ZTO Express (Cayman)MEX:ZTO N 84 Pretax Margin % is 20.23% as of Mar. 2026, which is 25% below its 10-year median of 27.10. GuruFocus rates MEX:ZTO N with a GF Score™ of 84/100 and a GF Value™ of MXN546.16. Among 997 Transportation companies, ZTO Express (Cayman) ranks better than 82.25% on this metric.
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.
ZTO Express (Cayman) Pretax Margin % Related Terms
ZTO Express (Cayman) Pretax Margin % Historical Data
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The historical data trend for ZTO Express (Cayman)'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:ZTO N vs EXPD, CHRW, FDXF: Pretax Margin % Comparison
For the Integrated Freight & Logistics subindustry, ZTO Express (Cayman)'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.
ZTO Express (Cayman) Pretax Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, ZTO Express (Cayman)'s Pretax Margin % distribution charts can be found below:
* The bar in red indicates where ZTO Express (Cayman)'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.
ZTO Express (Cayman) (MEX:ZTO N) has a Pretax Margin % of 20.23% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on ZTO Express (Cayman) and its competitors. This is 25% below median its historical median of 27.10. Over the past decade, ZTO Express (Cayman)'s Pretax Margin % has ranged from 18.88 to 30.56. According to the industry distribution chart, ZTO Express (Cayman) ranks #177 out of 997 companies in the Transportation industry, placing it in the top 17.8%.
Is ZTO Express (Cayman)'s Pretax Margin % too high?
ZTO Express (Cayman)'s current Pretax Margin % of 20.23% is 25% below median its 10-year median of 27.10. Over the past 10 years, this metric has ranged from a low of 18.88 to a high of 30.56. The Transportation industry median Pretax Margin % is 6.77. ZTO Express (Cayman)'s value of 20.23% is 198.8% above this industry median. Based on the distribution chart, ZTO Express (Cayman) ranks #177 out of 997 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, ZTO Express (Cayman) has a GF Score™ of 84/100, reflecting its overall financial health beyond just this single metric.
How does ZTO Express (Cayman)'s Pretax Margin % compare to EXPD and CHRW?
According to the Transportation industry distribution chart, ZTO Express (Cayman) ranks #177 out of 997 companies for Pretax Margin %. This places ZTO Express (Cayman) in the top 18% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 6.77. ZTO Express (Cayman)'s value of 20.23% is 198.8% above this benchmark. Historically, ZTO Express (Cayman)'s own Pretax Margin % has ranged from 18.88 to 30.56 over the past decade. While the company's 10-year median is 27.10 vs. the industry median of 6.77, ZTO Express (Cayman) 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. ZTO Express (Cayman)'s current Pretax Margin % of 20.23% is 198.8% 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 ZTO Express (Cayman) 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. ZTO Express (Cayman)'s current Pretax Margin % is 20.23%, which is 25% below median its own 10-year median of 27.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ZTO Express (Cayman) stock overvalued right now?
ZTO Express (Cayman) (MEX:ZTO N) has a current Pretax Margin % of 20.23%. The stock's GF Value™ is MXN546.16, compared to a current price of MXN426.00 — trading 22% below its estimated fair value. The current Pretax Margin % is 20.23%, which is 25% below median its 10-year median of 27.10 and 198.8% above the Transportation industry median of 6.77. ZTO Express (Cayman)'s overall GF Score™ is 84/100. 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 ZTO Express (Cayman) (MEX:ZTO N), the current Pretax Margin % is 20.23% 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 ZTO Express (Cayman) (MEX:ZTO N) Overvalued in 2026?
Based on GuruFocus' analysis, ZTO Express (Cayman) stock appears to be undervalued.
The current stock price of MXN426.00 is trading 22% below its estimated GF Value™ of MXN546.16.
Key valuation signals for MEX:ZTO N:
Pretax Margin %: 20.23% (25% below median its 10-year median of 27.10)
GF Value™: MXN546.16 vs. price of MXN426.00 (22% below fair value)
Industry Position: 198.8% above the Transportation median (#177 of 997)
No single metric tells the full story. See the MEX:ZTO N stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ZTO Express is China's largest express delivery company by parcel volume, with a volume share of 19.4% in 2024. It operates a network partner model where it provides line-haul transportation and sorting services, while its local network partners provide first-mile pickup and last-mile delivery services under the ZTO brand name. Headquartered in Shanghai, the company was founded in 2002 by Meisong Lai, who remains chair, CEO, and its major shareholder with 78% voting rights as of March 31, 2025. ZTO's strategic shareholder is leading China e-commerce company Alibaba Group with around an 8.9% interest.
84GF Score
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