Top Technology Stocks by Net Margin
Top technology companies ranked by net margin, latest annual filings.
What Net Margin Means for Technology Companies
Net margin in technology shows how much of each revenue dollar a software, platform, or hardware business actually keeps after research investment, sales and marketing, stock-based compensation, interest, and tax. The sector spans some of the highest-margin businesses in the listed universe, in mature software and platform franchises, and some of the lowest, in growth-stage firms that deliberately run negative bottom lines while reinvesting aggressively in product and go-to-market.
Why It Matters in Technology
Within mature software, a consistently strong net margin reflects durable pricing, disciplined research spend, and operating leverage at scale. In growth-stage technology, net margin can be negative for years without signaling a failing business. It is worth noting that stock-based compensation sits inside GAAP net income and many technology firms report an adjusted figure that excludes it, so the headline net margin and the non-GAAP version can paint quite different pictures.
What to Read Alongside
Pair net margin with Gross Margin for the top of the stack, Operating Margin for the middle layer, and Free Cash Flow to confirm the reported profitability actually translates into cash.
| # | Symbol | Company | Sector | ||
|---|---|---|---|---|---|
| 1 | WDC | Western Digital Corporation | Technology | 72.95% | $98.74B |
| 2 | MU | Micron Technology, Inc. | Technology | 63.80% | $780.68B |
| 3 | SNDK | Sandisk Corporation | Technology | 56.46% | $118.82B |
| 4 | NVDA | NVIDIA Corporation | Technology | 55.60% | $4.51T |
| 5 | NTNX | Nutanix, Inc. | Technology | 52.81% | $15.92B |
| 6 | VRSN | VeriSign, Inc. | Technology | 49.84% | $27.69B |
| 7 | LYFT | Lyft, Inc. | Technology | 45.03% | $6.48B |
| 8 | TSM | Taiwan Semiconductor Manufacturing Company Limited | Technology | 44.57% | $1.95T |
| 9 | MSFT | Microsoft Corporation | Technology | 40.31% | $3.94T |
| 10 | DUOL | Duolingo, Inc. | Technology | 39.91% | $7.57B |
| 11 | ZM | Zoom Communications, Inc. | Technology | 39.03% | $26.23B |
| 12 | ANET | Arista Networks, Inc. | Technology | 38.99% | $215.79B |
| 13 | CHKP | Check Point Software Technologies Ltd. | Technology | 38.78% | $14.72B |
| 14 | PLTR | Palantir Technologies Inc. | Technology | 36.31% | $386.44B |
| 15 | AVGO | Broadcom Inc. | Technology | 36.20% | $1.40T |
| 16 | YMM | Full Truck Alliance Co. Ltd. | Technology | 35.70% | $9.50B |
| 17 | KLAC | KLA Corporation | Technology | 35.57% | $180.45B |
| 18 | CRDO | Credo Technology Group Holding Ltd | Technology | 35.37% | $22.65B |
| 19 | FICO | Fair Isaac Corporation | Technology | 32.94% | $15.22B |
| 20 | MRVL | Marvell Technology, Inc. | Technology | 32.58% | $127.05B |
| 21 | QCOM | QUALCOMM Incorporated | Technology | 31.60% | $176.99B |
| 22 | LRCX | Lam Research Corporation | Technology | 31.27% | $250.84B |
| 23 | PAYP | PayPay Corporation | Technology | 30.22% | $10.10B |
| 24 | ADBE | Adobe Inc. | Technology | 30.00% | $93.14B |
| 25 | ASML | ASML Holding N.V. | Technology | 29.42% | $549.12B |
| 26 | UI | Ubiquiti Inc. | Technology | 29.33% | $35.85B |
| 27 | FSLR | First Solar, Inc. | Technology | 29.28% | $21.62B |
| 28 | TXN | Texas Instruments Incorporated | Technology | 28.28% | $253.58B |
| 29 | AAPL | Apple Inc. | Technology | 27.60% | $4.98T |
| 30 | ESE | ESCO Technologies Inc. | Technology | 27.32% | $5.97B |
| 31 | FTNT | Fortinet, Inc. | Technology | 27.26% | $87.31B |
| 32 | PAYX | Paychex, Inc. | Technology | 27.03% | $41.67B |
