CGNT (Cognyte Software) Operating Margin %: 4.18% (As of Apr. 2026) — 49% Above Median


CGNT Cognyte Software Ltd CGNT
72 GF Score
Price $7.98
GF Value $9.42
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Cognyte Software Operating Margin %?

Cognyte Software CGNT -2.27% 72 Operating Margin % is 4.18% as of Apr. 2026, which is 49% above its 10-year median of 2.81. GuruFocus rates CGNT with a GF Score™ of 72/100 and a GF Value™ of $9.42 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 2,818 Software companies, Cognyte Software ranks worse than 50.32% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Cognyte Software's Operating Income for the three months ended in Apr. 2026 was $4.4 Mil. Cognyte Software's Revenue for the three months ended in Apr. 2026 was $105.5 Mil. Therefore, Cognyte Software's Operating Margin % for the quarter that ended in Apr. 2026 was 4.18%.

The historical rank and industry rank for Cognyte Software's Operating Margin % or its related term are showing as below:

CGNT' s Operating Margin % Range Over the Past 10 Years
Min: -33.11   Med: 2.81   Max: 5.98
Current: 3.78


CGNT's Operating Margin % is ranked worse than
50.32% of 2818 companies
in the Software industry
Industry Median: 3.875 vs CGNT: 3.78

Cognyte Software's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Cognyte Software's Operating Income for the three months ended in Apr. 2026 was $4.4 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Apr. 2026 was $15.5 Mil.


Cognyte Software  (NAS:CGNT) Operating Margin % Explanation

Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.


Be Aware

Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia’s Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Cognyte Software Operating Margin % Related Terms


Cognyte Software Operating Margin % Historical Data

* Premium members only.

The historical data trend for Cognyte Software's Operating 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.

Cognyte Software Operating Margin % Chart

Cognyte Software Annual Data
Trend Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25 Jan26
Operating Margin %
Get a 7-Day Free Trial 2.31 -33.11 -5.76 -1.46 3.31

Cognyte Software Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
Operating 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 2.25 2.82 3.18 4.86 4.18

CGNT vs SABR, HQ, CCSI: Operating Margin % Comparison

For the Software - Infrastructure subindustry, Cognyte Software's Operating Margin %, along with its competitors' market caps and Operating 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.


Cognyte Software Operating Margin % vs Software Industry

For the Software industry and Technology sector, Cognyte Software's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Cognyte Software's Operating Margin % falls into.


CGNT
72GF Score
Cognyte Software Ltd CGNT
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Cognyte Software Operating Margin % Calculation

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Cognyte Software's Operating Margin % for the fiscal year that ended in Jan. 2026 is calculated as

Operating Margin %=Operating Income (A: Jan. 2026 ) / Revenue (A: Jan. 2026 )
=13.261 / 400.041
=3.31 %

Cognyte Software's Operating Margin % for the quarter that ended in Apr. 2026 is calculated as

Operating Margin %=Operating Income (Q: Apr. 2026 ) / Revenue (Q: Apr. 2026 )
=4.406 / 105.494
=4.18 %

* 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 Operating Margin % →
What does a Operating Margin % of 4.18% mean?
Cognyte Software (CGNT) has a Operating Margin % of 4.18% as of Apr. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Cognyte Software and its competitors. This is 49% above median its historical median of 2.81. According to the industry distribution chart, Cognyte Software ranks #1418 out of 2818 companies in the Software industry, placing it in the top 50.3%.
Is Cognyte Software's Operating Margin % too high?
Cognyte Software's current Operating Margin % of 4.18% is 49% above median its 10-year median of 2.81. The Software industry median Operating Margin % is 3.88. Cognyte Software's value of 4.18% is 7.9% above this industry median. Based on the distribution chart, Cognyte Software ranks #1418 out of 2818 companies in the Software industry, which is below the industry midpoint. Overall, Cognyte Software has a GF Score™ of 72/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cognyte Software's Operating Margin % compare to SABR and HQ?
According to the Software industry distribution chart, Cognyte Software ranks #1418 out of 2818 companies for Operating Margin %. This places Cognyte Software in the lower half of its industry. The industry median Operating Margin % is 3.88. Cognyte Software's value of 4.18% is 7.9% above this benchmark. While the company's 10-year median is 2.81 vs. the industry median of 3.88, Cognyte Software 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 Operating Margin % for a Software company?
The median Operating Margin % among Software companies is 3.88, based on 2,818 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Cognyte Software's current Operating Margin % of 4.18% is 7.9% 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 Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on Cognyte Software and its competitors. For the Software industry, the median Operating Margin % is 3.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cognyte Software's current Operating Margin % is 4.18%, which is 49% above median its own 10-year median of 2.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cognyte Software stock overvalued right now?
Based on GuruFocus' analysis, Cognyte Software (CGNT) is currently considered Modestly Undervalued. The stock's GF Value™ is $9.42, compared to a current price of $7.98 — trading 15.3% below its estimated fair value. The current Operating Margin % is 4.18%, which is 49% above median its 10-year median of 2.81 and 7.9% above the Software industry median of 3.88. Cognyte Software's overall GF Score™ is 72/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For Cognyte Software (CGNT), the current Operating Margin % is 4.18% 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 Cognyte Software (CGNT) Overvalued in 2026?

Based on GuruFocus' analysis, Cognyte Software stock appears to be undervalued. The current stock price of $7.98 is trading 15.3% below its estimated GF Value™ of $9.42. GuruFocus considers Cognyte Software to be Modestly Undervalued.

Key valuation signals for CGNT:

  • Operating Margin %: 4.18% (49% above median its 10-year median of 2.81)
  • GF Value™: $9.42 vs. price of $7.98 (15.3% below fair value)
  • GF Score™: 72/100 with 3 warning signs
  • Industry Position: 7.9% above the Software median (#1418 of 2818)

No single metric tells the full story. See the CGNT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Cognyte Software Business Description

Other Exchanges 81M:Germany
Address 33 Maskit, Herzliya Pituach, Herzliya, ISR, 4673333
Cognyte Software Ltd provides security analytics software that empowers governments and enterprises with Actionable Intelligence. Its interface software is designed to help customers accelerate and improve the effectiveness of investigations and decision-making.
72GF Score

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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$7.98
Price
$9.42
GF Value