Pure CyclePCYO +1.72%72 Pretax Margin % is 29.25% as of Feb. 2026, which is 24% below its 10-year median of 38.57. GuruFocus rates PCYO with a GF Score™ of 72/100 and a GF Value™ of $14.11 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 501 Utilities - Regulated companies, Pure Cycle ranks better than 97.21% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Pure Cycle's Pre-Tax Income for the
three
months ended in Feb. 2026 was $1.51 Mil. Pure Cycle's Revenue for the
three
months ended in Feb. 2026 was $5.17 Mil. Therefore, Pure Cycle's pretax margin for the quarter that ended in Feb. 2026 was 29.25%.
The historical rank and industry rank for Pure Cycle's Pretax Margin % or its related term are showing as below:
PCYO'
s Pretax Margin % Range Over the Past 10 Years
Min: -272.12 Med: 38.57 Max: 155.27
Current: 61.12
PCYO's Pretax Margin % is ranked better than 97.21% of 501
companies
in the Utilities - Regulated industry
Industry Median: 12.12
vs PCYO: 61.12
Pure Cycle (NAS:PCYO) 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.
Pure Cycle Pretax Margin % Related Terms
Pure Cycle Pretax Margin % Historical Data
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The historical data trend for Pure Cycle'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.
PCYO vs GWRS, ARTNA, CDZI: Pretax Margin % Comparison
For the Utilities - Regulated Water subindustry, Pure Cycle'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.
Pure Cycle Pretax Margin % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, Pure Cycle's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Pure Cycle'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.
Pure Cycle (PCYO) has a Pretax Margin % of 29.25% as of Feb. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Pure Cycle and its competitors. This is 24% below median its historical median of 38.57. According to the industry distribution chart, Pure Cycle ranks #14 out of 501 companies in the Utilities - Regulated industry, placing it in the top 2.8%.
Is Pure Cycle's Pretax Margin % too high?
Pure Cycle's current Pretax Margin % of 29.25% is 24% below median its 10-year median of 38.57. The Utilities - Regulated industry median Pretax Margin % is 12.12. Pure Cycle's value of 29.25% is 141.3% above this industry median. Based on the distribution chart, Pure Cycle ranks #14 out of 501 companies in the Utilities - Regulated industry, which is in the top quartile — a strong position relative to peers. Overall, Pure Cycle has a GF Score™ of 72/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Pure Cycle's Pretax Margin % compare to GWRS and ARTNA?
According to the Utilities - Regulated industry distribution chart, Pure Cycle ranks #14 out of 501 companies for Pretax Margin %. This places Pure Cycle in the top 3% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 12.12. Pure Cycle's value of 29.25% is 141.3% above this benchmark. While the company's 10-year median is 38.57 vs. the industry median of 12.12, Pure Cycle 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 - Regulated company?
The median Pretax Margin % among Utilities - Regulated companies is 12.12, based on 501 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. Pure Cycle's current Pretax Margin % of 29.25% is 141.3% 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 Pure Cycle and its competitors. For the Utilities - Regulated industry, the median Pretax Margin % is 12.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pure Cycle's current Pretax Margin % is 29.25%, which is 24% below median its own 10-year median of 38.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pure Cycle stock overvalued right now?
Based on GuruFocus' analysis, Pure Cycle (PCYO) is currently considered Modestly Undervalued. The stock's GF Value™ is $14.11, compared to a current price of $11.19 — trading 20.7% below its estimated fair value. The current Pretax Margin % is 29.25%, which is 24% below median its 10-year median of 38.57 and 141.3% above the Utilities - Regulated industry median of 12.12. Pure Cycle's overall GF Score™ is 72/100 with 3 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 Pure Cycle (PCYO), the current Pretax Margin % is 29.25% as of Feb. 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 Pure Cycle (PCYO) Overvalued in 2026?
Based on GuruFocus' analysis, Pure Cycle stock appears to be undervalued.
The current stock price of $11.19 is trading 20.7% below its estimated GF Value™ of $14.11.
GuruFocus considers Pure Cycle to be Modestly Undervalued.
Key valuation signals for PCYO:
Pretax Margin %: 29.25% (24% below median its 10-year median of 38.57)
GF Value™: $14.11 vs. price of $11.19 (20.7% below fair value)
Industry Position: 141.3% above the Utilities - Regulated median (#14 of 501)
No single metric tells the full story. See the PCYO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Pure Cycle Corp is a diversified land and water resource development company. The company designs, constructs, manages, operates, and maintains water and wastewater systems. The firm operates in three business segments namely Water and wastewater resource development, Land development, and the Single-Family Rental Segment. It generates maximum revenue from the Land development segment. The land resource development segment includes all the activities necessary to develop and sell finished lots.
72GF Score
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