Meridian EnergyMDDNF 71 Pretax Margin % is 15.93% as of Dec. 2025, which is 40% above its 10-year median of 11.41. GuruFocus rates MDDNF with a GF Score™ of 71/100 and a GF Value™ of $3.48 (Fairly Valued). The stock has 6 warning signs investors should review. Among 422 Utilities - Independent Power Producers companies, Meridian Energy ranks worse than 72.75% on this metric.
Meridian Energy (OTCPK:MDDNF) 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.
Meridian Energy Pretax Margin % Related Terms
Meridian Energy Pretax Margin % Historical Data
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The historical data trend for Meridian Energy'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.
Meridian Energy Pretax Margin % Competitor Comparison
For the Utilities - Renewable subindustry, Meridian Energy'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.
Meridian Energy Pretax Margin % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Meridian Energy's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Meridian Energy'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.
Meridian Energy (MDDNF) has a Pretax Margin % of 15.93% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Meridian Energy and its competitors. This is 40% above median its historical median of 11.41. According to the industry distribution chart, Meridian Energy ranks #307 out of 422 companies in the Utilities - Independent Power Producers industry, placing it in the top 72.7%.
Is Meridian Energy's Pretax Margin % too high?
Meridian Energy's current Pretax Margin % of 15.93% is 40% above median its 10-year median of 11.41. The Utilities - Independent Power Producers industry median Pretax Margin % is 8.66. Meridian Energy's value of 15.93% is 84.1% above this industry median. Based on the distribution chart, Meridian Energy ranks #307 out of 422 companies in the Utilities - Independent Power Producers industry, which is below the industry midpoint. Overall, Meridian Energy has a GF Score™ of 71/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Meridian Energy's Pretax Margin % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Meridian Energy ranks #307 out of 422 companies for Pretax Margin %. This places Meridian Energy in the lower half of its industry. The industry median Pretax Margin % is 8.66. Meridian Energy's value of 15.93% is 84.1% above this benchmark. While the company's 10-year median is 11.41 vs. the industry median of 8.66, Meridian Energy 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 - Independent Power Producers company?
The median Pretax Margin % among Utilities - Independent Power Producers companies is 8.66, based on 422 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. Meridian Energy's current Pretax Margin % of 15.93% is 84.1% 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 Meridian Energy and its competitors. For the Utilities - Independent Power Producers industry, the median Pretax Margin % is 8.66 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Meridian Energy's current Pretax Margin % is 15.93%, which is 40% above median its own 10-year median of 11.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Meridian Energy stock overvalued right now?
Based on GuruFocus' analysis, Meridian Energy (MDDNF) is currently considered Fairly Valued. The stock's GF Value™ is $3.48, compared to a current price of $3.37 — trading 3.1% below its estimated fair value. The current Pretax Margin % is 15.93%, which is 40% above median its 10-year median of 11.41 and 84.1% above the Utilities - Independent Power Producers industry median of 8.66. Meridian Energy's overall GF Score™ is 71/100 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 Meridian Energy (MDDNF), the current Pretax Margin % is 15.93% 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 Meridian Energy (MDDNF) Overvalued in 2026?
Based on GuruFocus' analysis, Meridian Energy stock appears to be undervalued.
The current stock price of $3.37 is trading 3.1% below its estimated GF Value™ of $3.48.
GuruFocus considers Meridian Energy to be Fairly Valued.
Key valuation signals for MDDNF:
Pretax Margin %: 15.93% (40% above median its 10-year median of 11.41)
GF Value™: $3.48 vs. price of $3.37 (3.1% below fair value)
Industry Position: 84.1% above the Utilities - Independent Power Producers median (#307 of 422)
No single metric tells the full story. See the MDDNF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Meridian Energy is one of New Zealand's leading utilities. It is the largest electricity producer in the nation, with a third of the market, and the fourth-largest energy retailer, with about 15% of the market by customer numbers. It generates 100% renewable electricity, mainly from large hydroelectric schemes in the South Island. It also owns a geographically diversified portfolio of wind farms.
71GF Score
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