The Hongkong and Shanghai HotelsFRA:HSG -0.88%48 Pretax Margin % is 14.90% as of Dec. 2025, which is 205% above its 10-year median of 4.89. GuruFocus rates FRA:HSG with a GF Score™ of 48/100 and a GF Value™ of €0.63 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 842 Travel & Leisure companies, The Hongkong and Shanghai Hotels ranks better than 50.12% on this metric.
The historical rank and industry rank for The Hongkong and Shanghai Hotels's Pretax Margin % or its related term are showing as below:
FRA:HSG'
s Pretax Margin % Range Over the Past 10 Years
Min: -71.92 Med: 4.89 Max: 22.83
Current: 6.24
FRA:HSG's Pretax Margin % is ranked better than 50.12% of 842
companies
in the Travel & Leisure industry
Industry Median: 6.155
vs FRA:HSG: 6.24
The Hongkong and Shanghai Hotels (FRA:HSG) 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.
The Hongkong and Shanghai Hotels Pretax Margin % Related Terms
The Hongkong and Shanghai Hotels 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.
The Hongkong and Shanghai Hotels Pretax Margin % Chart
FRA:HSG vs MAR, HLT, H: Pretax Margin % Comparison
For the Lodging subindustry, The Hongkong and Shanghai Hotels'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.
The Hongkong and Shanghai Hotels Pretax Margin % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, The Hongkong and Shanghai Hotels's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where The Hongkong and Shanghai Hotels'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.
The Hongkong and Shanghai Hotels (FRA:HSG) has a Pretax Margin % of 14.90% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on The Hongkong and Shanghai Hotels and its competitors. This is 205% above median its historical median of 4.89. According to the industry distribution chart, The Hongkong and Shanghai Hotels ranks #420 out of 842 companies in the Travel & Leisure industry, placing it in the top 49.9%.
Is The Hongkong and Shanghai Hotels' Pretax Margin % too high?
The Hongkong and Shanghai Hotels' current Pretax Margin % of 14.90% is 205% above median its 10-year median of 4.89. The Travel & Leisure industry median Pretax Margin % is 6.16. The Hongkong and Shanghai Hotels' value of 14.90% is 142.1% above this industry median. Based on the distribution chart, The Hongkong and Shanghai Hotels ranks #420 out of 842 companies in the Travel & Leisure industry, which is above the industry midpoint. Overall, The Hongkong and Shanghai Hotels has a GF Score™ of 48/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does The Hongkong and Shanghai Hotels' Pretax Margin % compare to MAR and HLT?
According to the Travel & Leisure industry distribution chart, The Hongkong and Shanghai Hotels ranks #420 out of 842 companies for Pretax Margin %. This puts The Hongkong and Shanghai Hotels in the upper half of its industry. The industry median Pretax Margin % is 6.16. The Hongkong and Shanghai Hotels' value of 14.90% is 142.1% above this benchmark. While the company's 10-year median is 4.89 vs. the industry median of 6.16, The Hongkong and Shanghai Hotels 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 6.16, based on 842 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. The Hongkong and Shanghai Hotels's current Pretax Margin % of 14.90% is 142.1% 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 The Hongkong and Shanghai Hotels and its competitors. For the Travel & Leisure industry, the median Pretax Margin % is 6.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Hongkong and Shanghai Hotels's current Pretax Margin % is 14.90%, which is 205% above median its own 10-year median of 4.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Hongkong and Shanghai Hotels stock overvalued right now?
Based on GuruFocus' analysis, The Hongkong and Shanghai Hotels (FRA:HSG) is currently considered Modestly Undervalued. The stock's GF Value™ is €0.63, compared to a current price of €0.56 — trading 11.1% below its estimated fair value. The current Pretax Margin % is 14.90%, which is 205% above median its 10-year median of 4.89 and 142.1% above the Travel & Leisure industry median of 6.16. The Hongkong and Shanghai Hotels' overall GF Score™ is 48/100 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 The Hongkong and Shanghai Hotels (FRA:HSG), the current Pretax Margin % is 14.90% as of Dec. 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 The Hongkong and Shanghai Hotels (FRA:HSG) Overvalued in 2026?
Based on GuruFocus' analysis, The Hongkong and Shanghai Hotels stock appears to be undervalued.
The current stock price of €0.56 is trading 11.1% below its estimated GF Value™ of €0.63.
GuruFocus considers The Hongkong and Shanghai Hotels to be Modestly Undervalued.
Key valuation signals for FRA:HSG:
Pretax Margin %: 14.90% (205% above median its 10-year median of 4.89)
GF Value™: €0.63 vs. price of €0.56 (11.1% below fair value)
Industry Position: 142.1% above the Travel & Leisure median (#420 of 842)
No single metric tells the full story. See the FRA:HSG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Hongkong and Shanghai Hotels Business Description
The Hongkong and Shanghai Hotels Ltd is a luxury hospitality and real estate group. It owns and operates hotel properties under the Peninsula brand located in city centres across Asia, the U.S., and Europe. The company's assets comprise a small number of ultra-luxury hotels, real estate assets, and tourism assets, including The Peak Tram, one of Hong Kong's tourist attractions. The group's reportable segments are: Hotels, Commercial Properties, Peak Tram, Retail, and Others. Maximum revenue is generated from its Hotels segment, which includes revenue generated from operating hotels, leasing of commercial shopping arcades, and office premises located within the hotel buildings. Geographically, the group generates the majority of its revenue from Greater China.
48GF Score
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Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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