Al Arafah Islami BankDHA:ALARABANK 70 Pretax Margin % is 10.55% as of Mar. 2026, which is 68% below its 10-year median of 33.44. GuruFocus rates DHA:ALARABANK with a GF Score™ of 70/100 and a GF Value™ of BDT16.68 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,528 Banks companies, Al Arafah Islami Bank ranks worse than 92.93% on this metric.
The historical rank and industry rank for Al Arafah Islami Bank's Pretax Margin % or its related term are showing as below:
DHA:ALARABANK'
s Pretax Margin % Range Over the Past 10 Years
Min: 6.76 Med: 33.44 Max: 51.34
Current: 6.76
DHA:ALARABANK's Pretax Margin % is ranked worse than 92.93% of 1528
companies
in the Banks industry
Industry Median: 34.665
vs DHA:ALARABANK: 6.76
Al Arafah Islami Bank (DHA:ALARABANK) 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.
Al Arafah Islami Bank Pretax Margin % Related Terms
Al Arafah Islami Bank Pretax Margin % Historical Data
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The historical data trend for Al Arafah Islami Bank'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.
Al Arafah Islami Bank Pretax Margin % Competitor Comparison
For the Banks - Regional subindustry, Al Arafah Islami Bank'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.
Al Arafah Islami Bank Pretax Margin % vs Banks Industry
For the Banks industry and Financial Services sector, Al Arafah Islami Bank's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Al Arafah Islami Bank'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.
Al Arafah Islami Bank (DHA:ALARABANK) has a Pretax Margin % of 10.55% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Al Arafah Islami Bank and its competitors. This is 68% below median its historical median of 33.44. Over the past decade, Al Arafah Islami Bank's Pretax Margin % has ranged from 6.76 to 51.34. According to the industry distribution chart, Al Arafah Islami Bank ranks #1420 out of 1528 companies in the Banks industry, placing it in the top 92.9%.
Is Al Arafah Islami Bank's Pretax Margin % too high?
Al Arafah Islami Bank's current Pretax Margin % of 10.55% is 68% below median its 10-year median of 33.44. Over the past 10 years, this metric has ranged from a low of 6.76 to a high of 51.34. The Banks industry median Pretax Margin % is 34.67. Al Arafah Islami Bank's value of 10.55% is 69.6% below this industry median. Based on the distribution chart, Al Arafah Islami Bank ranks #1420 out of 1528 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Al Arafah Islami Bank has a GF Score™ of 70/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Al Arafah Islami Bank's Pretax Margin % compare to competitors?
According to the Banks industry distribution chart, Al Arafah Islami Bank ranks #1420 out of 1528 companies for Pretax Margin %. This places Al Arafah Islami Bank in the lower half of its industry. The industry median Pretax Margin % is 34.67. Al Arafah Islami Bank's value of 10.55% is 69.6% below this benchmark. Historically, Al Arafah Islami Bank's own Pretax Margin % has ranged from 6.76 to 51.34 over the past decade. While the company's 10-year median is 33.44 vs. the industry median of 34.67, Al Arafah Islami Bank 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 Banks company?
The median Pretax Margin % among Banks companies is 34.67, based on 1,528 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. Al Arafah Islami Bank's current Pretax Margin % of 10.55% is 69.6% 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 Al Arafah Islami Bank and its competitors. For the Banks industry, the median Pretax Margin % is 34.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Al Arafah Islami Bank's current Pretax Margin % is 10.55%, which is 68% below median its own 10-year median of 33.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al Arafah Islami Bank stock overvalued right now?
Based on GuruFocus' analysis, Al Arafah Islami Bank (DHA:ALARABANK) is currently considered Fairly Valued. The stock's GF Value™ is BDT16.68, compared to a current price of BDT15.50 — trading 7.1% below its estimated fair value. The current Pretax Margin % is 10.55%, which is 68% below median its 10-year median of 33.44 and 69.6% below the Banks industry median of 34.67. Al Arafah Islami Bank's overall GF Score™ is 70/100 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 Al Arafah Islami Bank (DHA:ALARABANK), the current Pretax Margin % is 10.55% as of Mar. 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 Al Arafah Islami Bank (DHA:ALARABANK) Overvalued in 2026?
Based on GuruFocus' analysis, Al Arafah Islami Bank stock appears to be undervalued.
The current stock price of BDT15.50 is trading 7.1% below its estimated GF Value™ of BDT16.68.
GuruFocus considers Al Arafah Islami Bank to be Fairly Valued.
Key valuation signals for DHA:ALARABANK:
Pretax Margin %: 10.55% (68% below median its 10-year median of 33.44)
GF Value™: BDT16.68 vs. price of BDT15.50 (7.1% below fair value)
Industry Position: 69.6% below the Banks median (#1420 of 1528)
No single metric tells the full story. See the DHA:ALARABANK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Al Arafah Islami Bank PLC is a Bangladesh-based company engaged in providing commercial banking, consumer banking, trade finance, and related custody and clearing services. Its deposit products include current, saving, term, and short notice deposits; and marriage savings investment schemes, among others. The principal activities of the Bank are to provide a comprehensive range of financial services including commercial banking, consumer banking, trade finance and other related custody and clearing services to the customers. Geographically, it operates only in Bangladesh. It serves Agriculture; Construction; Power, Gas, Water and Sanitary Services; Transport and communication; Trade services; Storage; Professional & Miscellaneous services and other sectors.
70GF Score
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