SodexoMEX:SWN 42 Pretax Margin % is 2.09% as of Feb. 2026, which is 47% below its 10-year median of 3.98. GuruFocus rates MEX:SWN with a GF Score™ of 42/100 and a GF Value™ of MXN3,109.81 (Significantly Undervalued). The stock has 9 warning signs investors should review. Among 1,074 Business Services companies, Sodexo ranks worse than 64.43% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Sodexo's Pre-Tax Income for the
six
months ended in Feb. 2026 was MXN5,109 Mil. Sodexo's Revenue for the
six
months ended in Feb. 2026 was MXN244,611 Mil. Therefore, Sodexo's pretax margin for the quarter that ended in Feb. 2026 was 2.09%.
The historical rank and industry rank for Sodexo's Pretax Margin % or its related term are showing as below:
MEX:SWN'
s Pretax Margin % Range Over the Past 10 Years
Min: -1.14 Med: 3.98 Max: 5.26
Current: 2.59
MEX:SWN's Pretax Margin % is ranked worse than 64.43% of 1074
companies
in the Business Services industry
Industry Median: 5.35
vs MEX:SWN: 2.59
Sodexo (MEX:SWN) 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.
Sodexo Pretax Margin % Related Terms
Sodexo Pretax Margin % Historical Data
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The historical data trend for Sodexo'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:SWN vs CTAS, CPRT, GPN: Pretax Margin % Comparison
For the Specialty Business Services subindustry, Sodexo'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.
Sodexo Pretax Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Sodexo's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Sodexo'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.
Sodexo (MEX:SWN) has a Pretax Margin % of 2.09% as of Feb. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Sodexo and its competitors. This is 47% below median its historical median of 3.98. According to the industry distribution chart, Sodexo ranks #692 out of 1074 companies in the Business Services industry, placing it in the top 64.4%.
Is Sodexo's Pretax Margin % too high?
Sodexo's current Pretax Margin % of 2.09% is 47% below median its 10-year median of 3.98. The Business Services industry median Pretax Margin % is 5.35. Sodexo's value of 2.09% is 60.9% below this industry median. Based on the distribution chart, Sodexo ranks #692 out of 1074 companies in the Business Services industry, which is below the industry midpoint. Overall, Sodexo has a GF Score™ of 42/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Sodexo's Pretax Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Sodexo ranks #692 out of 1074 companies for Pretax Margin %. This places Sodexo in the lower half of its industry. The industry median Pretax Margin % is 5.35. Sodexo's value of 2.09% is 60.9% below this benchmark. While the company's 10-year median is 3.98 vs. the industry median of 5.35, Sodexo has consistently been below 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 Business Services company?
The median Pretax Margin % among Business Services companies is 5.35, based on 1,074 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. Sodexo's current Pretax Margin % of 2.09% is 60.9% below 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 Sodexo and its competitors. For the Business Services industry, the median Pretax Margin % is 5.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sodexo's current Pretax Margin % is 2.09%, which is 47% below median its own 10-year median of 3.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sodexo stock overvalued right now?
Based on GuruFocus' analysis, Sodexo (MEX:SWN) is currently considered Significantly Undervalued. The stock's GF Value™ is MXN3,109.81, compared to a current price of MXN917.03 — trading 70.5% below its estimated fair value. The current Pretax Margin % is 2.09%, which is 47% below median its 10-year median of 3.98 and 60.9% below the Business Services industry median of 5.35. Sodexo's overall GF Score™ is 42/100 with 9 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 Sodexo (MEX:SWN), the current Pretax Margin % is 2.09% as of Feb. 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 Sodexo (MEX:SWN) Overvalued in 2026?
Based on GuruFocus' analysis, Sodexo stock appears to be undervalued.
The current stock price of MXN917.03 is trading 70.5% below its estimated GF Value™ of MXN3,109.81.
GuruFocus considers Sodexo to be Significantly Undervalued.
Key valuation signals for MEX:SWN:
Pretax Margin %: 2.09% (47% below median its 10-year median of 3.98)
GF Value™: MXN3,109.81 vs. price of MXN917.03 (70.5% below fair value)
Industry Position: 60.9% below the Business Services median (#692 of 1074)
No single metric tells the full story. See the MEX:SWN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sodexo is one of the largest foodservice companies globally, operating in 45 countries with annual sales exceeding EUR 24 billion. Sodexo's model rests on operating on-premises catering facilities, rather than centralized industrial kitchens. Foodservice remains the largest business segment, contributing 66% of revenue in 2024. Sodexo has its own group purchasing organization, Entegra, with annual purchasing of over EUR 37 billion. The company spun off its benefits and services business, Pluxee, and now focuses on foodservice and its second business, facilities management.
42GF Score
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