Union PacificLTS:0R2E 89 Pretax Margin % is 35.85% as of Mar. 2026, which is 0% above its 10-year median of 35.83. GuruFocus rates LTS:0R2E with a GF Score™ of 89/100 and a GF Value™ of $244.63 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 997 Transportation companies, Union Pacific ranks better than 92.78% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Union Pacific's Pre-Tax Income for the
three
months ended in Mar. 2026 was $2,229 Mil. Union Pacific's Revenue for the
three
months ended in Mar. 2026 was $6,217 Mil. Therefore, Union Pacific's pretax margin for the quarter that ended in Mar. 2026 was 35.85%.
The historical rank and industry rank for Union Pacific's Pretax Margin % or its related term are showing as below:
LTS:0R2E'
s Pretax Margin % Range Over the Past 10 Years
Min: 33.9 Med: 35.83 Max: 38.88
Current: 37.52
LTS:0R2E's Pretax Margin % is ranked better than 92.78% of 997
companies
in the Transportation industry
Industry Median: 6.77
vs LTS:0R2E: 37.52
Union Pacific (LTS:0R2E) 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.
Union Pacific Pretax Margin % Related Terms
Union Pacific Pretax Margin % Historical Data
* Premium members only.
The historical data trend for Union Pacific'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.
LTS:0R2E vs CSX, NSC, WAB: Pretax Margin % Comparison
For the Railroads subindustry, Union Pacific'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.
Union Pacific Pretax Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, Union Pacific's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Union Pacific'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.
Union Pacific (LTS:0R2E) has a Pretax Margin % of 35.85% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Union Pacific and its competitors. This is near median its historical median of 35.83. Over the past decade, Union Pacific's Pretax Margin % has ranged from 33.90 to 38.88. According to the industry distribution chart, Union Pacific ranks #72 out of 997 companies in the Transportation industry, placing it in the top 7.2%.
Is Union Pacific's Pretax Margin % too high?
Union Pacific's current Pretax Margin % of 35.85% is near median its 10-year median of 35.83. Over the past 10 years, this metric has ranged from a low of 33.90 to a high of 38.88. The Transportation industry median Pretax Margin % is 6.77. Union Pacific's value of 35.85% is 429.5% above this industry median. Based on the distribution chart, Union Pacific ranks #72 out of 997 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, Union Pacific has a GF Score™ of 89/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Union Pacific's Pretax Margin % compare to CSX and NSC?
According to the Transportation industry distribution chart, Union Pacific ranks #72 out of 997 companies for Pretax Margin %. This places Union Pacific in the top 7% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 6.77. Union Pacific's value of 35.85% is 429.5% above this benchmark. Historically, Union Pacific's own Pretax Margin % has ranged from 33.90 to 38.88 over the past decade. While the company's 10-year median is 35.83 vs. the industry median of 6.77, Union Pacific 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 Transportation company?
The median Pretax Margin % among Transportation companies is 6.77, based on 997 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. Union Pacific's current Pretax Margin % of 35.85% is 429.5% 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 Union Pacific and its competitors. For the Transportation industry, the median Pretax Margin % is 6.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Union Pacific's current Pretax Margin % is 35.85%, which is near median its own 10-year median of 35.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Union Pacific stock overvalued right now?
Based on GuruFocus' analysis, Union Pacific (LTS:0R2E) is currently considered Modestly Overvalued. The stock's GF Value™ is $244.63, compared to a current price of $280.25 — trading 14.6% above its estimated fair value. The current Pretax Margin % is 35.85%, which is near median its 10-year median of 35.83 and 429.5% above the Transportation industry median of 6.77. Union Pacific's overall GF Score™ is 89/100 with 5 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 Union Pacific (LTS:0R2E), the current Pretax Margin % is 35.85% 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 Union Pacific (LTS:0R2E) Overvalued in 2026?
Based on GuruFocus' analysis, Union Pacific stock appears to be overvalued.
The current stock price of $280.25 is trading 14.6% above its estimated GF Value™ of $244.63.
GuruFocus considers Union Pacific to be Modestly Overvalued.
Key valuation signals for LTS:0R2E:
Pretax Margin %: 35.85% (near median its 10-year median of 35.83)
GF Value™: $244.63 vs. price of $280.25 (14.6% above fair value)
Industry Position: 429.5% above the Transportation median (#72 of 997)
No single metric tells the full story. See the LTS:0R2E stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Omaha, Nebraska-based Union Pacific is the largest public railroad in North America. Operating on more than 30,000 miles of track in the western two-thirds of the US, Union Pacific generated $24.5 billion of revenue in 2025 by hauling coal, industrial products, intermodal containers, agricultural goods, chemicals, fertilizers, and automotive goods. Union Pacific owns about one-fourth of Mexican railroad Ferromex and historically derives roughly 10% of its revenue hauling freight to and from Mexico.
89GF Score
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