East African BreweriesNAI:EABL +0.09%87 Pretax Margin % is 21.82% as of Dec. 2025, which is 32% above its 10-year median of 16.52. GuruFocus rates NAI:EABL with a GF Score™ of 87/100 and a GF Value™ of KES320.12 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 210 Beverages - Alcoholic companies, East African Breweries ranks better than 77.62% on this metric.
The historical rank and industry rank for East African Breweries's Pretax Margin % or its related term are showing as below:
NAI:EABL'
s Pretax Margin % Range Over the Past 10 Years
Min: 12.63 Med: 16.52 Max: 21.95
Current: 17.33
NAI:EABL's Pretax Margin % is ranked better than 77.62% of 210
companies
in the Beverages - Alcoholic industry
Industry Median: 6.04
vs NAI:EABL: 17.33
East African Breweries (NAI:EABL) 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.
East African Breweries Pretax Margin % Related Terms
East African Breweries Pretax Margin % Historical Data
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The historical data trend for East African Breweries'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.
NAI:EABL vs BUD, STZ, TAP: Pretax Margin % Comparison
For the Beverages - Brewers subindustry, East African Breweries'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.
East African Breweries Pretax Margin % vs Beverages - Alcoholic Industry
For the Beverages - Alcoholic industry and Consumer Defensive sector, East African Breweries's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where East African Breweries'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.
East African Breweries (NAI:EABL) has a Pretax Margin % of 21.82% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on East African Breweries and its competitors. This is 32% above median its historical median of 16.52. Over the past decade, East African Breweries' Pretax Margin % has ranged from 12.63 to 21.95. According to the industry distribution chart, East African Breweries ranks #47 out of 210 companies in the Beverages - Alcoholic industry, placing it in the top 22.4%.
Is East African Breweries' Pretax Margin % too high?
East African Breweries' current Pretax Margin % of 21.82% is 32% above median its 10-year median of 16.52. Over the past 10 years, this metric has ranged from a low of 12.63 to a high of 21.95. The Beverages - Alcoholic industry median Pretax Margin % is 6.04. East African Breweries' value of 21.82% is 261.3% above this industry median. Based on the distribution chart, East African Breweries ranks #47 out of 210 companies in the Beverages - Alcoholic industry, which is in the top quartile — a strong position relative to peers. Overall, East African Breweries has a GF Score™ of 87/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does East African Breweries' Pretax Margin % compare to BUD and STZ?
According to the Beverages - Alcoholic industry distribution chart, East African Breweries ranks #47 out of 210 companies for Pretax Margin %. This places East African Breweries in the top 22% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 6.04. East African Breweries' value of 21.82% is 261.3% above this benchmark. Historically, East African Breweries' own Pretax Margin % has ranged from 12.63 to 21.95 over the past decade. While the company's 10-year median is 16.52 vs. the industry median of 6.04, East African Breweries 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 Beverages - Alcoholic company?
The median Pretax Margin % among Beverages - Alcoholic companies is 6.04, based on 210 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. East African Breweries's current Pretax Margin % of 21.82% is 261.3% 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 East African Breweries and its competitors. For the Beverages - Alcoholic industry, the median Pretax Margin % is 6.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. East African Breweries's current Pretax Margin % is 21.82%, which is 32% above median its own 10-year median of 16.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is East African Breweries stock overvalued right now?
Based on GuruFocus' analysis, East African Breweries (NAI:EABL) is currently considered Modestly Undervalued. The stock's GF Value™ is KES320.12, compared to a current price of KES265.00 — trading 17.2% below its estimated fair value. The current Pretax Margin % is 21.82%, which is 32% above median its 10-year median of 16.52 and 261.3% above the Beverages - Alcoholic industry median of 6.04. East African Breweries' overall GF Score™ is 87/100 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 East African Breweries (NAI:EABL), the current Pretax Margin % is 21.82% 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 East African Breweries (NAI:EABL) Overvalued in 2026?
Based on GuruFocus' analysis, East African Breweries stock appears to be undervalued.
The current stock price of KES265.00 is trading 17.2% below its estimated GF Value™ of KES320.12.
GuruFocus considers East African Breweries to be Modestly Undervalued.
Key valuation signals for NAI:EABL:
Pretax Margin %: 21.82% (32% above median its 10-year median of 16.52)
GF Value™: KES320.12 vs. price of KES265.00 (17.2% below fair value)
Industry Position: 261.3% above the Beverages - Alcoholic median (#47 of 210)
No single metric tells the full story. See the NAI:EABL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
East African Breweries PLC is a branded alcohol beverage company. The firm and its subsidiaries are involved in the marketing, production, and distribution of a collection of brands that range from beer, spirits, and adult non-alcoholic drinks. The company has invested in breweries, distilleries, support industries, and a distribution network across the region. The firm derives its revenue mainly from brewing, marketing, and selling of drinks, malt, and barley. Its geographical segments include Kenya, Uganda, and Tanzania, of which the majority of the revenue is generated from Kenya.
87GF Score
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