Novonesis (Novozymes) BFRA:NZM2 +0.60%90 Pretax Margin % is 22.95% as of Mar. 2026, which is 12% below its 10-year median of 26.11. GuruFocus rates FRA:NZM2 with a GF Score™ of 90/100 and a GF Value™ of €56.55 (Fairly Valued). The stock has 6 warning signs investors should review. Among 1,574 Chemicals companies, Novonesis (Novozymes) B ranks better than 87.17% on this metric.
The historical rank and industry rank for Novonesis (Novozymes) B's Pretax Margin % or its related term are showing as below:
FRA:NZM2'
s Pretax Margin % Range Over the Past 10 Years
Min: 10.88 Med: 26.11 Max: 27.44
Current: 18
FRA:NZM2's Pretax Margin % is ranked better than 87.17% of 1574
companies
in the Chemicals industry
Industry Median: 5.34
vs FRA:NZM2: 18.00
Novonesis (Novozymes) B (FRA:NZM2) 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.
Novonesis (Novozymes) B Pretax Margin % Related Terms
Novonesis (Novozymes) B 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.
FRA:NZM2 vs LIN, SHW, ECL: Pretax Margin % Comparison
For the Specialty Chemicals subindustry, Novonesis (Novozymes) B'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.
Novonesis (Novozymes) B Pretax Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Novonesis (Novozymes) B's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Novonesis (Novozymes) B'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.
Novonesis (Novozymes) B (FRA:NZM2) has a Pretax Margin % of 22.95% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Novonesis (Novozymes) B and its competitors. This is 12% below median its historical median of 26.11. Over the past decade, Novonesis (Novozymes) B's Pretax Margin % has ranged from 10.88 to 27.44. According to the industry distribution chart, Novonesis (Novozymes) B ranks #202 out of 1574 companies in the Chemicals industry, placing it in the top 12.8%.
Is Novonesis (Novozymes) B's Pretax Margin % too high?
Novonesis (Novozymes) B's current Pretax Margin % of 22.95% is 12% below median its 10-year median of 26.11. Over the past 10 years, this metric has ranged from a low of 10.88 to a high of 27.44. The Chemicals industry median Pretax Margin % is 5.34. Novonesis (Novozymes) B's value of 22.95% is 329.8% above this industry median. Based on the distribution chart, Novonesis (Novozymes) B ranks #202 out of 1574 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Novonesis (Novozymes) B has a GF Score™ of 90/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Novonesis (Novozymes) B's Pretax Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Novonesis (Novozymes) B ranks #202 out of 1574 companies for Pretax Margin %. This places Novonesis (Novozymes) B in the top 13% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 5.34. Novonesis (Novozymes) B's value of 22.95% is 329.8% above this benchmark. Historically, Novonesis (Novozymes) B's own Pretax Margin % has ranged from 10.88 to 27.44 over the past decade. While the company's 10-year median is 26.11 vs. the industry median of 5.34, Novonesis (Novozymes) B 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 Chemicals company?
The median Pretax Margin % among Chemicals companies is 5.34, based on 1,574 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. Novonesis (Novozymes) B's current Pretax Margin % of 22.95% is 329.8% 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 Novonesis (Novozymes) B and its competitors. For the Chemicals industry, the median Pretax Margin % is 5.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Novonesis (Novozymes) B's current Pretax Margin % is 22.95%, which is 12% below median its own 10-year median of 26.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Novonesis (Novozymes) B stock overvalued right now?
Based on GuruFocus' analysis, Novonesis (Novozymes) B (FRA:NZM2) is currently considered Fairly Valued. The stock's GF Value™ is €56.55, compared to a current price of €56.72 — trading 0.3% above its estimated fair value. The current Pretax Margin % is 22.95%, which is 12% below median its 10-year median of 26.11 and 329.8% above the Chemicals industry median of 5.34. Novonesis (Novozymes) B's overall GF Score™ is 90/100 with 6 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 Novonesis (Novozymes) B (FRA:NZM2), the current Pretax Margin % is 22.95% 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 Novonesis (Novozymes) B (FRA:NZM2) Overvalued in 2026?
Based on GuruFocus' analysis, Novonesis (Novozymes) B stock appears to be overvalued.
The current stock price of €56.72 is trading 0.3% above its estimated GF Value™ of €56.55.
GuruFocus considers Novonesis (Novozymes) B to be Fairly Valued.
Key valuation signals for FRA:NZM2:
Pretax Margin %: 22.95% (12% below median its 10-year median of 26.11)
GF Value™: €56.55 vs. price of €56.72 (0.3% above fair value)
Industry Position: 329.8% above the Chemicals median (#202 of 1574)
No single metric tells the full story. See the FRA:NZM2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Novonesis was formed in 2024 through the merger of Novozymes and Chr. Hansen. Following the merger, the company became the world leader in industrial enzymes and microbial solutions, with a nearly 50% market share in both. The firm supplies a wide range of industry groups: household care, food and beverages, bioenergy, agriculture and feed, technical and pharmaceuticals. Its biological solutions create value for its customers by improving yield efficiency and performance, while saving energy and generating less waste. The company is headquartered in Denmark, employs more than 11,000 people, and works across more than 30 research and development and application centers and 23 manufacturing sites.
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