Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. ALLETE's Pre-Tax Income for the
three
months ended in Sep. 2025 was €13 Mil. ALLETE's Revenue for the
three
months ended in Sep. 2025 was €320 Mil. Therefore, ALLETE's pretax margin for the quarter that ended in Sep. 2025 was 3.97%.
The historical rank and industry rank for ALLETE's Pretax Margin % or its related term are showing as below:
FRA:AEBA'
s Pretax Margin % Range Over the Past 10 Years
Min: 6.12 Med: 10.79 Max: 14.42
Current: 6.12
FRA:AEBA's Pretax Margin % is not ranked
in the Utilities - Regulated industry.
Industry Median: 12.07
vs FRA:AEBA: 6.12
ALLETE (FRA:AEBA) 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.
ALLETE Pretax Margin % Related Terms
ALLETE Pretax Margin % Historical Data
* Premium members only.
The historical data trend for ALLETE'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.
For the Utilities - Diversified subindustry, ALLETE'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.
ALLETE Pretax Margin % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, ALLETE's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where ALLETE'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.
ALLETE (FRA:AEBA) has a Pretax Margin % of 3.97% as of Sep. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on ALLETE and its competitors. This is 63% below median its historical median of 10.79. Over the past decade, ALLETE's Pretax Margin % has ranged from 6.12 to 14.42.
Is ALLETE's Pretax Margin % too high?
ALLETE's current Pretax Margin % of 3.97% is 63% below median its 10-year median of 10.79. Over the past 10 years, this metric has ranged from a low of 6.12 to a high of 14.42. The Utilities - Regulated industry median Pretax Margin % is 12.07. ALLETE's value of 3.97% is 67.1% below this industry median. Overall, ALLETE has a GF Score™ of 26/100, reflecting its overall financial health beyond just this single metric.
How does ALLETE's Pretax Margin % compare to SRE and AES?
ALLETE's Pretax Margin % of 3.97% can be compared against companies in the Utilities - Regulated industry. The industry median Pretax Margin % is 12.07. ALLETE's value of 3.97% is 67.1% below this benchmark. Historically, ALLETE's own Pretax Margin % has ranged from 6.12 to 14.42 over the past decade. While the company's 10-year median is 10.79 vs. the industry median of 12.07, ALLETE has consistently been below 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 Utilities - Regulated company?
The median Pretax Margin % among Utilities - Regulated companies is 12.07, based on 503 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. ALLETE's current Pretax Margin % of 3.97% is 67.1% below 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 ALLETE and its competitors. For the Utilities - Regulated industry, the median Pretax Margin % is 12.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ALLETE's current Pretax Margin % is 3.97%, which is 63% below median its own 10-year median of 10.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ALLETE stock overvalued right now?
ALLETE (FRA:AEBA) has a current Pretax Margin % of 3.97%. The stock's GF Value™ is €51.55, compared to a current price of €57.50 — trading 11.5% above its estimated fair value. The current Pretax Margin % is 3.97%, which is 63% below median its 10-year median of 10.79 and 67.1% below the Utilities - Regulated industry median of 12.07. ALLETE's overall GF Score™ is 26/100 with 11 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 ALLETE (FRA:AEBA), the current Pretax Margin % is 3.97% as of Sep. 2025. 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 ALLETE (FRA:AEBA) Overvalued in 2026?
Based on GuruFocus' analysis, ALLETE stock appears to be overvalued.
The current stock price of €57.50 is trading 11.5% above its estimated GF Value™ of €51.55.
Key valuation signals for FRA:AEBA:
Pretax Margin %: 3.97% (63% below median its 10-year median of 10.79)
GF Value™: €51.55 vs. price of €57.50 (11.5% above fair value)
Industry Position: 67.1% below the Utilities - Regulated median
No single metric tells the full story. See the FRA:AEBA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ALLETE Inc provides competitively-priced energy in America's Upper Midwest region and invests in transmission infrastructure and other energy-centric businesses. The company has two reportable segments. The first segment is Regulated Operations, which includes the company's regulated utilities, Minnesota Power and SWL&P, as well as its investment in ATC. ATC is a regulated utility based in Wisconsin that owns and maintains electric transmission assets in parts of Wisconsin, Michigan, Minnesota, and Illinois. The second segment is ALLETE Clean Energy, which focuses on developing, acquiring, and operating clean and renewable energy projects.
26GF Score
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