Target Healthcare REITLSE:THRL +0.37%32 Pretax Margin % is 97.32% as of Dec. 2025, which is 8% above its 10-year median of 89.81. GuruFocus rates LSE:THRL with a GF Score™ of 32/100 and a GF Value™ of £0.88 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 932 REITs companies, Target Healthcare REIT ranks better than 79.4% 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.
Target Healthcare REIT Pretax Margin % Related Terms
Target Healthcare REIT Pretax Margin % Historical Data
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The historical data trend for Target Healthcare REIT'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:THRL vs WELL, VTR, OHI: Pretax Margin % Comparison
For the REIT - Healthcare Facilities subindustry, Target Healthcare REIT'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.
Target Healthcare REIT Pretax Margin % vs REITs Industry
For the REITs industry and Real Estate sector, Target Healthcare REIT's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Target Healthcare REIT'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.
Target Healthcare REIT (LSE:THRL) has a Pretax Margin % of 97.32% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Target Healthcare REIT and its competitors. This is near median its historical median of 89.81. Over the past decade, Target Healthcare REIT's Pretax Margin % has ranged from 83.55 to 338.59. According to the industry distribution chart, Target Healthcare REIT ranks #192 out of 932 companies in the REITs industry, placing it in the top 20.6%.
Is Target Healthcare REIT's Pretax Margin % too high?
Target Healthcare REIT's current Pretax Margin % of 97.32% is near median its 10-year median of 89.81. Over the past 10 years, this metric has ranged from a low of 83.55 to a high of 338.59. The REITs industry median Pretax Margin % is 46.82. Target Healthcare REIT's value of 97.32% is 107.9% above this industry median. Based on the distribution chart, Target Healthcare REIT ranks #192 out of 932 companies in the REITs industry, which is in the top quartile — a strong position relative to peers. Overall, Target Healthcare REIT has a GF Score™ of 32/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Target Healthcare REIT's Pretax Margin % compare to WELL and VTR?
According to the REITs industry distribution chart, Target Healthcare REIT ranks #192 out of 932 companies for Pretax Margin %. This places Target Healthcare REIT in the top 21% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 46.82. Target Healthcare REIT's value of 97.32% is 107.9% above this benchmark. Historically, Target Healthcare REIT's own Pretax Margin % has ranged from 83.55 to 338.59 over the past decade. While the company's 10-year median is 89.81 vs. the industry median of 46.82, Target Healthcare REIT 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 REITs company?
The median Pretax Margin % among REITs companies is 46.82, based on 932 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. Target Healthcare REIT's current Pretax Margin % of 97.32% is 107.9% 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 Target Healthcare REIT and its competitors. For the REITs industry, the median Pretax Margin % is 46.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Target Healthcare REIT's current Pretax Margin % is 97.32%, which is near median its own 10-year median of 89.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Target Healthcare REIT stock overvalued right now?
Based on GuruFocus' analysis, Target Healthcare REIT (LSE:THRL) is currently considered Modestly Overvalued. The stock's GF Value™ is £0.88, compared to a current price of £1.08 — trading 23% above its estimated fair value. The current Pretax Margin % is 97.32%, which is near median its 10-year median of 89.81 and 107.9% above the REITs industry median of 46.82. Target Healthcare REIT's overall GF Score™ is 32/100 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 Target Healthcare REIT (LSE:THRL), the current Pretax Margin % is 97.32% 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 Target Healthcare REIT (LSE:THRL) Overvalued in 2026?
Based on GuruFocus' analysis, Target Healthcare REIT stock appears to be overvalued.
The current stock price of £1.08 is trading 23% above its estimated GF Value™ of £0.88.
GuruFocus considers Target Healthcare REIT to be Modestly Overvalued.
Key valuation signals for LSE:THRL:
Pretax Margin %: 97.32% (near median its 10-year median of 89.81)
GF Value™: £0.88 vs. price of £1.08 (23% above fair value)
Industry Position: 107.9% above the REITs median (#192 of 932)
No single metric tells the full story. See the LSE:THRL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Target Healthcare REIT PLC is an investment company that acts as a long-term investor in care homes in the United Kingdom. The investment objective of the company is to provide shareholders with an attractive level of income together with the potential for capital and income growth from investing in a diversified portfolio of freehold and long-leasehold care homes, which are let to care home operators, and other healthcare assets in the United Kingdom.
32GF Score
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