| 33 | PTC | PTC Inc. | Technology | 26.80% | $21.19B |
| 34 | STX | Seagate Technology Holdings plc | Technology | 26.11% | $105.83B |
| 35 | ORCL | Oracle Corporation | Technology | 25.37% | $361.97B |
| 36 | AMAT | Applied Materials, Inc. | Technology | 24.67% | $264.04B |
| 37 | CPAY | Corpay, Inc. | Technology | 23.62% | $29.12B |
| 38 | FORTY | Formula Systems (1985) Ltd. | Technology | 23.09% | $1.69B |
| 39 | GRMN | Garmin Ltd. | Technology | 22.96% | $55.03B |
| 40 | PEGA | Pegasystems Inc. | Technology | 22.54% | $5.30B |
| 41 | FFIV | F5, Inc. | Technology | 22.42% | $17.66B |
| 42 | MPWR | Monolithic Power Systems, Inc. | Technology | 22.27% | $58.06B |
| 43 | PAYC | Paycom Software, Inc. | Technology | 22.10% | $10.51B |
| 44 | INTU | Intuit Inc. | Technology | 21.29% | $91.26B |
| 45 | ESTC | Elastic N.V. | Technology | 21.14% | $9.04B |
| 46 | CSCO | Cisco Systems, Inc. | Technology | 20.95% | $370.01B |
| 47 | CDNS | Cadence Design Systems, Inc. | Technology | 20.94% | $87.78B |
| 48 | NICE | NICE Ltd. | Technology | 20.78% | $5.52B |
| 49 | CRUS | Cirrus Logic, Inc. | Technology | 20.75% | $5.66B |
| 50 | ADI | Analog Devices, Inc. | Technology | 20.58% | $176.17B |
| 51 | NTAP | NetApp, Inc. | Technology | 20.46% | $33.23B |
| 52 | MANH | Manhattan Associates, Inc. | Technology | 20.34% | $14.68B |
| 53 | DBX | Dropbox, Inc. | Technology | 20.17% | $7.54B |
| 54 | ADP | Automatic Data Processing, Inc. | Technology | 20.11% | $119.75B |
| 55 | WSE | Wise Group plc | Technology | 19.93% | $10.76B |
| 56 | JKHY | Jack Henry & Associates, Inc. | Technology | 19.76% | $12.15B |
| 57 | GEN | Gen Digital Inc. | Technology | 19.46% | $17.67B |
| 58 | SAP | SAP SE | Technology | 19.46% | $269.45B |
| 59 | ROP | Roper Technologies, Inc. | Technology | 19.44% | $47.20B |
| 60 | UBER | Uber Technologies, Inc. | Technology | 19.33% | $140.05B |
| 61 | SABR | Sabre Corporation | Technology | 18.93% | $680.38M |
| 62 | SNPS | Synopsys, Inc. | Technology | 18.89% | $86.32B |
| 63 | BSY | Bentley Systems, Incorporated | Technology | 18.50% | $13.50B |
| 64 | APH | Amphenol Corporation | Technology | 18.49% | $184.18B |
| 65 | MSI | Motorola Solutions, Inc. | Technology | 18.44% | $85.07B |
| 66 | ARM | Arm Holdings plc | Technology | 18.37% | $186.84B |
| 67 | DLO | DLocal Limited | Technology | 18.00% | $4.00B |
| 68 | CRM | Salesforce, Inc. | Technology | 17.96% | $175.83B |
| 69 | GDDY | GoDaddy Inc. | Technology | 17.67% | $13.87B |
| 70 | PATH | UiPath, Inc. | Technology | 17.53% | $6.78B |
| 71 | TER | Teradyne, Inc. | Technology | 17.37% | $34.07B |
| 72 | UMC | United Microelectronics Corporation | Technology | 16.99% | $34.73B |
| 73 | STNE | StoneCo Ltd. | Technology | 16.53% | $1.73B |
| 74 | NXPI | NXP Semiconductors N.V. | Technology | 16.47% | $62.58B |
| 75 | NXT | Nextpower Inc. | Technology | 16.46% | $15.80B |
| 76 | INFY | Infosys Limited | Technology | 16.44% | $50.63B |
| 77 | KEYS | Keysight Technologies, Inc. | Technology | 15.81% | $46.33B |
| 78 | IBM | International Business Machines Corporation | Technology | 15.69% | $231.55B |
| 79 | ADSK | Autodesk, Inc. | Technology | 15.60% | $54.70B |
| 80 | PCTY | Paylocity Holding Corporation | Technology | 15.23% | $9.03B |
| 81 | RUN | Sunrun Inc. | Technology | 15.22% | $2.41B |
| 82 | BR | Broadridge Financial Solutions, Inc. | Technology | 15.04% | $21.54B |
| 83 | LOGI | Logitech International S.A. | Technology | 14.69% | $13.65B |
| 84 | TDY | Teledyne Technologies Incorporated | Technology | 14.63% | $28.68B |
| 85 | Q | Qnity Electronics, Inc. | Technology | 14.56% | $24.46B |
