Healthcare Services GroupHCSG +4.24%73 Net Margin % is 5.63% as of Mar. 2026, which is 68% above its 10-year median of 3.36. GuruFocus rates HCSG with a GF Score™ of 73/100 and a GF Value™ of $14.08 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 668 Healthcare Providers & Services companies, Healthcare Services Group ranks better than 54.94% on this metric.
The historical rank and industry rank for Healthcare Services Group's Net Margin % or its related term are showing as below:
HCSG'
s Net Margin % Range Over the Past 10 Years
Min: 2.03 Med: 3.36 Max: 5.61
Current: 3.67
HCSG's Net Margin % is ranked better than 54.94% of 668
companies
in the Healthcare Providers & Services industry
Industry Median: 2.885
vs HCSG: 3.67
Healthcare Services Group (NAS:HCSG) 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.
Healthcare Services Group Net Margin % Related Terms
Healthcare Services Group Net Margin % Historical Data
* 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 Medical Care Facilities subindustry, Healthcare Services Group'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.
Healthcare Services Group Net Margin % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Healthcare Services Group's Net Margin % distribution charts can be found below:
* The bar in red indicates where Healthcare Services Group'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.
Healthcare Services Group (HCSG) has a Net Margin % of 5.63% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Healthcare Services Group and its competitors. This is 68% above median its historical median of 3.36. Over the past decade, Healthcare Services Group's Net Margin % has ranged from 2.03 to 5.61. According to the industry distribution chart, Healthcare Services Group ranks #301 out of 668 companies in the Healthcare Providers & Services industry, placing it in the top 45.1%.
Is Healthcare Services Group's Net Margin % too high?
Healthcare Services Group's current Net Margin % of 5.63% is 68% above median its 10-year median of 3.36. Over the past 10 years, this metric has ranged from a low of 2.03 to a high of 5.61. The Healthcare Providers & Services industry median Net Margin % is 2.89. Healthcare Services Group's value of 5.63% is 95.1% above this industry median. Based on the distribution chart, Healthcare Services Group ranks #301 out of 668 companies in the Healthcare Providers & Services industry, which is above the industry midpoint. Overall, Healthcare Services Group has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Healthcare Services Group's Net Margin % compare to ARDT and AGL?
According to the Healthcare Providers & Services industry distribution chart, Healthcare Services Group ranks #301 out of 668 companies for Net Margin %. This puts Healthcare Services Group in the upper half of its industry. The industry median Net Margin % is 2.89. Healthcare Services Group's value of 5.63% is 95.1% above this benchmark. Historically, Healthcare Services Group's own Net Margin % has ranged from 2.03 to 5.61 over the past decade. While the company's 10-year median is 3.36 vs. the industry median of 2.89, Healthcare Services Group 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 Healthcare Providers & Services company?
The median Net Margin % among Healthcare Providers & Services companies is 2.89, based on 668 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. Healthcare Services Group's current Net Margin % of 5.63% is 95.1% 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 Healthcare Services Group and its competitors. For the Healthcare Providers & Services industry, the median Net Margin % is 2.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Healthcare Services Group's current Net Margin % is 5.63%, which is 68% above median its own 10-year median of 3.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Healthcare Services Group stock overvalued right now?
Based on GuruFocus' analysis, Healthcare Services Group (HCSG) is currently considered Significantly Overvalued. The stock's GF Value™ is $14.08, compared to a current price of $23.60 — trading 67.6% above its estimated fair value. The current Net Margin % is 5.63%, which is 68% above median its 10-year median of 3.36 and 95.1% above the Healthcare Providers & Services industry median of 2.89. Healthcare Services Group's overall GF Score™ is 73/100 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 Healthcare Services Group (HCSG), the current Net Margin % is 5.63% 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 Healthcare Services Group (HCSG) Overvalued in 2026?
Based on GuruFocus' analysis, Healthcare Services Group stock appears to be overvalued.
The current stock price of $23.60 is trading 67.6% above its estimated GF Value™ of $14.08.
GuruFocus considers Healthcare Services Group to be Significantly Overvalued.
Key valuation signals for HCSG:
Net Margin %: 5.63% (68% above median its 10-year median of 3.36)
GF Value™: $14.08 vs. price of $23.60 (67.6% above fair value)
Industry Position: 95.1% above the Healthcare Providers & Services median (#301 of 668)
No single metric tells the full story. See the HCSG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Healthcare Services Group Inc is a provider of housekeeping and facility management services to the healthcare industry. The company manages and evaluates its operations in two reportable segments: Environmental Services segment includes housekeeping, management of clients' housekeeping departments, cleaning, disinfecting and sanitizing, laundry, bed linen, and uniform services, linen and other services; and Dietary Segment includes dietary department services, food purchasing, meal preparation, and providing dietitian consulting services. Its clients are nursing homes, retirement complexes, rehabilitation centers, and hospitals in the United States of America. The Environmental Services segment derives maximum revenue.
73GF Score
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