IPG PhotonicsFRA:IPF -5.48%79 Net Margin % is 0.60% as of Mar. 2026, which is 96% below its 10-year median of 15.36. GuruFocus rates FRA:IPF with a GF Score™ of 79/100 and a GF Value™ of €74.51 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 1,023 Semiconductors companies, IPG Photonics ranks worse than 55.62% on this metric.
Net margin is calculated as Net Income divided by its Revenue. IPG Photonics's Net Income for the
three
months ended in Mar. 2026 was €1.4 Mil. IPG Photonics's Revenue for the
three
months ended in Mar. 2026 was €229.7 Mil. Therefore, IPG Photonics's net margin for the quarter that ended in Mar. 2026 was 0.60%.
The historical rank and industry rank for IPG Photonics's Net Margin % or its related term are showing as below:
FRA:IPF'
s Net Margin % Range Over the Past 10 Years
Min: -18.58 Med: 15.36 Max: 27.68
Current: 2.78
FRA:IPF's Net Margin % is ranked worse than 55.62% of 1023
companies
in the Semiconductors industry
Industry Median: 4.17
vs FRA:IPF: 2.78
IPG Photonics (FRA:IPF) 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.
IPG Photonics Net Margin % Related Terms
IPG Photonics Net Margin % Historical Data
* Premium members only.
The historical data trend for IPG Photonics'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:IPF vs ACLS, KLIC, UCTT: Net Margin % Comparison
For the Semiconductor Equipment & Materials subindustry, IPG Photonics'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.
IPG Photonics Net Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, IPG Photonics's Net Margin % distribution charts can be found below:
* The bar in red indicates where IPG Photonics'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.
IPG Photonics (FRA:IPF) has a Net Margin % of 0.60% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on IPG Photonics and its competitors. This is 96% below median its historical median of 15.36. According to the industry distribution chart, IPG Photonics ranks #569 out of 1023 companies in the Semiconductors industry, placing it in the top 55.6%.
Is IPG Photonics' Net Margin % too high?
IPG Photonics' current Net Margin % of 0.60% is 96% below median its 10-year median of 15.36. The Semiconductors industry median Net Margin % is 4.17. IPG Photonics' value of 0.60% is 85.6% below this industry median. Based on the distribution chart, IPG Photonics ranks #569 out of 1023 companies in the Semiconductors industry, which is below the industry midpoint. Overall, IPG Photonics has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does IPG Photonics' Net Margin % compare to ACLS and KLIC?
According to the Semiconductors industry distribution chart, IPG Photonics ranks #569 out of 1023 companies for Net Margin %. This places IPG Photonics in the lower half of its industry. The industry median Net Margin % is 4.17. IPG Photonics' value of 0.60% is 85.6% below this benchmark. While the company's 10-year median is 15.36 vs. the industry median of 4.17, IPG Photonics 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 a Semiconductors company?
The median Net Margin % among Semiconductors companies is 4.17, based on 1,023 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. IPG Photonics's current Net Margin % of 0.60% is 85.6% 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 IPG Photonics and its competitors. For the Semiconductors industry, the median Net Margin % is 4.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. IPG Photonics's current Net Margin % is 0.60%, which is 96% below median its own 10-year median of 15.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is IPG Photonics stock overvalued right now?
Based on GuruFocus' analysis, IPG Photonics (FRA:IPF) is currently considered Modestly Overvalued. The stock's GF Value™ is €74.51, compared to a current price of €94.50 — trading 26.8% above its estimated fair value. The current Net Margin % is 0.60%, which is 96% below median its 10-year median of 15.36 and 85.6% below the Semiconductors industry median of 4.17. IPG Photonics' overall GF Score™ is 79/100 with 5 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 IPG Photonics (FRA:IPF), the current Net Margin % is 0.60% 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 IPG Photonics (FRA:IPF) Overvalued in 2026?
Based on GuruFocus' analysis, IPG Photonics stock appears to be overvalued.
The current stock price of €94.50 is trading 26.8% above its estimated GF Value™ of €74.51.
GuruFocus considers IPG Photonics to be Modestly Overvalued.
Key valuation signals for FRA:IPF:
Net Margin %: 0.60% (96% below median its 10-year median of 15.36)
GF Value™: €74.51 vs. price of €94.50 (26.8% above fair value)
Industry Position: 85.6% below the Semiconductors median (#569 of 1023)
No single metric tells the full story. See the FRA:IPF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
IPG Photonics Corp is a vertically integrated developer and manufacturer of high-performance fiber lasers, laser and non-laser systems, fiber amplifiers, diode lasers, and related optical components. Its products are used in diverse applications in the manufacturing, automotive, industrial, aerospace, semiconductor, and consumer end markets. The company sells its products globally to original equipment manufacturers (OEMs), system integrators, and end users. Additionally, it manufactures complementary products used with its lasers, including optical delivery cables, fiber couplers, beam switches, optical processing heads, in-line sensors, and chillers. Geographically, the company generates maximum revenue from North America, followed by China, Japan, Germany, and other markets.
79GF Score
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