| 86 | WIT | Wipro Limited | Technology | 14.25% | $21.37B |
| 87 | TSEM | Tower Semiconductor Ltd. | Technology | 14.08% | $15.59B |
| 88 | FTV | Fortive Corporation | Technology | 13.93% | $19.46B |
| 89 | ONTO | Onto Innovation Inc. | Technology | 13.60% | $8.50B |
| 90 | TYL | Tyler Technologies, Inc. | Technology | 13.53% | $16.72B |
| 91 | VNT | Vontier Corporation | Technology | 13.20% | $5.61B |
| 92 | NOW | ServiceNow, Inc. | Technology | 13.16% | $105.84B |
| 93 | ALRM | Alarm.com Holdings, Inc. | Technology | 13.11% | $3.19B |
| 94 | GFS | GLOBALFOUNDRIES Inc. | Technology | 13.03% | $21.53B |
| 95 | ACIW | ACI Worldwide, Inc. | Technology | 12.88% | $6.01B |
| 96 | ITRI | Itron, Inc. | Technology | 12.72% | $4.32B |
| 97 | SSNC | SS&C Technologies Holdings, Inc. | Technology | 12.71% | $18.24B |
| 98 | AMD | Advanced Micro Devices, Inc. | Technology | 12.51% | $736.46B |
| 99 | DOX | Amdocs Limited | Technology | 12.46% | $4.39B |
| 100 | OTEX | Open Text Corporation | Technology | 12.26% | $6.00B |
No companies match this search.
Net margin is GAAP net income divided by revenue, so one-time gains and tax benefits count in full: a company near the top can show a net margin well above its operating margin for that year.
How this ranking is built
Companies are ranked by net margin as reported in their most recent annual filing with the SEC. Figures shown are in US dollars (or percent, as noted), rounded to two decimals.
- Source: annual 10-K / 20-F filings from companies trading on US exchanges (NYSE, Nasdaq, AMEX).
- Fiscal year: whichever annual period the company has most recently filed. Fiscal years don't always align with the calendar year, so the "as of FY" stamp above reflects the most common year across the table.
- Filtered out: warrants, preferred shares, and duplicate listings that share a parent company's financials.
- Size floor: A company qualifies at $1 billion in annual revenue or above, so a small filer with a freak ratio cannot top the list.
- Value range: Only figures above 0% and up to 100% qualify.
- Market cap: stated at each company's latest close, which is newer than the annual figure ranked here.
- Update cadence: refreshed as companies file new annual reports (typically within 60–90 days of fiscal year end).
Not financial advice. This is a research tool, not a recommendation.
Frequently asked questions
Why do some technology firms show negative net margins even when revenue is growing fast?
Growth-stage technology companies often spend aggressively on research, sales teams, and market expansion because the returns on those investments compound later. Those costs hit the income statement immediately while the revenue from acquired customers shows up gradually over time. For a business that believes the long-run market opportunity is large, running a negative net margin for a period is a reinvestment choice rather than a distress signal. Whether the choice is working depends on unit economics, retention, and eventual operating leverage, not on the sign of the bottom line.
How does stock-based compensation distort technology net margin?
Stock-based compensation is a non-cash expense that sits inside GAAP net income but does not consume cash in the current period. Technology firms use equity-based pay heavily, which means reported GAAP net margin is often meaningfully lower than the non-GAAP figure many of them publish alongside. Stock-based compensation is real, eventually, because it dilutes existing shareholders when those grants vest, but it does not move through cash. This is why GAAP and adjusted margins can tell different stories for the same technology business.