Brown & BrownMEX:BRO 85 Pretax Margin % is 28.35% as of Mar. 2026, which is 18% above its 10-year median of 24.12. GuruFocus rates MEX:BRO with a GF Score™ of 85/100 and a GF Value™ of MXN1,928.75 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 503 Insurance companies, Brown & Brown ranks better than 80.12% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Brown & Brown's Pre-Tax Income for the
three
months ended in Mar. 2026 was MXN9,611 Mil. Brown & Brown's Revenue for the
three
months ended in Mar. 2026 was MXN33,901 Mil. Therefore, Brown & Brown's pretax margin for the quarter that ended in Mar. 2026 was 28.35%.
The historical rank and industry rank for Brown & Brown's Pretax Margin % or its related term are showing as below:
MEX:BRO'
s Pretax Margin % Range Over the Past 10 Years
Min: 22.05 Med: 24.12 Max: 27.69
Current: 23.58
MEX:BRO's Pretax Margin % is ranked better than 80.12% of 503
companies
in the Insurance industry
Industry Median: 12
vs MEX:BRO: 23.58
Brown & Brown (MEX:BRO) 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.
Brown & Brown Pretax Margin % Related Terms
Brown & Brown Pretax Margin % Historical Data
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The historical data trend for Brown & Brown'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.
MEX:BRO vs WTW, ERIE, NP: Pretax Margin % Comparison
For the Insurance Brokers subindustry, Brown & Brown'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.
Brown & Brown Pretax Margin % vs Insurance Industry
For the Insurance industry and Financial Services sector, Brown & Brown's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Brown & Brown'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.
Brown & Brown (MEX:BRO) has a Pretax Margin % of 28.35% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Brown & Brown and its competitors. This is 18% above median its historical median of 24.12. Over the past decade, Brown & Brown's Pretax Margin % has ranged from 22.05 to 27.69. According to the industry distribution chart, Brown & Brown ranks #100 out of 503 companies in the Insurance industry, placing it in the top 19.9%.
Is Brown & Brown's Pretax Margin % too high?
Brown & Brown's current Pretax Margin % of 28.35% is 18% above median its 10-year median of 24.12. Over the past 10 years, this metric has ranged from a low of 22.05 to a high of 27.69. The Insurance industry median Pretax Margin % is 12.00. Brown & Brown's value of 28.35% is 136.3% above this industry median. Based on the distribution chart, Brown & Brown ranks #100 out of 503 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, Brown & Brown has a GF Score™ of 85/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Brown & Brown's Pretax Margin % compare to WTW and ERIE?
According to the Insurance industry distribution chart, Brown & Brown ranks #100 out of 503 companies for Pretax Margin %. This places Brown & Brown in the top 20% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 12.00. Brown & Brown's value of 28.35% is 136.3% above this benchmark. Historically, Brown & Brown's own Pretax Margin % has ranged from 22.05 to 27.69 over the past decade. While the company's 10-year median is 24.12 vs. the industry median of 12.00, Brown & Brown 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 Insurance company?
The median Pretax Margin % among Insurance companies is 12.00, based on 503 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. Brown & Brown's current Pretax Margin % of 28.35% is 136.3% 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 Brown & Brown and its competitors. For the Insurance industry, the median Pretax Margin % is 12.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Brown & Brown's current Pretax Margin % is 28.35%, which is 18% above median its own 10-year median of 24.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Brown & Brown stock overvalued right now?
Based on GuruFocus' analysis, Brown & Brown (MEX:BRO) is currently considered Possible Value Trap. The stock's GF Value™ is MXN1,928.75, compared to a current price of MXN1,108.20 — trading 42.5% below its estimated fair value. The current Pretax Margin % is 28.35%, which is 18% above median its 10-year median of 24.12 and 136.3% above the Insurance industry median of 12.00. Brown & Brown's overall GF Score™ is 85/100 with 4 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 Brown & Brown (MEX:BRO), the current Pretax Margin % is 28.35% 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 Brown & Brown (MEX:BRO) Overvalued in 2026?
Based on GuruFocus' analysis, Brown & Brown stock appears to be undervalued.
The current stock price of MXN1,108.20 is trading 42.5% below its estimated GF Value™ of MXN1,928.75.
GuruFocus considers Brown & Brown to be Possible Value Trap.
Key valuation signals for MEX:BRO:
Pretax Margin %: 28.35% (18% above median its 10-year median of 24.12)
GF Value™: MXN1,928.75 vs. price of MXN1,108.20 (42.5% below fair value)
Industry Position: 136.3% above the Insurance median (#100 of 503)
No single metric tells the full story. See the MEX:BRO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Brown & Brown Inc is a diversified insurance agency, wholesale brokerage, insurance programs, and service. The company's business is divided into two reportable segments: (i) the Retail segment, and (ii) the Specialty Distribution segment. The Retail segment provides a broad range of insurance products and services to commercial, public and quasi-public entities, and to professional and individual customers, as well as non-insurance warranty services and products through automobile and recreational vehicle dealer services businesses. The Specialty Distribution segment consists of wholesale brokerage and specialty businesses. Its geographic area is U.S, U.K and Others.
85GF Score
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