Balfour BeattyBLFBY +0.05%78 Pretax Margin % is 3.85% as of Dec. 2025, which is 106% above its 10-year median of 1.87. GuruFocus rates BLFBY with a GF Score™ of 78/100 and a GF Value™ of $16.32 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 1,763 Construction companies, Balfour Beatty ranks worse than 60.58% on this metric.
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.
Balfour Beatty Pretax Margin % Related Terms
Balfour Beatty Pretax Margin % Historical Data
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The historical data trend for Balfour Beatty'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.
BLFBY vs PWR, FIX, EME: Pretax Margin % Comparison
For the Engineering & Construction subindustry, Balfour Beatty'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.
Balfour Beatty Pretax Margin % vs Construction Industry
For the Construction industry and Industrials sector, Balfour Beatty's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Balfour Beatty'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.
Balfour Beatty (BLFBY) has a Pretax Margin % of 3.85% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Balfour Beatty and its competitors. This is 106% above median its historical median of 1.87. Over the past decade, Balfour Beatty's Pretax Margin % has ranged from 0.14 to 3.76. According to the industry distribution chart, Balfour Beatty ranks #1068 out of 1763 companies in the Construction industry, placing it in the top 60.6%.
Is Balfour Beatty's Pretax Margin % too high?
Balfour Beatty's current Pretax Margin % of 3.85% is 106% above median its 10-year median of 1.87. Over the past 10 years, this metric has ranged from a low of 0.14 to a high of 3.76. The Construction industry median Pretax Margin % is 5.56. Balfour Beatty's value of 3.85% is 30.8% below this industry median. Based on the distribution chart, Balfour Beatty ranks #1068 out of 1763 companies in the Construction industry, which is below the industry midpoint. Overall, Balfour Beatty has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Balfour Beatty's Pretax Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, Balfour Beatty ranks #1068 out of 1763 companies for Pretax Margin %. This places Balfour Beatty in the lower half of its industry. The industry median Pretax Margin % is 5.56. Balfour Beatty's value of 3.85% is 30.8% below this benchmark. Historically, Balfour Beatty's own Pretax Margin % has ranged from 0.14 to 3.76 over the past decade. While the company's 10-year median is 1.87 vs. the industry median of 5.56, Balfour Beatty has consistently been below 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 Construction company?
The median Pretax Margin % among Construction companies is 5.56, based on 1,763 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. Balfour Beatty's current Pretax Margin % of 3.85% is 30.8% below 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 Balfour Beatty and its competitors. For the Construction industry, the median Pretax Margin % is 5.56 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Balfour Beatty's current Pretax Margin % is 3.85%, which is 106% above median its own 10-year median of 1.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Balfour Beatty stock overvalued right now?
Based on GuruFocus' analysis, Balfour Beatty (BLFBY) is currently considered Significantly Overvalued. The stock's GF Value™ is $16.32, compared to a current price of $23.51 — trading 44.1% above its estimated fair value. The current Pretax Margin % is 3.85%, which is 106% above median its 10-year median of 1.87 and 30.8% below the Construction industry median of 5.56. Balfour Beatty's overall GF Score™ is 78/100 with 7 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 Balfour Beatty (BLFBY), the current Pretax Margin % is 3.85% as of Dec. 2025. 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 Balfour Beatty (BLFBY) Overvalued in 2026?
Based on GuruFocus' analysis, Balfour Beatty stock appears to be overvalued.
The current stock price of $23.51 is trading 44.1% above its estimated GF Value™ of $16.32.
GuruFocus considers Balfour Beatty to be Significantly Overvalued.
Key valuation signals for BLFBY:
Pretax Margin %: 3.85% (106% above median its 10-year median of 1.87)
GF Value™: $16.32 vs. price of $23.51 (44.1% above fair value)
Industry Position: 30.8% below the Construction median (#1068 of 1763)
No single metric tells the full story. See the BLFBY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Balfour Beatty PLC finances builds, and maintains infrastructure projects. It finances, develops, builds, maintains, and operates the increasingly complex and critical infrastructure that supports national economies and delivers projects at the heart of local communities. It operates three business segments: Construction services (majority of total revenue), Support services, and Infrastructure investments. It will invest directly in infrastructure assets also invests in real estate-type assets, in particular private residential and student accommodation assets. The majority of sales are derived from the United Kingdom and the United States.
78GF Score
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