Severn TrentLSE:SVT -0.07%80 Pretax Margin % is 15.51% as of Mar. 2026, which is 1% below its 10-year median of 15.74. GuruFocus rates LSE:SVT with a GF Score™ of 80/100 and a GF Value™ of £30.00 (Fairly Valued). The stock has 7 warning signs investors should review. Among 501 Utilities - Regulated companies, Severn Trent ranks better than 72.26% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Severn Trent's Pre-Tax Income for the
six
months ended in Mar. 2026 was £216 Mil. Severn Trent's Revenue for the
six
months ended in Mar. 2026 was £1,394 Mil. Therefore, Severn Trent's pretax margin for the quarter that ended in Mar. 2026 was 15.51%.
The historical rank and industry rank for Severn Trent's Pretax Margin % or its related term are showing as below:
LSE:SVT'
s Pretax Margin % Range Over the Past 10 Years
Min: 7.75 Med: 15.74 Max: 21.77
Current: 18.51
LSE:SVT's Pretax Margin % is ranked better than 72.26% of 501
companies
in the Utilities - Regulated industry
Industry Median: 12.12
vs LSE:SVT: 18.51
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.
Severn Trent Pretax Margin % Related Terms
Severn Trent Pretax Margin % Historical Data
* Premium members only.
The historical data trend for Severn Trent'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.
LSE:SVT vs AWK, WTRG, AWR: Pretax Margin % Comparison
For the Utilities - Regulated Water subindustry, Severn Trent'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.
Severn Trent Pretax Margin % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, Severn Trent's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Severn Trent'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.
Severn Trent (LSE:SVT) has a Pretax Margin % of 15.51% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Severn Trent and its competitors. This is near median its historical median of 15.74. Over the past decade, Severn Trent's Pretax Margin % has ranged from 7.75 to 21.77. According to the industry distribution chart, Severn Trent ranks #139 out of 501 companies in the Utilities - Regulated industry, placing it in the top 27.7%.
Is Severn Trent's Pretax Margin % too high?
Severn Trent's current Pretax Margin % of 15.51% is near median its 10-year median of 15.74. Over the past 10 years, this metric has ranged from a low of 7.75 to a high of 21.77. The Utilities - Regulated industry median Pretax Margin % is 12.12. Severn Trent's value of 15.51% is 28% above this industry median. Based on the distribution chart, Severn Trent ranks #139 out of 501 companies in the Utilities - Regulated industry, which is above the industry midpoint. Overall, Severn Trent has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Severn Trent's Pretax Margin % compare to AWK and WTRG?
According to the Utilities - Regulated industry distribution chart, Severn Trent ranks #139 out of 501 companies for Pretax Margin %. This puts Severn Trent in the upper half of its industry. The industry median Pretax Margin % is 12.12. Severn Trent's value of 15.51% is 28% above this benchmark. Historically, Severn Trent's own Pretax Margin % has ranged from 7.75 to 21.77 over the past decade. While the company's 10-year median is 15.74 vs. the industry median of 12.12, Severn Trent 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 Utilities - Regulated company?
The median Pretax Margin % among Utilities - Regulated companies is 12.12, based on 501 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. Severn Trent's current Pretax Margin % of 15.51% is 28% 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 Severn Trent and its competitors. For the Utilities - Regulated industry, the median Pretax Margin % is 12.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Severn Trent's current Pretax Margin % is 15.51%, which is near median its own 10-year median of 15.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Severn Trent stock overvalued right now?
Based on GuruFocus' analysis, Severn Trent (LSE:SVT) is currently considered Fairly Valued. The stock's GF Value™ is £30.00, compared to a current price of £29.56 — trading 1.5% below its estimated fair value. The current Pretax Margin % is 15.51%, which is near median its 10-year median of 15.74 and 28% above the Utilities - Regulated industry median of 12.12. Severn Trent's overall GF Score™ is 80/100 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 Severn Trent (LSE:SVT), the current Pretax Margin % is 15.51% 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 Severn Trent (LSE:SVT) Overvalued in 2026?
Based on GuruFocus' analysis, Severn Trent stock appears to be undervalued.
The current stock price of £29.56 is trading 1.5% below its estimated GF Value™ of £30.00.
GuruFocus considers Severn Trent to be Fairly Valued.
Key valuation signals for LSE:SVT:
Pretax Margin %: 15.51% (near median its 10-year median of 15.74)
GF Value™: £30.00 vs. price of £29.56 (1.5% below fair value)
Industry Position: 28% above the Utilities - Regulated median (#139 of 501)
No single metric tells the full story. See the LSE:SVT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Severn Trent PLC is a United Kingdom-based water utilities company. It mainly operates in the U.K., but also in the United States and other countries in Europe. The company derives the majority of its revenue from its regulated water and wastewater segment, which supplies water and conducts sewage and environmental services. The company also operates a business services segment that is involved with renewable energy operations. The company provides contract services to industrial and municipal clients to develop water treatment facilities and networks. The firm generates its renewable energy by using hydropower, wind power, and solar power.
80GF Score
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