NHPCNSE:NHPC +0.11%79 Pretax Margin % is 10.14% as of Mar. 2026, which is 77% below its 10-year median of 43.75. GuruFocus rates NSE:NHPC with a GF Score™ of 79/100 and a GF Value™ of ₹104.33 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 422 Utilities - Independent Power Producers companies, NHPC ranks better than 78.44% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. NHPC's Pre-Tax Income for the
three
months ended in Mar. 2026 was ₹2,854 Mil. NHPC's Revenue for the
three
months ended in Mar. 2026 was ₹28,155 Mil. Therefore, NHPC's pretax margin for the quarter that ended in Mar. 2026 was 10.14%.
The historical rank and industry rank for NHPC's Pretax Margin % or its related term are showing as below:
NSE:NHPC'
s Pretax Margin % Range Over the Past 10 Years
Min: 25.06 Med: 43.75 Max: 50.12
Current: 25.06
NSE:NHPC's Pretax Margin % is ranked better than 78.44% of 422
companies
in the Utilities - Independent Power Producers industry
Industry Median: 8.655
vs NSE:NHPC: 25.06
NHPC (NSE:NHPC) 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.
NHPC Pretax Margin % Related Terms
NHPC Pretax Margin % Historical Data
* Premium members only.
The historical data trend for NHPC'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.
For the Utilities - Renewable subindustry, NHPC'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.
NHPC Pretax Margin % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, NHPC's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where NHPC'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.
NHPC (NSE:NHPC) has a Pretax Margin % of 10.14% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on NHPC and its competitors. This is 77% below median its historical median of 43.75. Over the past decade, NHPC's Pretax Margin % has ranged from 25.06 to 50.12. According to the industry distribution chart, NHPC ranks #91 out of 422 companies in the Utilities - Independent Power Producers industry, placing it in the top 21.6%.
Is NHPC's Pretax Margin % too high?
NHPC's current Pretax Margin % of 10.14% is 77% below median its 10-year median of 43.75. Over the past 10 years, this metric has ranged from a low of 25.06 to a high of 50.12. The Utilities - Independent Power Producers industry median Pretax Margin % is 8.66. NHPC's value of 10.14% is 17.2% above this industry median. Based on the distribution chart, NHPC ranks #91 out of 422 companies in the Utilities - Independent Power Producers industry, which is in the top quartile — a strong position relative to peers. Overall, NHPC has a GF Score™ of 79/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does NHPC's Pretax Margin % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, NHPC ranks #91 out of 422 companies for Pretax Margin %. This places NHPC in the top 22% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 8.66. NHPC's value of 10.14% is 17.2% above this benchmark. Historically, NHPC's own Pretax Margin % has ranged from 25.06 to 50.12 over the past decade. While the company's 10-year median is 43.75 vs. the industry median of 8.66, NHPC 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 an Utilities - Independent Power Producers company?
The median Pretax Margin % among Utilities - Independent Power Producers companies is 8.66, based on 422 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. NHPC's current Pretax Margin % of 10.14% is 17.2% 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 NHPC and its competitors. For the Utilities - Independent Power Producers industry, the median Pretax Margin % is 8.66 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NHPC's current Pretax Margin % is 10.14%, which is 77% below median its own 10-year median of 43.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NHPC stock overvalued right now?
Based on GuruFocus' analysis, NHPC (NSE:NHPC) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹104.33, compared to a current price of ₹79.40 — trading 23.9% below its estimated fair value. The current Pretax Margin % is 10.14%, which is 77% below median its 10-year median of 43.75 and 17.2% above the Utilities - Independent Power Producers industry median of 8.66. NHPC's overall GF Score™ is 79/100 with 7 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 NHPC (NSE:NHPC), the current Pretax Margin % is 10.14% 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 NHPC (NSE:NHPC) Overvalued in 2026?
Based on GuruFocus' analysis, NHPC stock appears to be undervalued.
The current stock price of ₹79.40 is trading 23.9% below its estimated GF Value™ of ₹104.33.
GuruFocus considers NHPC to be Modestly Undervalued.
Key valuation signals for NSE:NHPC:
Pretax Margin %: 10.14% (77% below median its 10-year median of 43.75)
GF Value™: ₹104.33 vs. price of ₹79.40 (23.9% below fair value)
Industry Position: 17.2% above the Utilities - Independent Power Producers median (#91 of 422)
No single metric tells the full story. See the NSE:NHPC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NHPC Ltd is an electric utility company, of which the Indian government owns the vast majority of shares. The company produces electricity through the operation of its portfolio of hydroelectric power plants located across India. Electricity generation (including income from embedded Finance/ Operating leases) is the principal business activity of the Company. NHPC generates a majority of its revenue from the sale of energy to state electricity boards, state energy departments, and their successor companies via long-term agreements. The company has made efforts to expand its electric production capacity with thermal, wind, and solar power generating facilities. NHPC operates its power development and secondary consulting businesses exclusively in India.
79GF Score
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