NextgenNGO:3842 68 Net Margin % is 5.76% as of Mar. 2026, which is 73% above its 10-year median of 3.32. GuruFocus rates NGO:3842 with a GF Score™ of 68/100 and a GF Value™ of 円1,151.48. The stock has 1 warning sign investors should review. Among 368 Telecommunication Services companies, Nextgen ranks better than 55.16% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Nextgen's Net Income for the
six
months ended in Mar. 2026 was 円136 Mil. Nextgen's Revenue for the
six
months ended in Mar. 2026 was 円2,363 Mil. Therefore, Nextgen's net margin for the quarter that ended in Mar. 2026 was 5.76%.
The historical rank and industry rank for Nextgen's Net Margin % or its related term are showing as below:
NGO:3842'
s Net Margin % Range Over the Past 10 Years
Min: -14.88 Med: 3.32 Max: 6.87
Current: 6.87
NGO:3842's Net Margin % is ranked better than 55.16% of 368
companies
in the Telecommunication Services industry
Industry Median: 5.455
vs NGO:3842: 6.87
Nextgen (NGO:3842) 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.
Nextgen Net Margin % Related Terms
Nextgen Net Margin % Historical Data
* Premium members only.
The historical data trend for Nextgen'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 Telecom Services subindustry, Nextgen'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.
Nextgen Net Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Nextgen's Net Margin % distribution charts can be found below:
* The bar in red indicates where Nextgen'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.
Nextgen (NGO:3842) has a Net Margin % of 5.76% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Nextgen and its competitors. This is 73% above median its historical median of 3.32. According to the industry distribution chart, Nextgen ranks #165 out of 368 companies in the Telecommunication Services industry, placing it in the top 44.8%.
Is Nextgen's Net Margin % too high?
Nextgen's current Net Margin % of 5.76% is 73% above median its 10-year median of 3.32. The Telecommunication Services industry median Net Margin % is 5.46. Nextgen's value of 5.76% is 5.6% above this industry median. Based on the distribution chart, Nextgen ranks #165 out of 368 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Nextgen has a GF Score™ of 68/100, reflecting its overall financial health beyond just this single metric.
How does Nextgen's Net Margin % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Nextgen ranks #165 out of 368 companies for Net Margin %. This puts Nextgen in the upper half of its industry. The industry median Net Margin % is 5.46. Nextgen's value of 5.76% is 5.6% above this benchmark. While the company's 10-year median is 3.32 vs. the industry median of 5.46, Nextgen 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 Telecommunication Services company?
The median Net Margin % among Telecommunication Services companies is 5.46, based on 368 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. Nextgen's current Net Margin % of 5.76% is 5.6% 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 Nextgen and its competitors. For the Telecommunication Services industry, the median Net Margin % is 5.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nextgen's current Net Margin % is 5.76%, which is 73% above median its own 10-year median of 3.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nextgen stock overvalued right now?
Nextgen (NGO:3842) has a current Net Margin % of 5.76%. The stock's GF Value™ is 円1,151.48, compared to a current price of 円1,034.00 — trading 10.2% below its estimated fair value. The current Net Margin % is 5.76%, which is 73% above median its 10-year median of 3.32 and 5.6% above the Telecommunication Services industry median of 5.46. Nextgen's overall GF Score™ is 68/100 with 1 warning sign 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 Nextgen (NGO:3842), the current Net Margin % is 5.76% 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 Nextgen (NGO:3842) Overvalued in 2026?
Based on GuruFocus' analysis, Nextgen stock appears to be undervalued.
The current stock price of 円1,034.00 is trading 10.2% below its estimated GF Value™ of 円1,151.48.
Key valuation signals for NGO:3842:
Net Margin %: 5.76% (73% above median its 10-year median of 3.32)
GF Value™: 円1,151.48 vs. price of 円1,034.00 (10.2% below fair value)
Industry Position: 5.6% above the Telecommunication Services median (#165 of 368)
No single metric tells the full story. See the NGO:3842 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nextgen Inc is engaged in providing software & hardware solutions on Internet protocol telephone system for telecommunication carriers. It has three business segments: Communication system solution; Security solution; Cloud and smartphone solutions. Communication system solution provides carrier-grade SIP/VoIP systems to telecommunication carriers; security solution provides protection consultations.
68GF Score
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Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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