SOMC (Southern Michigan Bancorp) Net Margin %: 23.78% (As of Dec. 2018)


What is Southern Michigan Bancorp Net Margin %?

Southern Michigan Bancorp SOMC Net Margin % is 23.78% as of Dec. 2018.

Net margin is calculated as Net Income divided by its Revenue. Southern Michigan Bancorp's Net Income for the three months ended in Dec. 2018 was $1.82 Mil. Southern Michigan Bancorp's Revenue for the three months ended in Dec. 2018 was $7.67 Mil. Therefore, Southern Michigan Bancorp's net margin for the quarter that ended in Dec. 2018 was 23.78%.

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


SOMC's Net Margin % is not ranked *
in the Banks industry.
Industry Median: 26.95
* Ranked among companies with meaningful Net Margin % only.

Southern Michigan Bancorp  (OTCPK:SOMC) 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.

Southern Michigan Bancorp Net Margin % Related Terms

Southern Michigan Bancorp Net Margin % Historical Data

* Premium members only.

The historical data trend for Southern Michigan Bancorp'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.

Southern Michigan Bancorp Net Margin % Chart

Southern Michigan Bancorp Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18
Net Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 19.43 22.29 23.10 19.02 26.03

Southern Michigan Bancorp Quarterly Data
Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18
Net Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 10.42 23.94 27.96 28.20 23.78

SOMC vs UBNC, EMCF, AMRB: Net Margin % Comparison

For the Banks - Regional subindustry, Southern Michigan Bancorp'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.

Southern Michigan Bancorp Net Margin % vs Banks Industry

For the Banks industry and Financial Services sector, Southern Michigan Bancorp's Net Margin % distribution charts can be found below:

* The bar in red indicates where Southern Michigan Bancorp's Net Margin % falls into.


Southern Michigan Bancorp 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.

Southern Michigan Bancorp's Net Margin for the fiscal year that ended in Dec. 2018 is calculated as

Net Margin=Net Income (A: Dec. 2018 )/Revenue (A: Dec. 2018 )
=8.125/31.217
=26.03 %

Southern Michigan Bancorp's Net Margin for the quarter that ended in Dec. 2018 is calculated as

Net Margin=Net Income (Q: Dec. 2018 )/Revenue (Q: Dec. 2018 )
=1.824/7.669
=23.78 %

* 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 23.78% mean?
Southern Michigan Bancorp (SOMC) has a Net Margin % of 23.78% as of Dec. 2018. Net margin is the ratio of total net income to net sales. View historical data on Southern Michigan Bancorp and its competitors.
Is Southern Michigan Bancorp's Net Margin % too high?
Southern Michigan Bancorp's current Net Margin % is 23.78%. The Banks industry median Net Margin % is 26.95. Southern Michigan Bancorp's value of 23.78% is 11.8% below this industry median.
How does Southern Michigan Bancorp's Net Margin % compare to UBNC and EMCF?
Southern Michigan Bancorp's Net Margin % of 23.78% can be compared against companies in the Banks industry. The industry median Net Margin % is 26.95. Southern Michigan Bancorp's value of 23.78% is 11.8% below this benchmark. 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 Banks company?
The median Net Margin % among Banks companies is 26.95, based on 1,527 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. Southern Michigan Bancorp's current Net Margin % of 23.78% is 11.8% 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 Southern Michigan Bancorp and its competitors. For the Banks industry, the median Net Margin % is 26.95 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Southern Michigan Bancorp's current Net Margin % is 23.78%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Southern Michigan Bancorp stock overvalued right now?
Southern Michigan Bancorp (SOMC) has a current Net Margin % of 23.78%. The current Net Margin % is 23.78% and 11.8% below the Banks industry median of 26.95. 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 Southern Michigan Bancorp (SOMC), the current Net Margin % is 23.78% as of Dec. 2018. 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.

Southern Michigan Bancorp Business Description

Address 51 West Pearl Street, Coldwater, MI, USA, 49036
Southern Michigan Bancorp Inc is a United States-based financial holding company. The majority of its operations are carried out by its banking subsidiary, which offers individuals, businesses, institutions, and government agencies a full range of commercial banking products and services. These products and services include time, savings, and demand deposits; safe deposit box services; automated teller machine services; loans, including both commercial and consumer; investment management; trustee services, etc. The Group mainly caters to the communities located in Michigan through its banking and loan production offices. It has one reportable operating segment: commercial banking.