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SGS AGSGSOF +0.71%82 Net Margin % is 10.05% as of Dec. 2025, which is 8% above its 10-year median of 9.32. GuruFocus rates SGSOF with a GF Score™ of 82/100 and a GF Value™ of $108.40 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,071 Business Services companies, SGS AG ranks better than 74.79% on this metric.
Net margin is calculated as Net Income divided by its Revenue. SGS AG's Net Income for the
six
months ended in Dec. 2025 was $444 Mil. SGS AG's Revenue for the
six
months ended in Dec. 2025 was $4,421 Mil. Therefore, SGS AG's net margin for the quarter that ended in Dec. 2025 was 10.05%.
The historical rank and industry rank for SGS AG's Net Margin % or its related term are showing as below:
SGSOF'
s Net Margin % Range Over the Past 10 Years
Min: 8.35 Med: 9.32 Max: 10
Current: 9.62
SGSOF's Net Margin % is ranked better than 74.79% of 1071
companies
in the Business Services industry
Industry Median: 3.82
vs SGSOF: 9.62
SGS AG (OTCPK:SGSOF) 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.
SGS AG Net Margin % Related Terms
SGS AG Net Margin % Historical Data
* Premium members only.
The historical data trend for SGS AG'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 Consulting Services subindustry, SGS AG'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.
SGS AG Net Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, SGS AG's Net Margin % distribution charts can be found below:
* The bar in red indicates where SGS AG'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.
SGS AG (SGSOF) has a Net Margin % of 10.05% as of Dec. 2025. Net margin is the ratio of total net income to net sales. View historical data on SGS AG and its competitors. This is near median its historical median of 9.32. Over the past decade, SGS AG's Net Margin % has ranged from 8.35 to 10.00. According to the industry distribution chart, SGS AG ranks #270 out of 1071 companies in the Business Services industry, placing it in the top 25.2%.
Is SGS AG's Net Margin % too high?
SGS AG's current Net Margin % of 10.05% is near median its 10-year median of 9.32. Over the past 10 years, this metric has ranged from a low of 8.35 to a high of 10.00. The Business Services industry median Net Margin % is 3.82. SGS AG's value of 10.05% is 163.1% above this industry median. Based on the distribution chart, SGS AG ranks #270 out of 1071 companies in the Business Services industry, which is above the industry midpoint. Overall, SGS AG has a GF Score™ of 82/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does SGS AG's Net Margin % compare to VRSK and EFX?
According to the Business Services industry distribution chart, SGS AG ranks #270 out of 1071 companies for Net Margin %. This puts SGS AG in the upper half of its industry. The industry median Net Margin % is 3.82. SGS AG's value of 10.05% is 163.1% above this benchmark. Historically, SGS AG's own Net Margin % has ranged from 8.35 to 10.00 over the past decade. While the company's 10-year median is 9.32 vs. the industry median of 3.82, SGS AG 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 Business Services company?
The median Net Margin % among Business Services companies is 3.82, based on 1,071 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. SGS AG's current Net Margin % of 10.05% is 163.1% 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 SGS AG and its competitors. For the Business Services industry, the median Net Margin % is 3.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SGS AG's current Net Margin % is 10.05%, which is near median its own 10-year median of 9.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SGS AG stock overvalued right now?
Based on GuruFocus' analysis, SGS AG (SGSOF) is currently considered Fairly Valued. The stock's GF Value™ is $108.40, compared to a current price of $117.63 — trading 8.5% above its estimated fair value. The current Net Margin % is 10.05%, which is near median its 10-year median of 9.32 and 163.1% above the Business Services industry median of 3.82. SGS AG's overall GF Score™ is 82/100 with 7 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 SGS AG (SGSOF), the current Net Margin % is 10.05% 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 SGS AG (SGSOF) Overvalued in 2026?
Based on GuruFocus' analysis, SGS AG stock appears to be overvalued.
The current stock price of $117.63 is trading 8.5% above its estimated GF Value™ of $108.40.
GuruFocus considers SGS AG to be Fairly Valued.
Key valuation signals for SGSOF:
Net Margin %: 10.05% (near median its 10-year median of 9.32)
GF Value™: $108.40 vs. price of $117.63 (8.5% above fair value)
Industry Position: 163.1% above the Business Services median (#270 of 1071)
No single metric tells the full story. See the SGSOF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Switzerland-listed SGS is the largest and one of the oldest companies in the testing, inspection, and certification industry. The company's primary activities involve testing products and materials, inspecting sites/industrial equipment, and certifying products and systems to ensure global/company standards. SGS is one of only three TIC companies operating globally across agriculture, food, life sciences, and transportation services. SGS was first listed in 1981 and employs almost 100,000 people worldwide.
82GF Score
Get the complete analysis for SGSOF
Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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