Federal Home Loan MortgageFMCC -5.37%48 Pretax Margin % is 72.25% as of Mar. 2026, which is 14% above its 10-year median of 63.23. GuruFocus rates FMCC with a GF Score™ of 48/100 and a GF Value™ of $2.52 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,527 Banks companies, Federal Home Loan Mortgage ranks better than 92.53% on this metric.
The historical rank and industry rank for Federal Home Loan Mortgage's Pretax Margin % or its related term are showing as below:
FMCC'
s Pretax Margin % Range Over the Past 10 Years
Min: 54.57 Med: 63.23 Max: 79.94
Current: 60.75
FMCC's Pretax Margin % is ranked better than 92.53% of 1527
companies
in the Banks industry
Industry Median: 34.88
vs FMCC: 60.75
Federal Home Loan Mortgage (OTCPK:FMCC) 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.
Federal Home Loan Mortgage Pretax Margin % Related Terms
Federal Home Loan Mortgage Pretax Margin % Historical Data
* 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.
FMCC vs PFSI, WD, UWMC: Pretax Margin % Comparison
For the Mortgage Finance subindustry, Federal Home Loan Mortgage'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.
Federal Home Loan Mortgage Pretax Margin % vs Banks Industry
For the Banks industry and Financial Services sector, Federal Home Loan Mortgage's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Federal Home Loan Mortgage'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.
Federal Home Loan Mortgage (FMCC) has a Pretax Margin % of 72.25% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Federal Home Loan Mortgage and its competitors. This is 14% above median its historical median of 63.23. Over the past decade, Federal Home Loan Mortgage's Pretax Margin % has ranged from 54.57 to 79.94. According to the industry distribution chart, Federal Home Loan Mortgage ranks #114 out of 1527 companies in the Banks industry, placing it in the top 7.5%.
Is Federal Home Loan Mortgage's Pretax Margin % too high?
Federal Home Loan Mortgage's current Pretax Margin % of 72.25% is 14% above median its 10-year median of 63.23. Over the past 10 years, this metric has ranged from a low of 54.57 to a high of 79.94. The Banks industry median Pretax Margin % is 34.88. Federal Home Loan Mortgage's value of 72.25% is 107.1% above this industry median. Based on the distribution chart, Federal Home Loan Mortgage ranks #114 out of 1527 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, Federal Home Loan Mortgage has a GF Score™ of 48/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Federal Home Loan Mortgage's Pretax Margin % compare to PFSI and WD?
According to the Banks industry distribution chart, Federal Home Loan Mortgage ranks #114 out of 1527 companies for Pretax Margin %. This places Federal Home Loan Mortgage in the top 8% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 34.88. Federal Home Loan Mortgage's value of 72.25% is 107.1% above this benchmark. Historically, Federal Home Loan Mortgage's own Pretax Margin % has ranged from 54.57 to 79.94 over the past decade. While the company's 10-year median is 63.23 vs. the industry median of 34.88, Federal Home Loan Mortgage 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 a Banks company?
The median Pretax Margin % among Banks companies is 34.88, based on 1,527 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. Federal Home Loan Mortgage's current Pretax Margin % of 72.25% is 107.1% 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 Federal Home Loan Mortgage and its competitors. For the Banks industry, the median Pretax Margin % is 34.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Federal Home Loan Mortgage's current Pretax Margin % is 72.25%, which is 14% above median its own 10-year median of 63.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Federal Home Loan Mortgage stock overvalued right now?
Based on GuruFocus' analysis, Federal Home Loan Mortgage (FMCC) is currently considered Significantly Overvalued. The stock's GF Value™ is $2.52, compared to a current price of $6.17 — trading 144.8% above its estimated fair value. The current Pretax Margin % is 72.25%, which is 14% above median its 10-year median of 63.23 and 107.1% above the Banks industry median of 34.88. Federal Home Loan Mortgage's overall GF Score™ is 48/100 with 2 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 Federal Home Loan Mortgage (FMCC), the current Pretax Margin % is 72.25% 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 Federal Home Loan Mortgage (FMCC) Overvalued in 2026?
Based on GuruFocus' analysis, Federal Home Loan Mortgage stock appears to be overvalued.
The current stock price of $6.17 is trading 144.8% above its estimated GF Value™ of $2.52.
GuruFocus considers Federal Home Loan Mortgage to be Significantly Overvalued.
Key valuation signals for FMCC:
Pretax Margin %: 72.25% (14% above median its 10-year median of 63.23)
GF Value™: $2.52 vs. price of $6.17 (144.8% above fair value)
Industry Position: 107.1% above the Banks median (#114 of 1527)
No single metric tells the full story. See the FMCC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Federal Home Loan Mortgage Corp is a U.S. based government-sponsored enterprise. The company invests in mortgage loans and mortgage-related securities. Its two reportable segments are: i) Single-Family: It provides liquidity and support to the single-family mortgage market through a variety of activities that include the purchase, securitization, and guarantee of single-family loans originated by lenders, and ii) Multifamily: It provides liquidity and support to the multifamily mortgage market through a variety of activities that include the purchase, securitization, and guarantee of multifamily loans. The majority of the company's revenue is derived from the Single-Family segment.
48GF Score
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