HUSIPRHCL.PFD (HSBC USA) Net Margin %: 13.80% (As of Mar. 2016)


What is HSBC USA Net Margin %?

HSBC USA HUSIPRHCL.PFD Net Margin % is 13.80% as of Mar. 2016. The stock has 2 warning signs investors should review.

Net margin is calculated as Net Income divided by its Revenue. HSBC USA's Net Income for the three months ended in Mar. 2016 was $154.00 Mil. HSBC USA's Revenue for the three months ended in Mar. 2016 was $1,116.00 Mil. Therefore, HSBC USA's net margin for the quarter that ended in Mar. 2016 was 13.80%.

The historical rank and industry rank for HSBC USA's Net Margin % or its related term are showing as below:

HUSIPRHCL.PFD' s Net Margin % Range Over the Past 10 Years
Min: -47.73   Med: -5.26   Max: 32.63
Current: -8.67

HUSIPRHCL.PFD's Net Margin % is not ranked
in the Banks industry.
Industry Median: 26.97 vs HUSIPRHCL.PFD: -8.67

HSBC USA  (NYSE:HUSIPRHCL.PFD) 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.

HSBC USA Net Margin % Related Terms

HSBC USA Net Margin % Historical Data

* Premium members only.

The historical data trend for HSBC USA'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.

HSBC USA Net Margin % Chart

HSBC USA Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Net Margin %
Get a 7-Day Free Trial 21.65 -25.61 -8.67 9.05 7.97

HSBC USA Quarterly Data
Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16
Net Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 15.33 8.45 17.77 -13.97 13.80

HUSIPRHCL.PFD vs GHDS, LFGP, NTB: Net Margin % Comparison

For the Banks - Diversified subindustry, HSBC USA'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.

HSBC USA Net Margin % vs Banks Industry

For the Banks industry and Financial Services sector, HSBC USA's Net Margin % distribution charts can be found below:

* The bar in red indicates where HSBC USA's Net Margin % falls into.


HSBC USA Net Margin % Calculation

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

HSBC USA's Net Margin for the fiscal year that ended in Dec. 2015 is calculated as

Net Margin=Net Income (A: Dec. 2015 )/Revenue (A: Dec. 2015 )
=330/4142
=7.97 %

HSBC USA's Net Margin for the quarter that ended in Mar. 2016 is calculated as

Net Margin=Net Income (Q: Mar. 2016 )/Revenue (Q: Mar. 2016 )
=154/1116
=13.80 %

* 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.

Frequently Asked Questions Learn more about Net Margin % →
What does a Net Margin % of 13.80% mean?
HSBC USA (HUSIPRHCL.PFD) has a Net Margin % of 13.80% as of Mar. 2016. Net margin is the ratio of total net income to net sales. View historical data on HSBC USA and its competitors.
Is HSBC USA's Net Margin % too high?
HSBC USA's current Net Margin % is 13.80%. The Banks industry median Net Margin % is 26.97. HSBC USA's value of 13.80% is 48.8% below this industry median.
How does HSBC USA's Net Margin % compare to GHDS and LFGP?
HSBC USA's Net Margin % of 13.80% can be compared against companies in the Banks industry. The industry median Net Margin % is 26.97. HSBC USA's value of 13.80% is 48.8% below this benchmark. 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 Banks company?
The median Net Margin % among Banks companies is 26.97, based on 1,526 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. HSBC USA's current Net Margin % of 13.80% is 48.8% 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 HSBC USA and its competitors. For the Banks industry, the median Net Margin % is 26.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. HSBC USA's current Net Margin % is 13.80%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HSBC USA stock overvalued right now?
HSBC USA (HUSIPRHCL.PFD) has a current Net Margin % of 13.80%. The current Net Margin % is 13.80% and 48.8% below the Banks industry median of 26.97. 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 HSBC USA (HUSIPRHCL.PFD), the current Net Margin % is 13.80% as of Mar. 2016. 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.

HSBC USA Business Description

HSBC USA Inc is a national banking association. The Company through HSBC Bank USA offers commercial and consumer banking products and related financial services. Its customers include individuals, small businesses, institutions and governments.