Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
The9NCTY -15.96%47 Pretax Margin % is 2,126.23% as of Jun. 2026. GuruFocus rates NCTY with a GF Score™ of 47/100 and a GF Value™ of $2.67 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 773 Capital Markets companies, The9 ranks better than 89.65% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. The9's Pre-Tax Income for the
six
months ended in Jun. 2026 was $55.45 Mil. The9's Revenue for the
six
months ended in Jun. 2026 was $2.61 Mil. Therefore, The9's pretax margin for the quarter that ended in Jun. 2026 was 2,126.23%.
The historical rank and industry rank for The9's Pretax Margin % or its related term are showing as below:
NCTY'
s Pretax Margin % Range Over the Past 10 Years
Min: -56251.02 Med: -334.01 Max: 64157.29
Current: 77.25
NCTY's Pretax Margin % is ranked better than 89.65% of 773
companies
in the Capital Markets industry
Industry Median: 21.71
vs NCTY: 77.25
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.
The9 Pretax Margin % Related Terms
The9 Pretax Margin % Historical Data
* Premium members only.
The historical data trend for The9'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.
NCTY vs BTCS, AUC, CFOR: Pretax Margin % Comparison
For the Capital Markets subindustry, The9'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.
The9 Pretax Margin % vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, The9's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where The9'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.
The9 (NCTY) has a Pretax Margin % of 2,126.23% as of Jun. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on The9 and its competitors. According to the industry distribution chart, The9 ranks #80 out of 773 companies in the Capital Markets industry, placing it in the top 10.3%.
Is The9's Pretax Margin % too high?
The9's current Pretax Margin % is 2,126.23%. The Capital Markets industry median Pretax Margin % is 21.71. The9's value of 2,126.23% is 9693.8% above this industry median. Based on the distribution chart, The9 ranks #80 out of 773 companies in the Capital Markets industry, which is in the top quartile — a strong position relative to peers. Overall, The9 has a GF Score™ of 47/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The9's Pretax Margin % compare to BTCS and AUC?
According to the Capital Markets industry distribution chart, The9 ranks #80 out of 773 companies for Pretax Margin %. This places The9 in the top 10% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 21.71. The9's value of 2,126.23% is 9693.8% 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 Capital Markets company?
The median Pretax Margin % among Capital Markets companies is 21.71, based on 773 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. The9's current Pretax Margin % of 2,126.23% is 9693.8% 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 The9 and its competitors. For the Capital Markets industry, the median Pretax Margin % is 21.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The9's current Pretax Margin % is 2,126.23%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The9 stock overvalued right now?
Based on GuruFocus' analysis, The9 (NCTY) is currently considered Significantly Overvalued. The stock's GF Value™ is $2.67, compared to a current price of $3.79 — trading 41.9% above its estimated fair value. The current Pretax Margin % is 2,126.23% and 9693.8% above the Capital Markets industry median of 21.71. The9's overall GF Score™ is 47/100 with 8 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 The9 (NCTY), the current Pretax Margin % is 2,126.23% as of Jun. 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 The9 (NCTY) Overvalued in 2026?
Based on GuruFocus' analysis, The9 stock appears to be overvalued.
The current stock price of $3.79 is trading 41.9% above its estimated GF Value™ of $2.67.
GuruFocus considers The9 to be Significantly Overvalued.
Key valuation signals for NCTY:
Pretax Margin %: 2,126.23%
GF Value™: $2.67 vs. price of $3.79 (41.9% above fair value)
Industry Position: 9693.8% above the Capital Markets median (#80 of 773)
No single metric tells the full story. See the NCTY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The9 Ltd operates a cryptocurrency mining business. It provides computing power, or hash rate, to a Bitcoin mining pool and is entitled to receive a fractional share of Bitcoin award from the Bitcoin mining pool in return. The company generates its revenues from customers in Greater China, Asia/Eastern Europe, and North America. Its segments are: Crypto mining business, and Online game services, out of which Crypto mining business derives maximum revenue.
47GF Score
Get the complete analysis for NCTY
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
NCTY has been successfully added to your 
