Enghouse SystemsTSX:ENGH +3.31%60 Net Margin % is 14.25% as of Apr. 2026, which is 14% below its 10-year median of 16.51. GuruFocus rates TSX:ENGH with a GF Score™ of 60/100 and a GF Value™ of C$26.90 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 2,827 Software companies, Enghouse Systems ranks better than 84.37% on this metric.
The historical rank and industry rank for Enghouse Systems's Net Margin % or its related term are showing as below:
TSX:ENGH'
s Net Margin % Range Over the Past 10 Years
Min: 14.77 Med: 16.51 Max: 22.1
Current: 14.88
TSX:ENGH's Net Margin % is ranked better than 84.37% of 2827
companies
in the Software industry
Industry Median: 2.54
vs TSX:ENGH: 14.88
Enghouse Systems (TSX:ENGH) 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.
Enghouse Systems Net Margin % Related Terms
Enghouse Systems Net Margin % Historical Data
* Premium members only.
The historical data trend for Enghouse Systems'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.
TSX:ENGH vs CRM, SHOP, UBER: Net Margin % Comparison
For the Software - Application subindustry, Enghouse Systems'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.
Enghouse Systems Net Margin % vs Software Industry
For the Software industry and Technology sector, Enghouse Systems's Net Margin % distribution charts can be found below:
* The bar in red indicates where Enghouse Systems'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.
Enghouse Systems (TSX:ENGH) has a Net Margin % of 14.25% as of Apr. 2026. Net margin is the ratio of total net income to net sales. View historical data on Enghouse Systems and its competitors. This is 14% below median its historical median of 16.51. Over the past decade, Enghouse Systems' Net Margin % has ranged from 14.77 to 22.10. According to the industry distribution chart, Enghouse Systems ranks #442 out of 2827 companies in the Software industry, placing it in the top 15.6%.
Is Enghouse Systems' Net Margin % too high?
Enghouse Systems' current Net Margin % of 14.25% is 14% below median its 10-year median of 16.51. Over the past 10 years, this metric has ranged from a low of 14.77 to a high of 22.10. The Software industry median Net Margin % is 2.54. Enghouse Systems' value of 14.25% is 461% above this industry median. Based on the distribution chart, Enghouse Systems ranks #442 out of 2827 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Enghouse Systems has a GF Score™ of 60/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Enghouse Systems' Net Margin % compare to CRM and SHOP?
According to the Software industry distribution chart, Enghouse Systems ranks #442 out of 2827 companies for Net Margin %. This places Enghouse Systems in the top 16% of its industry — outperforming the majority of peers. The industry median Net Margin % is 2.54. Enghouse Systems' value of 14.25% is 461% above this benchmark. Historically, Enghouse Systems' own Net Margin % has ranged from 14.77 to 22.10 over the past decade. While the company's 10-year median is 16.51 vs. the industry median of 2.54, Enghouse Systems 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 Software company?
The median Net Margin % among Software companies is 2.54, based on 2,827 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. Enghouse Systems's current Net Margin % of 14.25% is 461% 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 Enghouse Systems and its competitors. For the Software industry, the median Net Margin % is 2.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Enghouse Systems's current Net Margin % is 14.25%, which is 14% below median its own 10-year median of 16.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Enghouse Systems stock overvalued right now?
Based on GuruFocus' analysis, Enghouse Systems (TSX:ENGH) is currently considered Significantly Undervalued. The stock's GF Value™ is C$26.90, compared to a current price of C$15.94 — trading 40.7% below its estimated fair value. The current Net Margin % is 14.25%, which is 14% below median its 10-year median of 16.51 and 461% above the Software industry median of 2.54. Enghouse Systems' overall GF Score™ is 60/100 with 4 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 Enghouse Systems (TSX:ENGH), the current Net Margin % is 14.25% as of Apr. 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 Enghouse Systems (TSX:ENGH) Overvalued in 2026?
Based on GuruFocus' analysis, Enghouse Systems stock appears to be undervalued.
The current stock price of C$15.94 is trading 40.7% below its estimated GF Value™ of C$26.90.
GuruFocus considers Enghouse Systems to be Significantly Undervalued.
Key valuation signals for TSX:ENGH:
Net Margin %: 14.25% (14% below median its 10-year median of 16.51)
GF Value™: C$26.90 vs. price of C$15.94 (40.7% below fair value)
Industry Position: 461% above the Software median (#442 of 2827)
No single metric tells the full story. See the TSX:ENGH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Enghouse Systems Ltd is a Canada-based provider of software and services to a variety of end markets. The firm's operations are organized in two segments, namely, the Interactive Management Group (IMG) and the Asset Management Group (AMG). It earns the majority of its revenue from Interactive Management Group. IMG specializes in contact center and video software and services designed to enhance customer service by increasing efficiency and managing customer communications across multiple types of interactions, including voice, email, social channels, web chats, text, and videos. The firm has operations in Canada, the United States, the United Kingdom, Europe, excluding Scandinavia, Germany, Asia-Pacific, and other regions, with maximum revenue from the USA.
60GF Score
Get the complete analysis for TSX:ENGH
Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
TSX:ENGH has been successfully added to your 
