Net margin is calculated as Net Income divided by its Revenue. ALLETE's Net Income for the
three
months ended in Sep. 2025 was €23 Mil. ALLETE's Revenue for the
three
months ended in Sep. 2025 was €320 Mil. Therefore, ALLETE's net margin for the quarter that ended in Sep. 2025 was 7.23%.
The historical rank and industry rank for ALLETE's Net Margin % or its related term are showing as below:
FRA:AEBA'
s Net Margin % Range Over the Past 10 Years
Min: 9.49 Med: 11.99 Max: 14.96
Current: 11.04
FRA:AEBA's Net Margin % is not ranked
in the Utilities - Regulated industry.
Industry Median: 8.8
vs FRA:AEBA: 11.04
ALLETE (FRA:AEBA) 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.
ALLETE Net Margin % Related Terms
ALLETE Net Margin % Historical Data
* Premium members only.
The historical data trend for ALLETE'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 Utilities - Diversified subindustry, ALLETE'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.
ALLETE Net Margin % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, ALLETE's Net Margin % distribution charts can be found below:
* The bar in red indicates where ALLETE'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.
ALLETE (FRA:AEBA) has a Net Margin % of 7.23% as of Sep. 2025. Net margin is the ratio of total net income to net sales. View historical data on ALLETE and its competitors. This is 40% below median its historical median of 11.99. Over the past decade, ALLETE's Net Margin % has ranged from 9.49 to 14.96.
Is ALLETE's Net Margin % too high?
ALLETE's current Net Margin % of 7.23% is 40% below median its 10-year median of 11.99. Over the past 10 years, this metric has ranged from a low of 9.49 to a high of 14.96. The Utilities - Regulated industry median Net Margin % is 8.80. ALLETE's value of 7.23% is 17.8% below this industry median. Overall, ALLETE has a GF Score™ of 26/100, reflecting its overall financial health beyond just this single metric.
How does ALLETE's Net Margin % compare to SRE and AES?
ALLETE's Net Margin % of 7.23% can be compared against companies in the Utilities - Regulated industry. The industry median Net Margin % is 8.80. ALLETE's value of 7.23% is 17.8% below this benchmark. Historically, ALLETE's own Net Margin % has ranged from 9.49 to 14.96 over the past decade. While the company's 10-year median is 11.99 vs. the industry median of 8.80, ALLETE has consistently been below 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 an Utilities - Regulated company?
The median Net Margin % among Utilities - Regulated companies is 8.80, based on 501 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. ALLETE's current Net Margin % of 7.23% is 17.8% 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 ALLETE and its competitors. For the Utilities - Regulated industry, the median Net Margin % is 8.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ALLETE's current Net Margin % is 7.23%, which is 40% below median its own 10-year median of 11.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ALLETE stock overvalued right now?
ALLETE (FRA:AEBA) has a current Net Margin % of 7.23%. The stock's GF Value™ is €51.55, compared to a current price of €57.50 — trading 11.5% above its estimated fair value. The current Net Margin % is 7.23%, which is 40% below median its 10-year median of 11.99 and 17.8% below the Utilities - Regulated industry median of 8.80. ALLETE's overall GF Score™ is 26/100 with 11 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 ALLETE (FRA:AEBA), the current Net Margin % is 7.23% as of Sep. 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 ALLETE (FRA:AEBA) Overvalued in 2026?
Based on GuruFocus' analysis, ALLETE stock appears to be overvalued.
The current stock price of €57.50 is trading 11.5% above its estimated GF Value™ of €51.55.
Key valuation signals for FRA:AEBA:
Net Margin %: 7.23% (40% below median its 10-year median of 11.99)
GF Value™: €51.55 vs. price of €57.50 (11.5% above fair value)
Industry Position: 17.8% below the Utilities - Regulated median
No single metric tells the full story. See the FRA:AEBA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ALLETE Inc provides competitively-priced energy in America's Upper Midwest region and invests in transmission infrastructure and other energy-centric businesses. The company has two reportable segments. The first segment is Regulated Operations, which includes the company's regulated utilities, Minnesota Power and SWL&P, as well as its investment in ATC. ATC is a regulated utility based in Wisconsin that owns and maintains electric transmission assets in parts of Wisconsin, Michigan, Minnesota, and Illinois. The second segment is ALLETE Clean Energy, which focuses on developing, acquiring, and operating clean and renewable energy projects.
26GF Score
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