NetAppFRA:NTA +1.49%91 Pretax Margin % is 26.59% as of Apr. 2026, which is 41% above its 10-year median of 18.80. GuruFocus rates FRA:NTA with a GF Score™ of 91/100 and a GF Value™ of €104.58 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 2,823 Software companies, NetApp ranks better than 89.41% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. NetApp's Pre-Tax Income for the
three
months ended in Apr. 2026 was €443 Mil. NetApp's Revenue for the
three
months ended in Apr. 2026 was €1,666 Mil. Therefore, NetApp's pretax margin for the quarter that ended in Apr. 2026 was 26.59%.
The historical rank and industry rank for NetApp's Pretax Margin % or its related term are showing as below:
FRA:NTA'
s Pretax Margin % Range Over the Past 10 Years
Min: 11.31 Med: 18.8 Max: 23.8
Current: 23.8
FRA:NTA's Pretax Margin % is ranked better than 89.41% of 2823
companies
in the Software industry
Industry Median: 3.51
vs FRA:NTA: 23.80
NetApp (FRA:NTA) Pretax Margin % Explanation
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
NetApp Pretax Margin % Related Terms
NetApp Pretax Margin % Historical Data
* Premium members only.
The historical data trend for NetApp's Pretax 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.
FRA:NTA vs TWLO, MDB, VRSN: Pretax Margin % Comparison
For the Software - Infrastructure subindustry, NetApp's Pretax Margin %, along with its competitors' market caps and Pretax 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.
NetApp Pretax Margin % vs Software Industry
For the Software industry and Technology sector, NetApp's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where NetApp's Pretax 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.
NetApp (FRA:NTA) has a Pretax Margin % of 26.59% as of Apr. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on NetApp and its competitors. This is 41% above median its historical median of 18.80. Over the past decade, NetApp's Pretax Margin % has ranged from 11.31 to 23.80. According to the industry distribution chart, NetApp ranks #299 out of 2823 companies in the Software industry, placing it in the top 10.6%.
Is NetApp's Pretax Margin % too high?
NetApp's current Pretax Margin % of 26.59% is 41% above median its 10-year median of 18.80. Over the past 10 years, this metric has ranged from a low of 11.31 to a high of 23.80. The Software industry median Pretax Margin % is 3.51. NetApp's value of 26.59% is 657.5% above this industry median. Based on the distribution chart, NetApp ranks #299 out of 2823 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, NetApp has a GF Score™ of 91/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does NetApp's Pretax Margin % compare to TWLO and MDB?
According to the Software industry distribution chart, NetApp ranks #299 out of 2823 companies for Pretax Margin %. This places NetApp in the top 11% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 3.51. NetApp's value of 26.59% is 657.5% above this benchmark. Historically, NetApp's own Pretax Margin % has ranged from 11.31 to 23.80 over the past decade. While the company's 10-year median is 18.80 vs. the industry median of 3.51, NetApp 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 Pretax Margin % for a Software company?
The median Pretax Margin % among Software companies is 3.51, based on 2,823 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. NetApp's current Pretax Margin % of 26.59% is 657.5% 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 Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on NetApp and its competitors. For the Software industry, the median Pretax Margin % is 3.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NetApp's current Pretax Margin % is 26.59%, which is 41% above median its own 10-year median of 18.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NetApp stock overvalued right now?
Based on GuruFocus' analysis, NetApp (FRA:NTA) is currently considered Significantly Overvalued. The stock's GF Value™ is €104.58, compared to a current price of €135.14 — trading 29.2% above its estimated fair value. The current Pretax Margin % is 26.59%, which is 41% above median its 10-year median of 18.80 and 657.5% above the Software industry median of 3.51. NetApp's overall GF Score™ is 91/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For NetApp (FRA:NTA), the current Pretax Margin % is 26.59% 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 NetApp (FRA:NTA) Overvalued in 2026?
Based on GuruFocus' analysis, NetApp stock appears to be overvalued.
The current stock price of €135.14 is trading 29.2% above its estimated GF Value™ of €104.58.
GuruFocus considers NetApp to be Significantly Overvalued.
Key valuation signals for FRA:NTA:
Pretax Margin %: 26.59% (41% above median its 10-year median of 18.80)
GF Value™: €104.58 vs. price of €135.14 (29.2% above fair value)
Industry Position: 657.5% above the Software median (#299 of 2823)
No single metric tells the full story. See the FRA:NTA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NetApp Inc is storage hardware provider into a software-driven, cloud-centric data infrastructure company. Its flagship ONTAP data management software, together with a comprehensive portfolio of all-flash, hybrid-flash, and cloud-native solutions, forms the backbone of digital transformation for thousands of enterprises world'wide. Its operations are organized into two segments Hybrid Cloud and Public Cloud. It generates majority of revenue from Hybrid Cloud offers a unified data storage portfolio of storage management and infrastructure solutions that helps customers modernize their data centers. Hybrid Cloud includes software, hardware, and related support, along with professional and other services. It generates majority of revenue from United States followed by International market.
91GF Score
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