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Epsilon EnergyEPSN +0.71%68 Pretax Margin % is 52.37% as of Jun. 2026, which is 129% above its 10-year median of 22.89. GuruFocus rates EPSN with a GF Score™ of 68/100 and a GF Value™ of $8.09 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 927 Oil & Gas companies, Epsilon Energy ranks worse than 76.05% on this metric.
Epsilon Energy (NAS:EPSN) 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.
Epsilon Energy Pretax Margin % Related Terms
Epsilon Energy Pretax Margin % Historical Data
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The historical data trend for Epsilon Energy'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.
EPSN vs AMPY, PED, EPM: Pretax Margin % Comparison
For the Oil & Gas E&P subindustry, Epsilon Energy'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.
Epsilon Energy Pretax Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Epsilon Energy's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Epsilon Energy'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.
Epsilon Energy (EPSN) has a Pretax Margin % of 52.37% as of Jun. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Epsilon Energy and its competitors. This is 129% above median its historical median of 22.89. According to the industry distribution chart, Epsilon Energy ranks #705 out of 927 companies in the Oil & Gas industry, placing it in the top 76.1%.
Is Epsilon Energy's Pretax Margin % too high?
Epsilon Energy's current Pretax Margin % of 52.37% is 129% above median its 10-year median of 22.89. The Oil & Gas industry median Pretax Margin % is 6.18. Epsilon Energy's value of 52.37% is 747.4% above this industry median. Based on the distribution chart, Epsilon Energy ranks #705 out of 927 companies in the Oil & Gas industry, which is in the bottom quartile relative to peers. Overall, Epsilon Energy has a GF Score™ of 68/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Epsilon Energy's Pretax Margin % compare to AMPY and PED?
According to the Oil & Gas industry distribution chart, Epsilon Energy ranks #705 out of 927 companies for Pretax Margin %. This places Epsilon Energy in the lower half of its industry. The industry median Pretax Margin % is 6.18. Epsilon Energy's value of 52.37% is 747.4% above this benchmark. While the company's 10-year median is 22.89 vs. the industry median of 6.18, Epsilon Energy has consistently been above 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 an Oil & Gas company?
The median Pretax Margin % among Oil & Gas companies is 6.18, based on 927 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. Epsilon Energy's current Pretax Margin % of 52.37% is 747.4% above 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 Epsilon Energy and its competitors. For the Oil & Gas industry, the median Pretax Margin % is 6.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Epsilon Energy's current Pretax Margin % is 52.37%, which is 129% above median its own 10-year median of 22.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Epsilon Energy stock overvalued right now?
Based on GuruFocus' analysis, Epsilon Energy (EPSN) is currently considered Possible Value Trap. The stock's GF Value™ is $8.09, compared to a current price of $5.68 — trading 29.8% below its estimated fair value. The current Pretax Margin % is 52.37%, which is 129% above median its 10-year median of 22.89 and 747.4% above the Oil & Gas industry median of 6.18. Epsilon Energy's overall GF Score™ is 68/100 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 Epsilon Energy (EPSN), the current Pretax Margin % is 52.37% as of Jun. 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 Epsilon Energy (EPSN) Overvalued in 2026?
Based on GuruFocus' analysis, Epsilon Energy stock appears to be undervalued.
The current stock price of $5.68 is trading 29.8% below its estimated GF Value™ of $8.09.
GuruFocus considers Epsilon Energy to be Possible Value Trap.
Key valuation signals for EPSN:
Pretax Margin %: 52.37% (129% above median its 10-year median of 22.89)
GF Value™: $8.09 vs. price of $5.68 (29.8% below fair value)
Industry Position: 747.4% above the Oil & Gas median (#705 of 927)
No single metric tells the full story. See the EPSN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Epsilon Energy Ltd is a North American on-shore focused independent natural gas and oil company engaged in the acquisition, development, gathering and production of natural gas and oil reserves. Its properties include Appalachian Basin-Pennsylvania, Permian Basin-Texas and New Mexico, Anadarko Basin-Oklahoma, Powder River Basin-Wyoming, Western Canadian Sedimentary Basin-Alberta, Canada. Its segments include The Upstream segment activities include acquisition, development and production of natural gas and oil reserves on properties within the United States and Canada; and The Gas Gathering segment partners with two other companies to operate a natural gas gathering system. The Upstream segment derives the majority of the revenue.
68GF Score
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