ThalesTHLLY -1.96%90 Net Margin % is 8.51% as of Dec. 2025, which is 36% above its 10-year median of 6.28. GuruFocus rates THLLY with a GF Score™ of 90/100 and a GF Value™ of $42.40 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 347 Aerospace & Defense companies, Thales ranks better than 62.54% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Thales's Net Income for the
six
months ended in Dec. 2025 was $1,184 Mil. Thales's Revenue for the
six
months ended in Dec. 2025 was $13,901 Mil. Therefore, Thales's net margin for the quarter that ended in Dec. 2025 was 8.51%.
The historical rank and industry rank for Thales's Net Margin % or its related term are showing as below:
THLLY'
s Net Margin % Range Over the Past 10 Years
Min: 3.14 Med: 6.28 Max: 7.56
Current: 7.56
THLLY's Net Margin % is ranked better than 62.54% of 347
companies
in the Aerospace & Defense industry
Industry Median: 4.9
vs THLLY: 7.56
Thales (OTCPK:THLLY) 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.
Thales Net Margin % Related Terms
Thales Net Margin % Historical Data
* Premium members only.
The historical data trend for Thales'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 Aerospace & Defense subindustry, Thales'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.
Thales Net Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Thales's Net Margin % distribution charts can be found below:
* The bar in red indicates where Thales'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.
Thales (THLLY) has a Net Margin % of 8.51% as of Dec. 2025. Net margin is the ratio of total net income to net sales. View historical data on Thales and its competitors. This is 36% above median its historical median of 6.28. Over the past decade, Thales' Net Margin % has ranged from 3.14 to 7.56. According to the industry distribution chart, Thales ranks #130 out of 347 companies in the Aerospace & Defense industry, placing it in the top 37.5%.
Is Thales' Net Margin % too high?
Thales' current Net Margin % of 8.51% is 36% above median its 10-year median of 6.28. Over the past 10 years, this metric has ranged from a low of 3.14 to a high of 7.56. The Aerospace & Defense industry median Net Margin % is 4.90. Thales' value of 8.51% is 73.7% above this industry median. Based on the distribution chart, Thales ranks #130 out of 347 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Thales has a GF Score™ of 90/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Thales' Net Margin % compare to GE and RTX?
According to the Aerospace & Defense industry distribution chart, Thales ranks #130 out of 347 companies for Net Margin %. This puts Thales in the upper half of its industry. The industry median Net Margin % is 4.90. Thales' value of 8.51% is 73.7% above this benchmark. Historically, Thales' own Net Margin % has ranged from 3.14 to 7.56 over the past decade. While the company's 10-year median is 6.28 vs. the industry median of 4.90, Thales 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 an Aerospace & Defense company?
The median Net Margin % among Aerospace & Defense companies is 4.90, based on 347 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. Thales's current Net Margin % of 8.51% is 73.7% 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 Thales and its competitors. For the Aerospace & Defense industry, the median Net Margin % is 4.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Thales's current Net Margin % is 8.51%, which is 36% above median its own 10-year median of 6.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Thales stock overvalued right now?
Based on GuruFocus' analysis, Thales (THLLY) is currently considered Modestly Overvalued. The stock's GF Value™ is $42.40, compared to a current price of $50.92 — trading 20.1% above its estimated fair value. The current Net Margin % is 8.51%, which is 36% above median its 10-year median of 6.28 and 73.7% above the Aerospace & Defense industry median of 4.90. Thales' overall GF Score™ is 90/100 with 2 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 Thales (THLLY), the current Net Margin % is 8.51% 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 Thales (THLLY) Overvalued in 2026?
Based on GuruFocus' analysis, Thales stock appears to be overvalued.
The current stock price of $50.92 is trading 20.1% above its estimated GF Value™ of $42.40.
GuruFocus considers Thales to be Modestly Overvalued.
Key valuation signals for THLLY:
Net Margin %: 8.51% (36% above median its 10-year median of 6.28)
GF Value™: $42.40 vs. price of $50.92 (20.1% above fair value)
Industry Position: 73.7% above the Aerospace & Defense median (#130 of 347)
No single metric tells the full story. See the THLLY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Thales is a French aerospace and defense industrial and one of Europe's largest defense contractors. The company has three segments: defense and security provides sensors, mission systems, communications, and control systems to European and export defense customers; aerospace sells avionics and satellites to the civil, defense, and governmental markets; and digital identity and security provides biometric, data, and identity security solutions, payments services, and the manufacturing of SIM cards.
90GF 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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