Wyndham Hotels & ResortsFRA:2WY -1.28%75 Pretax Margin % is 24.46% as of Mar. 2026, which is 21% above its 10-year median of 20.20. GuruFocus rates FRA:2WY with a GF Score™ of 75/100 and a GF Value™ of €76.20 (Fairly Valued). The stock has 5 warning signs investors should review. Among 840 Travel & Leisure companies, Wyndham Hotels & Resorts ranks better than 78.21% 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.
Wyndham Hotels & Resorts Pretax Margin % Related Terms
Wyndham Hotels & Resorts 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.
FRA:2WY vs CHH, CVEO, GHG: Pretax Margin % Comparison
For the Lodging subindustry, Wyndham Hotels & Resorts'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.
Wyndham Hotels & Resorts Pretax Margin % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Wyndham Hotels & Resorts's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Wyndham Hotels & Resorts'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.
Wyndham Hotels & Resorts (FRA:2WY) has a Pretax Margin % of 24.46% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Wyndham Hotels & Resorts and its competitors. This is 21% above median its historical median of 20.20. According to the industry distribution chart, Wyndham Hotels & Resorts ranks #183 out of 840 companies in the Travel & Leisure industry, placing it in the top 21.8%.
Is Wyndham Hotels & Resorts' Pretax Margin % too high?
Wyndham Hotels & Resorts' current Pretax Margin % of 24.46% is 21% above median its 10-year median of 20.20. The Travel & Leisure industry median Pretax Margin % is 6.04. Wyndham Hotels & Resorts' value of 24.46% is 305% above this industry median. Based on the distribution chart, Wyndham Hotels & Resorts ranks #183 out of 840 companies in the Travel & Leisure industry, which is in the top quartile — a strong position relative to peers. Overall, Wyndham Hotels & Resorts has a GF Score™ of 75/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Wyndham Hotels & Resorts' Pretax Margin % compare to CHH and CVEO?
According to the Travel & Leisure industry distribution chart, Wyndham Hotels & Resorts ranks #183 out of 840 companies for Pretax Margin %. This places Wyndham Hotels & Resorts in the top 22% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 6.04. Wyndham Hotels & Resorts' value of 24.46% is 305% above this benchmark. While the company's 10-year median is 20.20 vs. the industry median of 6.04, Wyndham Hotels & Resorts 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 Travel & Leisure company?
The median Pretax Margin % among Travel & Leisure companies is 6.04, based on 840 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. Wyndham Hotels & Resorts's current Pretax Margin % of 24.46% is 305% 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 Wyndham Hotels & Resorts and its competitors. For the Travel & Leisure industry, the median Pretax Margin % is 6.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Wyndham Hotels & Resorts's current Pretax Margin % is 24.46%, which is 21% above median its own 10-year median of 20.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wyndham Hotels & Resorts stock overvalued right now?
Based on GuruFocus' analysis, Wyndham Hotels & Resorts (FRA:2WY) is currently considered Fairly Valued. The stock's GF Value™ is €76.20, compared to a current price of €71.00 — trading 6.8% below its estimated fair value. The current Pretax Margin % is 24.46%, which is 21% above median its 10-year median of 20.20 and 305% above the Travel & Leisure industry median of 6.04. Wyndham Hotels & Resorts' overall GF Score™ is 75/100 with 5 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 Wyndham Hotels & Resorts (FRA:2WY), the current Pretax Margin % is 24.46% 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 Wyndham Hotels & Resorts (FRA:2WY) Overvalued in 2026?
Based on GuruFocus' analysis, Wyndham Hotels & Resorts stock appears to be undervalued.
The current stock price of €71.00 is trading 6.8% below its estimated GF Value™ of €76.20.
GuruFocus considers Wyndham Hotels & Resorts to be Fairly Valued.
Key valuation signals for FRA:2WY:
Pretax Margin %: 24.46% (21% above median its 10-year median of 20.20)
GF Value™: €76.20 vs. price of €71.00 (6.8% below fair value)
Industry Position: 305% above the Travel & Leisure median (#183 of 840)
No single metric tells the full story. See the FRA:2WY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
As of Dec. 31, 2025, Wyndham Hotels & Resorts operates 869,000 rooms across more than 20 brands predominantly in the economy and midscale segments. Ramada is the largest brand, representing around 14% of all rooms, with Days Inn (13%) and Super 8 (10%) the next two largest brands, as of the end of 2025. During the past several years, the company has expanded its extended stay/lifestyle brands, which appeal to travelers seeking to experience the local culture of a given location. The company closed its La Quinta acquisition in the second quarter of 2018, adding around 90,000 rooms at the time the deal closed. Wyndham launched a new extended stay economy scale segment concept, ECHO, in the spring of 2022. The United States represented 58% of total rooms in 2025.
75GF Score
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