Magellanic CloudNSE:MCLOUD +7.09%64 Pretax Margin % is 17.26% as of Mar. 2026, which is 69% above its 10-year median of 10.22. GuruFocus rates NSE:MCLOUD with a GF Score™ of 64/100 and a GF Value™ of ₹85.72 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 2,821 Software companies, Magellanic Cloud ranks better than 87.59% 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.
Magellanic Cloud Pretax Margin % Related Terms
Magellanic Cloud Pretax Margin % Historical Data
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The historical data trend for Magellanic Cloud'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.
NSE:MCLOUD vs IBM, ACN, FISV: Pretax Margin % Comparison
For the Information Technology Services subindustry, Magellanic Cloud'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.
Magellanic Cloud Pretax Margin % vs Software Industry
For the Software industry and Technology sector, Magellanic Cloud's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Magellanic Cloud'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.
Magellanic Cloud (NSE:MCLOUD) has a Pretax Margin % of 17.26% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Magellanic Cloud and its competitors. This is 69% above median its historical median of 10.22. Over the past decade, Magellanic Cloud's Pretax Margin % has ranged from 0.57 to 25.07. According to the industry distribution chart, Magellanic Cloud ranks #350 out of 2821 companies in the Software industry, placing it in the top 12.4%.
Is Magellanic Cloud's Pretax Margin % too high?
Magellanic Cloud's current Pretax Margin % of 17.26% is 69% above median its 10-year median of 10.22. Over the past 10 years, this metric has ranged from a low of 0.57 to a high of 25.07. The Software industry median Pretax Margin % is 3.50. Magellanic Cloud's value of 17.26% is 393.1% above this industry median. Based on the distribution chart, Magellanic Cloud ranks #350 out of 2821 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Magellanic Cloud has a GF Score™ of 64/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Magellanic Cloud's Pretax Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Magellanic Cloud ranks #350 out of 2821 companies for Pretax Margin %. This places Magellanic Cloud in the top 12% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 3.50. Magellanic Cloud's value of 17.26% is 393.1% above this benchmark. Historically, Magellanic Cloud's own Pretax Margin % has ranged from 0.57 to 25.07 over the past decade. While the company's 10-year median is 10.22 vs. the industry median of 3.50, Magellanic Cloud 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 Software company?
The median Pretax Margin % among Software companies is 3.50, based on 2,821 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. Magellanic Cloud's current Pretax Margin % of 17.26% is 393.1% 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 Magellanic Cloud 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. Magellanic Cloud's current Pretax Margin % is 17.26%, which is 69% above median its own 10-year median of 10.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Magellanic Cloud stock overvalued right now?
Based on GuruFocus' analysis, Magellanic Cloud (NSE:MCLOUD) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹85.72, compared to a current price of ₹30.50 — trading 64.4% below its estimated fair value. The current Pretax Margin % is 17.26%, which is 69% above median its 10-year median of 10.22 and 393.1% above the Software industry median of 3.50. Magellanic Cloud's overall GF Score™ is 64/100 with 2 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 Magellanic Cloud (NSE:MCLOUD), the current Pretax Margin % is 17.26% 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 Magellanic Cloud (NSE:MCLOUD) Overvalued in 2026?
Based on GuruFocus' analysis, Magellanic Cloud stock appears to be undervalued.
The current stock price of ₹30.50 is trading 64.4% below its estimated GF Value™ of ₹85.72.
GuruFocus considers Magellanic Cloud to be Significantly Undervalued.
Key valuation signals for NSE:MCLOUD:
Pretax Margin %: 17.26% (69% above median its 10-year median of 10.22)
GF Value™: ₹85.72 vs. price of ₹30.50 (64.4% below fair value)
Industry Position: 393.1% above the Software median (#350 of 2821)
No single metric tells the full story. See the NSE:MCLOUD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Magellanic Cloud Ltd is a provider of IT services. It is engaged in the business of IT solutions, E-Surveillance, and Human Capital. Its main activity includes IT Consulting Services, which develop and design Software Applications, Monitoring Services, and Trading. Its services are Digital Transformation, Product Engineering, Product Development, Quality Assurance, DevOps, Multi-Cloud & DevOps Automation, Process Automation, Data Analytics, and Others. The Company operates in one reportable business segment, namely IT and IT-related Services.
64GF Score
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