LSI IndustriesLYTS +3.35%87 Net Margin % is 1.39% as of Mar. 2026, which is 54% below its 10-year median of 3.04. GuruFocus rates LYTS with a GF Score™ of 87/100 and a GF Value™ of $19.58 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 2,472 Hardware companies, LSI Industries ranks better than 56.59% on this metric.
Net margin is calculated as Net Income divided by its Revenue. LSI Industries's Net Income for the
three
months ended in Mar. 2026 was $2.1 Mil. LSI Industries's Revenue for the
three
months ended in Mar. 2026 was $150.5 Mil. Therefore, LSI Industries's net margin for the quarter that ended in Mar. 2026 was 1.39%.
The historical rank and industry rank for LSI Industries's Net Margin % or its related term are showing as below:
LYTS'
s Net Margin % Range Over the Past 10 Years
Min: -5.71 Med: 3.04 Max: 5.32
Current: 3.92
LYTS's Net Margin % is ranked better than 56.59% of 2472
companies
in the Hardware industry
Industry Median: 2.7
vs LYTS: 3.92
LSI Industries (NAS:LYTS) 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.
LSI Industries Net Margin % Related Terms
LSI Industries Net Margin % Historical Data
* Premium members only.
The historical data trend for LSI Industries'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.
For the Electronic Components subindustry, LSI Industries'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.
LSI Industries Net Margin % vs Hardware Industry
For the Hardware industry and Technology sector, LSI Industries's Net Margin % distribution charts can be found below:
* The bar in red indicates where LSI Industries'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.
LSI Industries (LYTS) has a Net Margin % of 1.39% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on LSI Industries and its competitors. This is 54% below median its historical median of 3.04. According to the industry distribution chart, LSI Industries ranks #1073 out of 2472 companies in the Hardware industry, placing it in the top 43.4%.
Is LSI Industries' Net Margin % too high?
LSI Industries' current Net Margin % of 1.39% is 54% below median its 10-year median of 3.04. The Hardware industry median Net Margin % is 2.70. LSI Industries' value of 1.39% is 48.5% below this industry median. Based on the distribution chart, LSI Industries ranks #1073 out of 2472 companies in the Hardware industry, which is above the industry midpoint. Overall, LSI Industries has a GF Score™ of 87/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does LSI Industries' Net Margin % compare to DAKT and KOPN?
According to the Hardware industry distribution chart, LSI Industries ranks #1073 out of 2472 companies for Net Margin %. This puts LSI Industries in the upper half of its industry. The industry median Net Margin % is 2.70. LSI Industries' value of 1.39% is 48.5% below this benchmark. While the company's 10-year median is 3.04 vs. the industry median of 2.70, LSI Industries 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 Hardware company?
The median Net Margin % among Hardware companies is 2.70, based on 2,472 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. LSI Industries's current Net Margin % of 1.39% is 48.5% 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 LSI Industries and its competitors. For the Hardware industry, the median Net Margin % is 2.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LSI Industries's current Net Margin % is 1.39%, which is 54% below median its own 10-year median of 3.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LSI Industries stock overvalued right now?
Based on GuruFocus' analysis, LSI Industries (LYTS) is currently considered Significantly Overvalued. The stock's GF Value™ is $19.58, compared to a current price of $26.87 — trading 37.2% above its estimated fair value. The current Net Margin % is 1.39%, which is 54% below median its 10-year median of 3.04 and 48.5% below the Hardware industry median of 2.70. LSI Industries' overall GF Score™ is 87/100 with 8 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 LSI Industries (LYTS), the current Net Margin % is 1.39% 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 LSI Industries (LYTS) Overvalued in 2026?
Based on GuruFocus' analysis, LSI Industries stock appears to be overvalued.
The current stock price of $26.87 is trading 37.2% above its estimated GF Value™ of $19.58.
GuruFocus considers LSI Industries to be Significantly Overvalued.
Key valuation signals for LYTS:
Net Margin %: 1.39% (54% below median its 10-year median of 3.04)
GF Value™: $19.58 vs. price of $26.87 (37.2% above fair value)
Industry Position: 48.5% below the Hardware median (#1073 of 2472)
No single metric tells the full story. See the LYTS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LSI Industries Inc provides corporate visual image solutions to the petroleum and convenience store industry. The company's operating segments include Lighting and Display Solutions. It generates maximum revenue from the Display solutions segment. Lighting Segment manufactures and markets outdoor and indoor lighting and lighting controls for the commercial, industrial, and multi-site retail markets, including the petroleum/convenience store, quick-service, and automotive markets. The Display Solutions Segment manufactures, sells, and installs exterior and interior visual image and display elements, including printed graphics, structural graphics, digital signage, menu board systems, display fixtures, refrigerated displays, and custom display elements.
87GF Score
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