Mercia Asset ManagementLSE:MERC 54 Net Margin % is 9.76% as of Sep. 2025, which is 27% below its 10-year median of 13.31. GuruFocus rates LSE:MERC with a GF Score™ of 54/100 and a GF Value™ of £0.36 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,576 Asset Management companies, Mercia Asset Management ranks worse than 77.54% on this metric.
The historical rank and industry rank for Mercia Asset Management's Net Margin % or its related term are showing as below:
LSE:MERC'
s Net Margin % Range Over the Past 10 Years
Min: -136.93 Med: 13.31 Max: 147.19
Current: 9.74
LSE:MERC's Net Margin % is ranked worse than 77.54% of 1576
companies
in the Asset Management industry
Industry Median: 84.895
vs LSE:MERC: 9.74
Mercia Asset Management (LSE:MERC) 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.
Mercia Asset Management Net Margin % Related Terms
Mercia Asset Management 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 Asset Management subindustry, Mercia Asset Management'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.
Mercia Asset Management Net Margin % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Mercia Asset Management's Net Margin % distribution charts can be found below:
* The bar in red indicates where Mercia Asset Management'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.
Mercia Asset Management (LSE:MERC) has a Net Margin % of 9.76% as of Sep. 2025. Net margin is the ratio of total net income to net sales. View historical data on Mercia Asset Management and its competitors. This is 27% below median its historical median of 13.31. According to the industry distribution chart, Mercia Asset Management ranks #1222 out of 1576 companies in the Asset Management industry, placing it in the top 77.5%.
Is Mercia Asset Management's Net Margin % too high?
Mercia Asset Management's current Net Margin % of 9.76% is 27% below median its 10-year median of 13.31. The Asset Management industry median Net Margin % is 84.90. Mercia Asset Management's value of 9.76% is 88.5% below this industry median. Based on the distribution chart, Mercia Asset Management ranks #1222 out of 1576 companies in the Asset Management industry, which is in the bottom quartile relative to peers. Overall, Mercia Asset Management has a GF Score™ of 54/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Mercia Asset Management's Net Margin % compare to BLK and BX?
According to the Asset Management industry distribution chart, Mercia Asset Management ranks #1222 out of 1576 companies for Net Margin %. This places Mercia Asset Management in the lower half of its industry. The industry median Net Margin % is 84.90. Mercia Asset Management's value of 9.76% is 88.5% below this benchmark. While the company's 10-year median is 13.31 vs. the industry median of 84.90, Mercia Asset Management 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 an Asset Management company?
The median Net Margin % among Asset Management companies is 84.90, based on 1,576 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. Mercia Asset Management's current Net Margin % of 9.76% is 88.5% 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 Mercia Asset Management and its competitors. For the Asset Management industry, the median Net Margin % is 84.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mercia Asset Management's current Net Margin % is 9.76%, which is 27% below median its own 10-year median of 13.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mercia Asset Management stock overvalued right now?
Based on GuruFocus' analysis, Mercia Asset Management (LSE:MERC) is currently considered Modestly Undervalued. The stock's GF Value™ is £0.36, compared to a current price of £0.29 — trading 20.1% below its estimated fair value. The current Net Margin % is 9.76%, which is 27% below median its 10-year median of 13.31 and 88.5% below the Asset Management industry median of 84.90. Mercia Asset Management's overall GF Score™ is 54/100 with 3 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 Mercia Asset Management (LSE:MERC), the current Net Margin % is 9.76% as of Sep. 2025. 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 Mercia Asset Management (LSE:MERC) Overvalued in 2026?
Based on GuruFocus' analysis, Mercia Asset Management stock appears to be undervalued.
The current stock price of £0.29 is trading 20.1% below its estimated GF Value™ of £0.36.
GuruFocus considers Mercia Asset Management to be Modestly Undervalued.
Key valuation signals for LSE:MERC:
Net Margin %: 9.76% (27% below median its 10-year median of 13.31)
GF Value™: £0.36 vs. price of £0.29 (20.1% below fair value)
Industry Position: 88.5% below the Asset Management median (#1222 of 1576)
No single metric tells the full story. See the LSE:MERC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mercia Asset Management PLC is a specialist asset manager focusing on supporting regional SMEs. The company provides capital across its four asset classes proprietary balance sheet capital, venture capital, private equity, and debt. The company initially nurtures businesses via its third-party funds under management and then, over time, provides further funding to the companies by deploying direct investment follow-on capital from its balance sheet. It has more than eight offices in the UK region, approx. 20 university partnerships and extensive personal networks, providing it with access to high-quality deal flow.
54GF Score
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