Swisscom AGSTU:SWJA +0.73%76 Net Margin % is 9.21% as of Mar. 2026, which is 34% below its 10-year median of 13.89. GuruFocus rates STU:SWJA with a GF Score™ of 76/100 and a GF Value™ of €73.83 (Fairly Valued). The stock has 6 warning signs investors should review. Among 368 Telecommunication Services companies, Swisscom AG ranks better than 61.68% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Swisscom AG's Net Income for the
three
months ended in Mar. 2026 was €365 Mil. Swisscom AG's Revenue for the
three
months ended in Mar. 2026 was €3,962 Mil. Therefore, Swisscom AG's net margin for the quarter that ended in Mar. 2026 was 9.21%.
The historical rank and industry rank for Swisscom AG's Net Margin % or its related term are showing as below:
STU:SWJA'
s Net Margin % Range Over the Past 10 Years
Min: 8.3 Med: 13.89 Max: 16.38
Current: 8.3
STU:SWJA's Net Margin % is ranked better than 61.68% of 368
companies
in the Telecommunication Services industry
Industry Median: 5.455
vs STU:SWJA: 8.30
Swisscom AG (STU:SWJA) 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.
Swisscom AG Net Margin % Related Terms
Swisscom AG Net Margin % Historical Data
* Premium members only.
The historical data trend for Swisscom 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 Telecom Services subindustry, Swisscom 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.
Swisscom AG Net Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Swisscom AG's Net Margin % distribution charts can be found below:
* The bar in red indicates where Swisscom 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.
Swisscom AG (STU:SWJA) has a Net Margin % of 9.21% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Swisscom AG and its competitors. This is 34% below median its historical median of 13.89. Over the past decade, Swisscom AG's Net Margin % has ranged from 8.30 to 16.38. According to the industry distribution chart, Swisscom AG ranks #141 out of 368 companies in the Telecommunication Services industry, placing it in the top 38.3%.
Is Swisscom AG's Net Margin % too high?
Swisscom AG's current Net Margin % of 9.21% is 34% below median its 10-year median of 13.89. Over the past 10 years, this metric has ranged from a low of 8.30 to a high of 16.38. The Telecommunication Services industry median Net Margin % is 5.46. Swisscom AG's value of 9.21% is 68.8% above this industry median. Based on the distribution chart, Swisscom AG ranks #141 out of 368 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Swisscom AG has a GF Score™ of 76/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Swisscom AG's Net Margin % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Swisscom AG ranks #141 out of 368 companies for Net Margin %. This puts Swisscom AG in the upper half of its industry. The industry median Net Margin % is 5.46. Swisscom AG's value of 9.21% is 68.8% above this benchmark. Historically, Swisscom AG's own Net Margin % has ranged from 8.30 to 16.38 over the past decade. While the company's 10-year median is 13.89 vs. the industry median of 5.46, Swisscom 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 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. Swisscom AG's current Net Margin % of 9.21% is 68.8% 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 Swisscom AG 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. Swisscom AG's current Net Margin % is 9.21%, which is 34% below median its own 10-year median of 13.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Swisscom AG stock overvalued right now?
Based on GuruFocus' analysis, Swisscom AG (STU:SWJA) is currently considered Fairly Valued. The stock's GF Value™ is €73.83, compared to a current price of €69.00 — trading 6.5% below its estimated fair value. The current Net Margin % is 9.21%, which is 34% below median its 10-year median of 13.89 and 68.8% above the Telecommunication Services industry median of 5.46. Swisscom AG's overall GF Score™ is 76/100 with 6 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 Swisscom AG (STU:SWJA), the current Net Margin % is 9.21% 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 Swisscom AG (STU:SWJA) Overvalued in 2026?
Based on GuruFocus' analysis, Swisscom AG stock appears to be undervalued.
The current stock price of €69.00 is trading 6.5% below its estimated GF Value™ of €73.83.
GuruFocus considers Swisscom AG to be Fairly Valued.
Key valuation signals for STU:SWJA:
Net Margin %: 9.21% (34% below median its 10-year median of 13.89)
GF Value™: €73.83 vs. price of €69.00 (6.5% below fair value)
Industry Position: 68.8% above the Telecommunication Services median (#141 of 368)
No single metric tells the full story. See the STU:SWJA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Swisscom is the incumbent telecom operator in Switzerland, with a very high market share in mobile and fixed-line markets. It charges high prices compared with its competitors and other European peers due to the historical stability of the Swiss telecom market and a favorable regulatory environment. In 2024, Swisscom acquired Vodafone Italia in a deal worth EUR 8 billion.
76GF Score
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