Lancashire HoldingsFRA:LNH +0.67%79 Pretax Margin % is 17.74% as of Dec. 2025, which is 50% above its 10-year median of 11.83. GuruFocus rates FRA:LNH with a GF Score™ of 79/100 and a GF Value™ of €9.34 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 506 Insurance companies, Lancashire Holdings ranks better than 65.22% 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.
Lancashire Holdings Pretax Margin % Related Terms
Lancashire Holdings Pretax Margin % Historical Data
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The historical data trend for Lancashire Holdings'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.
FRA:LNH vs FNF, AXS, FAF: Pretax Margin % Comparison
For the Insurance - Specialty subindustry, Lancashire Holdings'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.
Lancashire Holdings Pretax Margin % vs Insurance Industry
For the Insurance industry and Financial Services sector, Lancashire Holdings's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Lancashire Holdings'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.
Lancashire Holdings (FRA:LNH) has a Pretax Margin % of 17.74% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Lancashire Holdings and its competitors. This is 50% above median its historical median of 11.83. According to the industry distribution chart, Lancashire Holdings ranks #176 out of 506 companies in the Insurance industry, placing it in the top 34.8%.
Is Lancashire Holdings' Pretax Margin % too high?
Lancashire Holdings' current Pretax Margin % of 17.74% is 50% above median its 10-year median of 11.83. The Insurance industry median Pretax Margin % is 12.02. Lancashire Holdings' value of 17.74% is 47.6% above this industry median. Based on the distribution chart, Lancashire Holdings ranks #176 out of 506 companies in the Insurance industry, which is above the industry midpoint. Overall, Lancashire Holdings has a GF Score™ of 79/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lancashire Holdings' Pretax Margin % compare to FNF and AXS?
According to the Insurance industry distribution chart, Lancashire Holdings ranks #176 out of 506 companies for Pretax Margin %. This puts Lancashire Holdings in the upper half of its industry. The industry median Pretax Margin % is 12.02. Lancashire Holdings' value of 17.74% is 47.6% above this benchmark. While the company's 10-year median is 11.83 vs. the industry median of 12.02, Lancashire Holdings 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 an Insurance company?
The median Pretax Margin % among Insurance companies is 12.02, based on 506 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. Lancashire Holdings's current Pretax Margin % of 17.74% is 47.6% 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 Lancashire Holdings and its competitors. For the Insurance industry, the median Pretax Margin % is 12.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lancashire Holdings's current Pretax Margin % is 17.74%, which is 50% above median its own 10-year median of 11.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lancashire Holdings stock overvalued right now?
Based on GuruFocus' analysis, Lancashire Holdings (FRA:LNH) is currently considered Modestly Undervalued. The stock's GF Value™ is €9.34, compared to a current price of €7.46 — trading 20.1% below its estimated fair value. The current Pretax Margin % is 17.74%, which is 50% above median its 10-year median of 11.83 and 47.6% above the Insurance industry median of 12.02. Lancashire Holdings' overall GF Score™ is 79/100 with 7 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 Lancashire Holdings (FRA:LNH), the current Pretax Margin % is 17.74% 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 Lancashire Holdings (FRA:LNH) Overvalued in 2026?
Based on GuruFocus' analysis, Lancashire Holdings stock appears to be undervalued.
The current stock price of €7.46 is trading 20.1% below its estimated GF Value™ of €9.34.
GuruFocus considers Lancashire Holdings to be Modestly Undervalued.
Key valuation signals for FRA:LNH:
Pretax Margin %: 17.74% (50% above median its 10-year median of 11.83)
GF Value™: €9.34 vs. price of €7.46 (20.1% below fair value)
Industry Position: 47.6% above the Insurance median (#176 of 506)
No single metric tells the full story. See the FRA:LNH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lancashire Holdings Ltd is a provider of specialty reinsurance products with operations in London, Bermuda, the United States, and Australia. The company has two principal segments: reinsurance and insurance. The company generates the majority of its revenue from the Insurance segment. The Group's reinsurance segment comprises property reinsurance, specialty reinsurance, and casualty reinsurance. The insurance segment is usually written on a direct or facultative basis and comprises aviation insurance, casualty insurance, energy and marine insurance, property insurance, and specialty insurance. Geographically, the company generates the majority of its revenue from the United States and Canada.
79GF Score
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