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.
Kyndryl Holdings Pretax Margin % Related Terms
Kyndryl Holdings Pretax Margin % Historical Data
* Premium members only.
The historical data trend for Kyndryl Holdings'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:KD vs PENG, CHRN, VNET: Pretax Margin % Comparison
For the Information Technology Services subindustry, Kyndryl Holdings'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.
Kyndryl Holdings Pretax Margin % vs Software Industry
For the Software industry and Technology sector, Kyndryl Holdings's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Kyndryl Holdings'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.
Kyndryl Holdings (MEX:KD) has a Pretax Margin % of 3.53% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Kyndryl Holdings and its competitors. According to the industry distribution chart, Kyndryl Holdings ranks #1461 out of 2822 companies in the Software industry, placing it in the top 51.8%.
Is Kyndryl Holdings' Pretax Margin % too high?
Kyndryl Holdings' current Pretax Margin % is 3.53%. The Software industry median Pretax Margin % is 3.50. Kyndryl Holdings' value of 3.53% is 0.9% above this industry median. Based on the distribution chart, Kyndryl Holdings ranks #1461 out of 2822 companies in the Software industry, which is below the industry midpoint. Overall, Kyndryl Holdings has a GF Score™ of 51/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Kyndryl Holdings' Pretax Margin % compare to PENG and CHRN?
According to the Software industry distribution chart, Kyndryl Holdings ranks #1461 out of 2822 companies for Pretax Margin %. This places Kyndryl Holdings in the lower half of its industry. The industry median Pretax Margin % is 3.50. Kyndryl Holdings' value of 3.53% is 0.9% above this benchmark. 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 Software company?
The median Pretax Margin % among Software companies is 3.50, based on 2,822 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. Kyndryl Holdings's current Pretax Margin % of 3.53% is 0.9% 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 Kyndryl Holdings and its competitors. For the Software industry, the median Pretax Margin % is 3.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kyndryl Holdings's current Pretax Margin % is 3.53%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kyndryl Holdings stock overvalued right now?
Based on GuruFocus' analysis, Kyndryl Holdings (MEX:KD) is currently considered Possible Value Trap. The stock's GF Value™ is MXN394.36, compared to a current price of MXN189.00 — trading 52.1% below its estimated fair value. The current Pretax Margin % is 3.53% and 0.9% above the Software industry median of 3.50. Kyndryl Holdings' overall GF Score™ is 51/100 with 3 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 Kyndryl Holdings (MEX:KD), the current Pretax Margin % is 3.53% 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 Kyndryl Holdings (MEX:KD) Overvalued in 2026?
Based on GuruFocus' analysis, Kyndryl Holdings stock appears to be undervalued.
The current stock price of MXN189.00 is trading 52.1% below its estimated GF Value™ of MXN394.36.
GuruFocus considers Kyndryl Holdings to be Possible Value Trap.
Key valuation signals for MEX:KD:
Pretax Margin %: 3.53%
GF Value™: MXN394.36 vs. price of MXN189.00 (52.1% below fair value)
Industry Position: 0.9% above the Software median (#1461 of 2822)
No single metric tells the full story. See the MEX:KD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kyndryl Holdings Inc is a technology services and infrastructure services provider company. It provides advisory, implementation, and managed services across a range of technology domains to help customers manage and modernize enterprise IT environments in support of their business and transformation objectives. The company's reportable segments consist of the following: Principal Markets which represents its operations in operations in Australia / New Zealand, Canada, France, Germany, India, Italy, Spain, Portugal, and the United Kingdom / Ireland, United States, Japan, and Strategic Markets. It derives maximum revenue from the United States.
51GF Score
Get the complete analysis for MEX:KD
Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
MEX:KD has been successfully added to your 
