NetAppFRA:NTA -3.39%91 Net Margin % is 20.74% as of Apr. 2026, which is 34% above its 10-year median of 15.43. GuruFocus rates FRA:NTA with a GF Score™ of 91/100 and a GF Value™ of €103.42 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 2,827 Software companies, NetApp ranks better than 88.19% on this metric.
Net margin is calculated as Net Income divided by its Revenue. NetApp's Net Income for the
three
months ended in Apr. 2026 was €345 Mil. NetApp's Revenue for the
three
months ended in Apr. 2026 was €1,666 Mil. Therefore, NetApp's net margin for the quarter that ended in Apr. 2026 was 20.74%.
The historical rank and industry rank for NetApp's Net Margin % or its related term are showing as below:
FRA:NTA'
s Net Margin % Range Over the Past 10 Years
Min: 1.96 Med: 15.43 Max: 20.03
Current: 18.43
FRA:NTA's Net Margin % is ranked better than 88.19% of 2827
companies
in the Software industry
Industry Median: 2.54
vs FRA:NTA: 18.43
NetApp (FRA:NTA) 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.
NetApp Net Margin % Related Terms
NetApp Net Margin % Historical Data
* Premium members only.
The historical data trend for NetApp'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:NTA vs TWLO, MDB, VRSN: Net Margin % Comparison
For the Software - Infrastructure subindustry, NetApp'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.
NetApp Net Margin % vs Software Industry
For the Software industry and Technology sector, NetApp's Net Margin % distribution charts can be found below:
* The bar in red indicates where NetApp'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.
NetApp (FRA:NTA) has a Net Margin % of 20.74% as of Apr. 2026. Net margin is the ratio of total net income to net sales. View historical data on NetApp and its competitors. This is 34% above median its historical median of 15.43. Over the past decade, NetApp's Net Margin % has ranged from 1.96 to 20.03. According to the industry distribution chart, NetApp ranks #334 out of 2827 companies in the Software industry, placing it in the top 11.8%.
Is NetApp's Net Margin % too high?
NetApp's current Net Margin % of 20.74% is 34% above median its 10-year median of 15.43. Over the past 10 years, this metric has ranged from a low of 1.96 to a high of 20.03. The Software industry median Net Margin % is 2.54. NetApp's value of 20.74% is 716.5% above this industry median. Based on the distribution chart, NetApp ranks #334 out of 2827 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, NetApp has a GF Score™ of 91/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does NetApp's Net Margin % compare to TWLO and MDB?
According to the Software industry distribution chart, NetApp ranks #334 out of 2827 companies for Net Margin %. This places NetApp in the top 12% of its industry — outperforming the majority of peers. The industry median Net Margin % is 2.54. NetApp's value of 20.74% is 716.5% above this benchmark. Historically, NetApp's own Net Margin % has ranged from 1.96 to 20.03 over the past decade. While the company's 10-year median is 15.43 vs. the industry median of 2.54, NetApp 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. NetApp's current Net Margin % of 20.74% is 716.5% 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 NetApp 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. NetApp's current Net Margin % is 20.74%, which is 34% above median its own 10-year median of 15.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NetApp stock overvalued right now?
Based on GuruFocus' analysis, NetApp (FRA:NTA) is currently considered Modestly Overvalued. The stock's GF Value™ is €103.42, compared to a current price of €132.38 — trading 28% above its estimated fair value. The current Net Margin % is 20.74%, which is 34% above median its 10-year median of 15.43 and 716.5% above the Software industry median of 2.54. NetApp's overall GF Score™ is 91/100 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 NetApp (FRA:NTA), the current Net Margin % is 20.74% as of Apr. 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 NetApp (FRA:NTA) Overvalued in 2026?
Based on GuruFocus' analysis, NetApp stock appears to be overvalued.
The current stock price of €132.38 is trading 28% above its estimated GF Value™ of €103.42.
GuruFocus considers NetApp to be Modestly Overvalued.
Key valuation signals for FRA:NTA:
Net Margin %: 20.74% (34% above median its 10-year median of 15.43)
GF Value™: €103.42 vs. price of €132.38 (28% above fair value)
Industry Position: 716.5% above the Software median (#334 of 2827)
No single metric tells the full story. See the FRA:NTA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NetApp Inc is storage hardware provider into a software-driven, cloud-centric data infrastructure company. Its flagship ONTAP data management software, together with a comprehensive portfolio of all-flash, hybrid-flash, and cloud-native solutions, forms the backbone of digital transformation for thousands of enterprises world'wide. Its operations are organized into two segments Hybrid Cloud and Public Cloud. It generates majority of revenue from Hybrid Cloud offers a unified data storage portfolio of storage management and infrastructure solutions that helps customers modernize their data centers. Hybrid Cloud includes software, hardware, and related support, along with professional and other services. It generates majority of revenue from United States followed by International market.
91GF Score
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