% above its estimated GF Value™ of €12.18.
GuruFocus considers Coles Group to be Modestly Overvalued.
Key valuation signals for FRA:2OF:
Net Margin %: 2.16% (17% below median its 10-year median of 2.59)
GF Value™: €12.18 vs. price of €14.20 (16.6% above fair value)
Industry Position: 0.2% above the Retail - Defensive median (#150 of 310)
No single metric tells the full story. See the FRA:2OF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Coles is one of Australia's largest retailers, operating the second-largest supermarket chain behind market leader Woolworths, and the country's second-largest liquor chain. The group has an extensive store network of over 1,800 stores and roughly 80% of Australians live within a 10-minute drive from a Coles store. The retailer employs some 120,000 people, who process some 20 million individual customer transactions a week. This compares with Woolworths processing about 30 million customer transactions per week from Australia's population of 27 million.
72GF Score
Get the complete analysis for FRA:2OF
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