Shift (FRA:7CZ) Pretax Margin %: 8.98% (As of Feb. 2026) — Near Median


FRA:7CZ Shift Inc FRA:7CZ
82 GF Score
Price €3.30
GF Value €8.70
Valuation Significantly Undervalued
! 1 Warning Sign
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What is Shift Pretax Margin %?

Shift FRA:7CZ -6.78% 82 Pretax Margin % is 8.98% as of Feb. 2026, which is 4% below its 10-year median of 9.34. GuruFocus rates FRA:7CZ with a GF Score™ of 82/100 and a GF Value™ of €8.70 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 2,823 Software companies, Shift ranks better than 66.38% on this metric.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Shift's Pre-Tax Income for the three months ended in Feb. 2026 was €18.2 Mil. Shift's Revenue for the three months ended in Feb. 2026 was €202.9 Mil. Therefore, Shift's pretax margin for the quarter that ended in Feb. 2026 was 8.98%.

The historical rank and industry rank for Shift's Pretax Margin % or its related term are showing as below:

FRA:7CZ' s Pretax Margin % Range Over the Past 10 Years
Min: 5.4   Med: 9.34   Max: 11.53
Current: 8.99


FRA:7CZ's Pretax Margin % is ranked better than
66.38% of 2823 companies
in the Software industry
Industry Median: 3.51 vs FRA:7CZ: 8.99

Shift  (FRA:7CZ) 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.


Shift Pretax Margin % Related Terms


Shift Pretax Margin % Historical Data

* Premium members only.

The historical data trend for Shift'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.

Shift Pretax Margin % Chart

Shift Annual Data
Trend Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
Pretax Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.84 11.50 11.53 8.16 10.53

Shift Quarterly Data
May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26
Pretax Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.80 8.71 10.32 7.97 8.98

FRA:7CZ vs UBER, SHOP, CRM: Pretax Margin % Comparison

For the Software - Application subindustry, Shift'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.


Shift Pretax Margin % vs Software Industry

For the Software industry and Technology sector, Shift's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where Shift's Pretax Margin % falls into.


FRA:7CZ
82GF Score
Shift Inc FRA:7CZ
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shift Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

Shift's Pretax Margin for the fiscal year that ended in Aug. 2025 is calculated as

Pretax Margin=Pre-Tax Income (A: Aug. 2025 )/Revenue (A: Aug. 2025 )
=79.645/756.14
=10.53 %

Shift's Pretax Margin for the quarter that ended in Feb. 2026 is calculated as

Pretax Margin=Pre-Tax Income (Q: Feb. 2026 )/Revenue (Q: Feb. 2026 )
=18.218/202.852
=8.98 %

* 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.

Frequently Asked Questions Learn more about Pretax Margin % →
What does a Pretax Margin % of 8.98% mean?
Shift (FRA:7CZ) has a Pretax Margin % of 8.98% as of Feb. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Shift and its competitors. This is near median its historical median of 9.34. Over the past decade, Shift's Pretax Margin % has ranged from 5.40 to 11.53. According to the industry distribution chart, Shift ranks #949 out of 2823 companies in the Software industry, placing it in the top 33.6%.
Is Shift's Pretax Margin % too high?
Shift's current Pretax Margin % of 8.98% is near median its 10-year median of 9.34. Over the past 10 years, this metric has ranged from a low of 5.40 to a high of 11.53. The Software industry median Pretax Margin % is 3.51. Shift's value of 8.98% is 155.8% above this industry median. Based on the distribution chart, Shift ranks #949 out of 2823 companies in the Software industry, which is above the industry midpoint. Overall, Shift has a GF Score™ of 82/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shift's Pretax Margin % compare to UBER and SHOP?
According to the Software industry distribution chart, Shift ranks #949 out of 2823 companies for Pretax Margin %. This puts Shift in the upper half of its industry. The industry median Pretax Margin % is 3.51. Shift's value of 8.98% is 155.8% above this benchmark. Historically, Shift's own Pretax Margin % has ranged from 5.40 to 11.53 over the past decade. While the company's 10-year median is 9.34 vs. the industry median of 3.51, Shift 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 Software company?
The median Pretax Margin % among Software companies is 3.51, based on 2,823 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. Shift's current Pretax Margin % of 8.98% is 155.8% 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 Shift and its competitors. For the Software industry, the median Pretax Margin % is 3.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shift's current Pretax Margin % is 8.98%, which is near median its own 10-year median of 9.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shift stock overvalued right now?
Based on GuruFocus' analysis, Shift (FRA:7CZ) is currently considered Significantly Undervalued. The stock's GF Value™ is €8.70, compared to a current price of €3.30 — trading 62.1% below its estimated fair value. The current Pretax Margin % is 8.98%, which is near median its 10-year median of 9.34 and 155.8% above the Software industry median of 3.51. Shift's overall GF Score™ is 82/100 with 1 warning sign 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 Shift (FRA:7CZ), the current Pretax Margin % is 8.98% as of Feb. 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 Shift (FRA:7CZ) Overvalued in 2026?

Based on GuruFocus' analysis, Shift stock appears to be undervalued. The current stock price of €3.30 is trading 62.1% below its estimated GF Value™ of €8.70. GuruFocus considers Shift to be Significantly Undervalued.

Key valuation signals for FRA:7CZ:

  • Pretax Margin %: 8.98% (near median its 10-year median of 9.34)
  • GF Value™: €8.70 vs. price of €3.30 (62.1% below fair value)
  • GF Score™: 82/100 with 1 warning sign
  • Industry Position: 155.8% above the Software median (#949 of 2823)

No single metric tells the full story. See the FRA:7CZ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shift Business Description

Other Exchanges 3697:Japan
Address MASONIC 39 MT BUILDING, 2-4-5 Azabudai, Minato-ku, Tokyo, JPN, 106-0041
Shift Inc provides software testing services. The company's solutions include Test Design that takes into consideration of usability for the next project, and its seasoned test engineers provide support to test design such as building standard confirmation item. Test Run helps the customers to choose onsite or off-site implementation in accordance with the environment. MinTest is a website where people report bugs of social games and applications. It also provides other services such as CAT, Non-Functional Testing, Localization, and others related services.
82GF Score

Get the complete analysis for FRA:7CZ

Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€3.30
Price
€8.70
GF Value