The historical rank and industry rank for Elanco Animal Health's Pretax Margin % or its related term are showing as below:
ELAN'
s Pretax Margin % Range Over the Past 10 Years
Min: -27.05 Med: -3.19 Max: 10.99
Current: -4.03
ELAN's Pretax Margin % is ranked worse than 72.48% of 952
companies
in the Drug Manufacturers industry
Industry Median: 7.295
vs ELAN: -4.03
Elanco Animal Health (NYSE:ELAN) 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.
Elanco Animal Health Pretax Margin % Related Terms
Elanco Animal Health Pretax Margin % Historical Data
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The historical data trend for Elanco Animal Health'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.
ELAN vs ALKS, HIMS, NBIX: Pretax Margin % Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Elanco Animal Health'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.
Elanco Animal Health Pretax Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Elanco Animal Health's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Elanco Animal Health'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.
Elanco Animal Health (ELAN) has a Pretax Margin % of 6.35% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Elanco Animal Health and its competitors. According to the industry distribution chart, Elanco Animal Health ranks #690 out of 952 companies in the Drug Manufacturers industry, placing it in the top 72.5%.
Is Elanco Animal Health's Pretax Margin % too high?
Elanco Animal Health's current Pretax Margin % is 6.35%. The Drug Manufacturers industry median Pretax Margin % is 7.30. Elanco Animal Health's value of 6.35% is 13% below this industry median. Based on the distribution chart, Elanco Animal Health ranks #690 out of 952 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Elanco Animal Health has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Elanco Animal Health's Pretax Margin % compare to ALKS and HIMS?
According to the Drug Manufacturers industry distribution chart, Elanco Animal Health ranks #690 out of 952 companies for Pretax Margin %. This places Elanco Animal Health in the lower half of its industry. The industry median Pretax Margin % is 7.30. Elanco Animal Health's value of 6.35% is 13% below this benchmark. 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 Drug Manufacturers company?
The median Pretax Margin % among Drug Manufacturers companies is 7.30, based on 952 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. Elanco Animal Health's current Pretax Margin % of 6.35% is 13% 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 Elanco Animal Health and its competitors. For the Drug Manufacturers industry, the median Pretax Margin % is 7.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elanco Animal Health's current Pretax Margin % is 6.35%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elanco Animal Health stock overvalued right now?
Based on GuruFocus' analysis, Elanco Animal Health (ELAN) is currently considered Significantly Overvalued. The stock's GF Value™ is $15.57, compared to a current price of $24.74 — trading 58.9% above its estimated fair value. The current Pretax Margin % is 6.35% and 13% below the Drug Manufacturers industry median of 7.30. Elanco Animal Health's overall GF Score™ is 66/100 with 4 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 Elanco Animal Health (ELAN), the current Pretax Margin % is 6.35% 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 Elanco Animal Health (ELAN) Overvalued in 2026?
Based on GuruFocus' analysis, Elanco Animal Health stock appears to be overvalued.
The current stock price of $24.74 is trading 58.9% above its estimated GF Value™ of $15.57.
GuruFocus considers Elanco Animal Health to be Significantly Overvalued.
Key valuation signals for ELAN:
Pretax Margin %: 6.35%
GF Value™: $15.57 vs. price of $24.74 (58.9% above fair value)
Industry Position: 13% below the Drug Manufacturers median (#690 of 952)
No single metric tells the full story. See the ELAN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Elanco Animal Health is an animal health company that is engaged in developing, manufacturing, and marketing pharma products for companion and food animals. It spun off from Eli Lilly in 2018 and acquired Janssen Animal Health in 2011, Novartis Animal Health in 2014, Boehringer Ingelheim Vetmedica in 2017, and Bayer Animal Health in 2020. The company's operations are conducted globally, and it sells its products in over 90 countries. It offers a range of food animal products used in cattle, sheep, poultry, and swine production.
66GF Score
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