AmdocsFRA:AOS -1.03%73 Net Margin % is 11.76% as of Mar. 2026, which is 2% above its 10-year median of 11.52. GuruFocus rates FRA:AOS with a GF Score™ of 73/100 and a GF Value™ of €78.95 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 2,827 Software companies, Amdocs ranks better than 79.41% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Amdocs's Net Income for the
three
months ended in Mar. 2026 was €119 Mil. Amdocs's Revenue for the
three
months ended in Mar. 2026 was €1,014 Mil. Therefore, Amdocs's net margin for the quarter that ended in Mar. 2026 was 11.76%.
The historical rank and industry rank for Amdocs's Net Margin % or its related term are showing as below:
FRA:AOS'
s Net Margin % Range Over the Past 10 Years
Min: 8.92 Med: 11.52 Max: 16.05
Current: 11.81
FRA:AOS's Net Margin % is ranked better than 79.41% of 2827
companies
in the Software industry
Industry Median: 2.54
vs FRA:AOS: 11.81
Amdocs (FRA:AOS) 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.
Amdocs Net Margin % Related Terms
Amdocs Net Margin % Historical Data
* Premium members only.
The historical data trend for Amdocs'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:AOS vs DBX, PATH, ZETA: Net Margin % Comparison
For the Software - Infrastructure subindustry, Amdocs'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.
Amdocs Net Margin % vs Software Industry
For the Software industry and Technology sector, Amdocs's Net Margin % distribution charts can be found below:
* The bar in red indicates where Amdocs'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.
Amdocs (FRA:AOS) has a Net Margin % of 11.76% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Amdocs and its competitors. This is near median its historical median of 11.52. Over the past decade, Amdocs' Net Margin % has ranged from 8.92 to 16.05. According to the industry distribution chart, Amdocs ranks #582 out of 2827 companies in the Software industry, placing it in the top 20.6%.
Is Amdocs' Net Margin % too high?
Amdocs' current Net Margin % of 11.76% is near median its 10-year median of 11.52. Over the past 10 years, this metric has ranged from a low of 8.92 to a high of 16.05. The Software industry median Net Margin % is 2.54. Amdocs' value of 11.76% is 363% above this industry median. Based on the distribution chart, Amdocs ranks #582 out of 2827 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Amdocs has a GF Score™ of 73/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Amdocs' Net Margin % compare to DBX and PATH?
According to the Software industry distribution chart, Amdocs ranks #582 out of 2827 companies for Net Margin %. This places Amdocs in the top 21% of its industry — outperforming the majority of peers. The industry median Net Margin % is 2.54. Amdocs' value of 11.76% is 363% above this benchmark. Historically, Amdocs' own Net Margin % has ranged from 8.92 to 16.05 over the past decade. While the company's 10-year median is 11.52 vs. the industry median of 2.54, Amdocs 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 2,827 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. Amdocs's current Net Margin % of 11.76% is 363% 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 Amdocs 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. Amdocs's current Net Margin % is 11.76%, which is near median its own 10-year median of 11.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Amdocs stock overvalued right now?
Based on GuruFocus' analysis, Amdocs (FRA:AOS) is currently considered Significantly Undervalued. The stock's GF Value™ is €78.95, compared to a current price of €45.20 — trading 42.7% below its estimated fair value. The current Net Margin % is 11.76%, which is near median its 10-year median of 11.52 and 363% above the Software industry median of 2.54. Amdocs' overall GF Score™ is 73/100 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 Amdocs (FRA:AOS), the current Net Margin % is 11.76% 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 Amdocs (FRA:AOS) Overvalued in 2026?
Based on GuruFocus' analysis, Amdocs stock appears to be undervalued.
The current stock price of €45.20 is trading 42.7% below its estimated GF Value™ of €78.95.
GuruFocus considers Amdocs to be Significantly Undervalued.
Key valuation signals for FRA:AOS:
Net Margin %: 11.76% (near median its 10-year median of 11.52)
GF Value™: €78.95 vs. price of €45.20 (42.7% below fair value)
Industry Position: 363% above the Software median (#582 of 2827)
No single metric tells the full story. See the FRA:AOS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Amdocs Ltd is a provider of software and services to communications, entertainment, and media service providers. The Company operates in a single segment and designs, develops, markets, supports, implements, and operates open and modular cloud offerings. Its portfolio includes solutions across digital business systems and legacy business and operational support systems, supporting multiple lines of business such as wireless, broadband, cable, fiber, satellite, and digital services. The Company leverages artificial intelligence to support digital transformation, cloud adoption, and intelligent network automation. Geographically, it derives a majority of its revenue from North America and also operates in Europe and the rest of the world.
73GF Score
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