TextMagic AS (OTSE:MAGIC) Net Margin %: -27.53% (As of Dec. 2025)

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OTSE:MAGIC TextMagic AS OTSE:MAGIC
58 GF Score
Price €1.77
GF Value €3.78
Valuation Possible Value Trap
! 3 Warning Signs
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What is TextMagic AS Net Margin %?

TextMagic AS OTSE:MAGIC -0.56% 58 Net Margin % is -27.53% as of Dec. 2025. GuruFocus rates OTSE:MAGIC with a GF Score™ of 58/100 and a GF Value™ of €3.78 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 2,828 Software companies, TextMagic AS ranks worse than 74.29% on this metric.

Net margin is calculated as Net Income divided by its Revenue. TextMagic AS's Net Income for the six months ended in Dec. 2025 was €-1.86 Mil. TextMagic AS's Revenue for the six months ended in Dec. 2025 was €6.75 Mil. Therefore, TextMagic AS's net margin for the quarter that ended in Dec. 2025 was -27.53%.

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

OTSE:MAGIC' s Net Margin % Range Over the Past 10 Years
Min: -137.99   Med: -0.13   Max: 16.7
Current: -14.07


OTSE:MAGIC's Net Margin % is ranked worse than
74.29% of 2828 companies
in the Software industry
Industry Median: 2.575 vs OTSE:MAGIC: -14.07

TextMagic AS  (OTSE:MAGIC) 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.


TextMagic AS Net Margin % Related Terms


TextMagic AS Net Margin % Historical Data

* Premium members only.

The historical data trend for TextMagic AS'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.

TextMagic AS Net Margin % Chart

TextMagic AS Annual Data
Trend Dec21 Dec22 Dec23 Dec24 Dec25
Net Margin %
0.00 16.70 -137.99 14.13 -14.39

TextMagic AS Semi-Annual Data
Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Net Margin % Get a 7-Day Free Trial Premium Member Only -261.40 15.94 11.47 -1.31 -27.53

OTSE:MAGIC vs UBER, SHOP, CRM: Net Margin % Comparison

For the Software - Application subindustry, TextMagic AS'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.


TextMagic AS Net Margin % vs Software Industry

For the Software industry and Technology sector, TextMagic AS's Net Margin % distribution charts can be found below:

* The bar in red indicates where TextMagic AS's Net Margin % falls into.


OTSE:MAGIC
58GF Score
TextMagic AS OTSE:MAGIC
Net Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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TextMagic AS 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.

TextMagic AS's Net Margin for the fiscal year that ended in Dec. 2025 is calculated as

Net Margin=Net Income (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=-1.95/13.549
=-14.39 %

TextMagic AS's Net Margin for the quarter that ended in Dec. 2025 is calculated as

Net Margin=Net Income (Q: Dec. 2025 )/Revenue (Q: Dec. 2025 )
=-1.857/6.745
=-27.53 %

* 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 -27.53% mean?
TextMagic AS (OTSE:MAGIC) has a Net Margin % of -27.53% as of Dec. 2025. Net margin is the ratio of total net income to net sales. View historical data on TextMagic AS and its competitors. According to the industry distribution chart, TextMagic AS ranks #2101 out of 2828 companies in the Software industry, placing it in the top 74.3%.
Is TextMagic AS's Net Margin % too high?
TextMagic AS's current Net Margin % is -27.53%. Based on the distribution chart, TextMagic AS ranks #2101 out of 2828 companies in the Software industry, which is below the industry midpoint. Overall, TextMagic AS has a GF Score™ of 58/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does TextMagic AS's Net Margin % compare to UBER and SHOP?
According to the Software industry distribution chart, TextMagic AS ranks #2101 out of 2828 companies for Net Margin %. This places TextMagic AS in the lower half of its industry. The industry median Net Margin % is 2.58. 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 Software company?
The median Net Margin % among Software companies is 2.58, based on 2,828 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. 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 TextMagic AS and its competitors. For the Software industry, the median Net Margin % is 2.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TextMagic AS's current Net Margin % is -27.53%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TextMagic AS stock overvalued right now?
Based on GuruFocus' analysis, TextMagic AS (OTSE:MAGIC) is currently considered Possible Value Trap. The stock's GF Value™ is €3.78, compared to a current price of €1.77 — trading 53.2% below its estimated fair value. The current Net Margin % is -27.53%. TextMagic AS's overall GF Score™ is 58/100 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 TextMagic AS (OTSE:MAGIC), the current Net Margin % is -27.53% as of Dec. 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 TextMagic AS (OTSE:MAGIC) Overvalued in 2026?

Based on GuruFocus' analysis, TextMagic AS stock appears to be undervalued. The current stock price of €1.77 is trading 53.2% below its estimated GF Value™ of €3.78. GuruFocus considers TextMagic AS to be Possible Value Trap.

Key valuation signals for OTSE:MAGIC:

  • Net Margin %: -27.53%
  • GF Value™: €3.78 vs. price of €1.77 (53.2% below fair value)
  • GF Score™: 58/100 with 3 warning signs

No single metric tells the full story. See the OTSE:MAGIC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


TextMagic AS Business Description

Address A. H. Tammsaare 56, Tallinn, EST, 11316
TextMagic AS is a text messaging company that helps businesses engage with customers. The Group's activities include the management and development of software products. The company operates mainly in the U.S., the U.K., Canada, Australia, and other countries. TextMagic enables companies to transform customer experiences through its text messaging marketing software, which can be used to send notifications, alerts, reminders, confirmations, and SMS marketing campaigns anytime, anywhere. Its product and service lines include text messaging services, which generate maximum revenue, virtual mobile number services, other TextMagic platform services, and the Voog.com platform. The company derives the majority of its revenue from the United States.
58GF Score

Get the complete analysis for OTSE:MAGIC

Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€1.77
Price
€3.78
GF Value