Digital Hearts Holdings Co (FRA:957) Pretax Margin %: -1.69% (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:957 Digital Hearts Holdings Co Ltd FRA:957
77 GF Score
Price €3.70
GF Value €4.89
! 3 Warning Signs
View Full Analysis

What is Digital Hearts Holdings Co Pretax Margin %?

Digital Hearts Holdings Co FRA:957 -0.54% 77 Pretax Margin % is -1.69% as of Mar. 2026. GuruFocus rates FRA:957 with a GF Score™ of 77/100 and a GF Value™ of €4.89. The stock has 3 warning signs investors should review. Among 2,830 Software companies, Digital Hearts Holdings Co ranks better than 53.5% on this metric.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Digital Hearts Holdings Co's Pre-Tax Income for the three months ended in Mar. 2026 was €-0.9 Mil. Digital Hearts Holdings Co's Revenue for the three months ended in Mar. 2026 was €53.6 Mil. Therefore, Digital Hearts Holdings Co's pretax margin for the quarter that ended in Mar. 2026 was -1.69%.

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

FRA:957' s Pretax Margin % Range Over the Past 10 Years
Min: 2.2   Med: 6.39   Max: 12.12
Current: 4.77


FRA:957's Pretax Margin % is ranked better than
53.5% of 2830 companies
in the Software industry
Industry Median: 3.59 vs FRA:957: 4.77

Digital Hearts Holdings Co  (FRA:957) 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.


Digital Hearts Holdings Co Pretax Margin % Related Terms


Digital Hearts Holdings Co Pretax Margin % Historical Data

* Premium members only.

The historical data trend for Digital Hearts Holdings Co'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.

Digital Hearts Holdings Co Pretax Margin % Chart

Digital Hearts Holdings Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Pretax Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.41 5.47 2.20 4.14 4.77

Digital Hearts Holdings Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 -7.39 7.53 4.27 9.03 -1.69

FRA:957 vs IBM, ACN, FISV: Pretax Margin % Comparison

For the Information Technology Services subindustry, Digital Hearts Holdings Co'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.


Digital Hearts Holdings Co Pretax Margin % vs Software Industry

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

* The bar in red indicates where Digital Hearts Holdings Co's Pretax Margin % falls into.


FRA:957
77GF Score
Digital Hearts Holdings Co Ltd FRA:957
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Digital Hearts Holdings Co 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.

Digital Hearts Holdings Co's Pretax Margin for the fiscal year that ended in Mar. 2026 is calculated as

Pretax Margin=Pre-Tax Income (A: Mar. 2026 )/Revenue (A: Mar. 2026 )
=10.121/212.206
=4.77 %

Digital Hearts Holdings Co's Pretax Margin for the quarter that ended in Mar. 2026 is calculated as

Pretax Margin=Pre-Tax Income (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=-0.905/53.646
=-1.69 %

* 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 -1.69% mean?
Digital Hearts Holdings Co (FRA:957) has a Pretax Margin % of -1.69% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Digital Hearts Holdings Co and its competitors. Over the past decade, Digital Hearts Holdings Co's Pretax Margin % has ranged from 2.20 to 12.12. According to the industry distribution chart, Digital Hearts Holdings Co ranks #1316 out of 2830 companies in the Software industry, placing it in the top 46.5%.
Is Digital Hearts Holdings Co's Pretax Margin % too high?
Digital Hearts Holdings Co's current Pretax Margin % is -1.69%. Over the past 10 years, this metric has ranged from a low of 2.20 to a high of 12.12. Based on the distribution chart, Digital Hearts Holdings Co ranks #1316 out of 2830 companies in the Software industry, which is above the industry midpoint. Overall, Digital Hearts Holdings Co has a GF Score™ of 77/100, reflecting its overall financial health beyond just this single metric.
How does Digital Hearts Holdings Co's Pretax Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Digital Hearts Holdings Co ranks #1316 out of 2830 companies for Pretax Margin %. This puts Digital Hearts Holdings Co in the upper half of its industry. The industry median Pretax Margin % is 3.59. Historically, Digital Hearts Holdings Co's own Pretax Margin % has ranged from 2.20 to 12.12 over the past decade. 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 3.59, based on 2,830 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. 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 Digital Hearts Holdings Co and its competitors. For the Software industry, the median Pretax Margin % is 3.59 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Digital Hearts Holdings Co's current Pretax Margin % is -1.69%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Digital Hearts Holdings Co stock overvalued right now?
Digital Hearts Holdings Co (FRA:957) has a current Pretax Margin % of -1.69%. The stock's GF Value™ is €4.89, compared to a current price of €3.70 — trading 24.3% below its estimated fair value. The current Pretax Margin % is -1.69%. Digital Hearts Holdings Co's overall GF Score™ is 77/100 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 Digital Hearts Holdings Co (FRA:957), the current Pretax Margin % is -1.69% 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 Digital Hearts Holdings Co (FRA:957) Overvalued in 2026?

Based on GuruFocus' analysis, Digital Hearts Holdings Co stock appears to be undervalued. The current stock price of €3.70 is trading 24.3% below its estimated GF Value™ of €4.89.

Key valuation signals for FRA:957:

  • Pretax Margin %: -1.69%
  • GF Value™: €4.89 vs. price of €3.70 (24.3% below fair value)
  • GF Score™: 77/100 with 3 warning signs

No single metric tells the full story. See the FRA:957 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Digital Hearts Holdings Co Business Description

Other Exchanges 3676:Japan
Address 41st Floor, Tokyo Opera City Building, 3-20-2 Nishi-shinjuku, Shinjuku-ku, Tokyo, JPN, 163-1441
Digital Hearts Holdings Co Ltd is a Japan-based company engaged in Entertainment Business and Enterprise Business. Its Entertainment business is involved in Debugging Business, Media Business and Creative Business. Its Enterprise Business is involved in Testing and Monitoring, Security and System Development.
77GF Score

Get the complete analysis for FRA:957

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

€3.70
Price
€4.89
GF Value