GlossaryProfit margin

Profit margin

The company's net margin as a line in its own pane below the chart: how much of revenue is left as earnings, per quarter or over twelve months. When the margin rises, the company earns more on every euro of revenue; when it falls, something is eating into earnings.

Good to know

  • Stocks only, and only for periods in which the margin means something: if earnings exceed revenue or there is hardly any revenue, the line pauses there and the pane header says why.
  • The margin goes back as far as the company's revenue and earnings, for US companies usually to around 2008.
  • Compare margins mainly within an industry: software works with very different margins than a retailer.

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