Legend HoldingsLGNRF 78 Pretax Margin % is 2.42% as of Dec. 2025, which is 5% below its 10-year median of 2.56. GuruFocus rates LGNRF with a GF Score™ of 78/100 and a GF Value™ of $0.79. The stock has 7 warning signs investors should review. Among 2,472 Hardware companies, Legend Holdings ranks worse than 57.08% 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.
Legend Holdings Pretax Margin % Related Terms
Legend Holdings Pretax Margin % Historical Data
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The historical data trend for Legend 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.
LGNRF vs DELL, SNDK, ANET: Pretax Margin % Comparison
For the Computer Hardware subindustry, Legend 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.
Legend Holdings Pretax Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Legend Holdings's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Legend 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.
Legend Holdings (LGNRF) has a Pretax Margin % of 2.42% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Legend Holdings and its competitors. This is near median its historical median of 2.56. Over the past decade, Legend Holdings' Pretax Margin % has ranged from 0.55 to 4.50. According to the industry distribution chart, Legend Holdings ranks #1411 out of 2472 companies in the Hardware industry, placing it in the top 57.1%.
Is Legend Holdings' Pretax Margin % too high?
Legend Holdings' current Pretax Margin % of 2.42% is near median its 10-year median of 2.56. Over the past 10 years, this metric has ranged from a low of 0.55 to a high of 4.50. The Hardware industry median Pretax Margin % is 3.58. Legend Holdings' value of 2.42% is 32.3% below this industry median. Based on the distribution chart, Legend Holdings ranks #1411 out of 2472 companies in the Hardware industry, which is below the industry midpoint. Overall, Legend Holdings has a GF Score™ of 78/100, reflecting its overall financial health beyond just this single metric.
How does Legend Holdings' Pretax Margin % compare to DELL and SNDK?
According to the Hardware industry distribution chart, Legend Holdings ranks #1411 out of 2472 companies for Pretax Margin %. This places Legend Holdings in the lower half of its industry. The industry median Pretax Margin % is 3.58. Legend Holdings' value of 2.42% is 32.3% below this benchmark. Historically, Legend Holdings' own Pretax Margin % has ranged from 0.55 to 4.50 over the past decade. While the company's 10-year median is 2.56 vs. the industry median of 3.58, Legend Holdings 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 a Hardware company?
The median Pretax Margin % among Hardware companies is 3.58, based on 2,472 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. Legend Holdings's current Pretax Margin % of 2.42% is 32.3% 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 Legend Holdings and its competitors. For the Hardware industry, the median Pretax Margin % is 3.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Legend Holdings's current Pretax Margin % is 2.42%, which is near median its own 10-year median of 2.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Legend Holdings stock overvalued right now?
Legend Holdings (LGNRF) has a current Pretax Margin % of 2.42%. The stock's GF Value™ is $0.79, compared to a current price of $1.13 — trading 43% above its estimated fair value. The current Pretax Margin % is 2.42%, which is near median its 10-year median of 2.56 and 32.3% below the Hardware industry median of 3.58. Legend Holdings' overall GF Score™ is 78/100 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 Legend Holdings (LGNRF), the current Pretax Margin % is 2.42% 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 Legend Holdings (LGNRF) Overvalued in 2026?
Based on GuruFocus' analysis, Legend Holdings stock appears to be overvalued.
The current stock price of $1.13 is trading 43% above its estimated GF Value™ of $0.79.
Key valuation signals for LGNRF:
Pretax Margin %: 2.42% (near median its 10-year median of 2.56)
GF Value™: $0.79 vs. price of $1.13 (43% above fair value)
Industry Position: 32.3% below the Hardware median (#1411 of 2472)
No single metric tells the full story. See the LGNRF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Legend Holdings Ltd is a diversified industrial and investment group in China. It operates businesses through two segments: diversified industries operation, and industrial incubations and investments. The Industrial operations segment includes Lenovo, which is engaged in providing intelligent devices and infrastructure, and creates intelligent solutions, services and software; Levima Group, which is engaged in the research and development, production and sales of material products; Joyvio Group, which operates mainly to engaged in modern agriculture and food related business; and BIL, which mainly offers integrated banking services, including corporate and institutional banking, retail banking, private banking, capital markets, etc. It derives the majority of its revenue from Lenovo.
78GF Score
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