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Alpha SystemsFRA:AN5 +1.12%74 Net Margin % is 8.84% as of Mar. 2026, which is 13% above its 10-year median of 7.83. GuruFocus rates FRA:AN5 with a GF Score™ of 74/100 and a GF Value™ of €19.53. The stock has 1 warning sign investors should review. Among 2,828 Software companies, Alpha Systems ranks better than 73.51% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Alpha Systems's Net Income for the
three
months ended in Mar. 2026 was €5.2 Mil. Alpha Systems's Revenue for the
three
months ended in Mar. 2026 was €59.2 Mil. Therefore, Alpha Systems's net margin for the quarter that ended in Mar. 2026 was 8.84%.
The historical rank and industry rank for Alpha Systems's Net Margin % or its related term are showing as below:
FRA:AN5'
s Net Margin % Range Over the Past 10 Years
Min: 6.48 Med: 7.83 Max: 9.21
Current: 9.21
FRA:AN5's Net Margin % is ranked better than 73.51% of 2828
companies
in the Software industry
Industry Median: 2.535
vs FRA:AN5: 9.21
Alpha Systems (FRA:AN5) 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.
Alpha Systems Net Margin % Related Terms
Alpha Systems Net Margin % Historical Data
* Premium members only.
The historical data trend for Alpha Systems'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.
FRA:AN5 vs UBER, SHOP, CRM: Net Margin % Comparison
For the Software - Application subindustry, Alpha Systems'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.
Alpha Systems Net Margin % vs Software Industry
For the Software industry and Technology sector, Alpha Systems's Net Margin % distribution charts can be found below:
* The bar in red indicates where Alpha Systems'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.
Alpha Systems (FRA:AN5) has a Net Margin % of 8.84% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Alpha Systems and its competitors. This is 13% above median its historical median of 7.83. Over the past decade, Alpha Systems' Net Margin % has ranged from 6.48 to 9.21. According to the industry distribution chart, Alpha Systems ranks #749 out of 2828 companies in the Software industry, placing it in the top 26.5%.
Is Alpha Systems' Net Margin % too high?
Alpha Systems' current Net Margin % of 8.84% is 13% above median its 10-year median of 7.83. Over the past 10 years, this metric has ranged from a low of 6.48 to a high of 9.21. The Software industry median Net Margin % is 2.54. Alpha Systems' value of 8.84% is 248.7% above this industry median. Based on the distribution chart, Alpha Systems ranks #749 out of 2828 companies in the Software industry, which is above the industry midpoint. Overall, Alpha Systems has a GF Score™ of 74/100, reflecting its overall financial health beyond just this single metric.
How does Alpha Systems' Net Margin % compare to UBER and SHOP?
According to the Software industry distribution chart, Alpha Systems ranks #749 out of 2828 companies for Net Margin %. This puts Alpha Systems in the upper half of its industry. The industry median Net Margin % is 2.54. Alpha Systems' value of 8.84% is 248.7% above this benchmark. Historically, Alpha Systems' own Net Margin % has ranged from 6.48 to 9.21 over the past decade. While the company's 10-year median is 7.83 vs. the industry median of 2.54, Alpha Systems 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 Software company?
The median Net Margin % among Software companies is 2.54, based on 2,828 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. Alpha Systems's current Net Margin % of 8.84% is 248.7% 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 Alpha Systems 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. Alpha Systems's current Net Margin % is 8.84%, which is 13% above median its own 10-year median of 7.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alpha Systems stock overvalued right now?
Alpha Systems (FRA:AN5) has a current Net Margin % of 8.84%. The stock's GF Value™ is €19.53, compared to a current price of €18.00 — trading 7.8% below its estimated fair value. The current Net Margin % is 8.84%, which is 13% above median its 10-year median of 7.83 and 248.7% above the Software industry median of 2.54. Alpha Systems' overall GF Score™ is 74/100 with 1 warning sign 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 Alpha Systems (FRA:AN5), the current Net Margin % is 8.84% 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 Alpha Systems (FRA:AN5) Overvalued in 2026?
Based on GuruFocus' analysis, Alpha Systems stock appears to be undervalued.
The current stock price of €18.00 is trading 7.8% below its estimated GF Value™ of €19.53.
Key valuation signals for FRA:AN5:
Net Margin %: 8.84% (13% above median its 10-year median of 7.83)
GF Value™: €19.53 vs. price of €18.00 (7.8% below fair value)
Industry Position: 248.7% above the Software median (#749 of 2828)
No single metric tells the full story. See the FRA:AN5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Alpha Systems Inc engages in software development for telecommunications systems. The company develops software for backbone communication systems, such as node systems, mobile network systems, and network management systems; open systems, including systems for management of production and distribution, and Intranets for corporate information management; and embedded systems to control electronic devices, including home appliances, office automation equipment, industrial machines, and in-vehicle systems. It also provides system integration, system operation and maintenance, and product sales services.
74GF Score
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