PRA GroupPRAA +2.21%59 Pretax Margin % is 12.77% as of Mar. 2026, which is 8% below its 10-year median of 13.90. GuruFocus rates PRAA with a GF Score™ of 59/100 and a GF Value™ of $26.20 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 534 Credit Services companies, PRA Group ranks worse than 85.58% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. PRA Group's Pre-Tax Income for the
three
months ended in Mar. 2026 was $41 Mil. PRA Group's Revenue for the
three
months ended in Mar. 2026 was $317 Mil. Therefore, PRA Group's pretax margin for the quarter that ended in Mar. 2026 was 12.77%.
The historical rank and industry rank for PRA Group's Pretax Margin % or its related term are showing as below:
PRAA'
s Pretax Margin % Range Over the Past 10 Years
Min: -20.05 Med: 13.9 Max: 22.85
Current: -17.17
PRAA's Pretax Margin % is ranked worse than 85.58% of 534
companies
in the Credit Services industry
Industry Median: 19.865
vs PRAA: -17.17
PRA Group (NAS:PRAA) 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.
PRA Group Pretax Margin % Related Terms
PRA Group Pretax Margin % Historical Data
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The historical data trend for PRA Group'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.
PRAA vs TROO, HTT, OPFI: Pretax Margin % Comparison
For the Credit Services subindustry, PRA Group'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.
PRA Group Pretax Margin % vs Credit Services Industry
For the Credit Services industry and Financial Services sector, PRA Group's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where PRA Group'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.
PRA Group (PRAA) has a Pretax Margin % of 12.77% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on PRA Group and its competitors. This is near median its historical median of 13.90. According to the industry distribution chart, PRA Group ranks #457 out of 534 companies in the Credit Services industry, placing it in the top 85.6%.
Is PRA Group's Pretax Margin % too high?
PRA Group's current Pretax Margin % of 12.77% is near median its 10-year median of 13.90. The Credit Services industry median Pretax Margin % is 19.87. PRA Group's value of 12.77% is 35.7% below this industry median. Based on the distribution chart, PRA Group ranks #457 out of 534 companies in the Credit Services industry, which is in the bottom quartile relative to peers. Overall, PRA Group has a GF Score™ of 59/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does PRA Group's Pretax Margin % compare to TROO and HTT?
According to the Credit Services industry distribution chart, PRA Group ranks #457 out of 534 companies for Pretax Margin %. This places PRA Group in the lower half of its industry. The industry median Pretax Margin % is 19.87. PRA Group's value of 12.77% is 35.7% below this benchmark. While the company's 10-year median is 13.90 vs. the industry median of 19.87, PRA Group has consistently been below 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 Credit Services company?
The median Pretax Margin % among Credit Services companies is 19.87, based on 534 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. PRA Group's current Pretax Margin % of 12.77% is 35.7% below 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 PRA Group and its competitors. For the Credit Services industry, the median Pretax Margin % is 19.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PRA Group's current Pretax Margin % is 12.77%, which is near median its own 10-year median of 13.90. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PRA Group stock overvalued right now?
Based on GuruFocus' analysis, PRA Group (PRAA) is currently considered Possible Value Trap. The stock's GF Value™ is $26.20, compared to a current price of $18.03 — trading 31.2% below its estimated fair value. The current Pretax Margin % is 12.77%, which is near median its 10-year median of 13.90 and 35.7% below the Credit Services industry median of 19.87. PRA Group's overall GF Score™ is 59/100 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 PRA Group (PRAA), the current Pretax Margin % is 12.77% 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 PRA Group (PRAA) Overvalued in 2026?
Based on GuruFocus' analysis, PRA Group stock appears to be undervalued.
The current stock price of $18.03 is trading 31.2% below its estimated GF Value™ of $26.20.
GuruFocus considers PRA Group to be Possible Value Trap.
Key valuation signals for PRAA:
Pretax Margin %: 12.77% (near median its 10-year median of 13.90)
GF Value™: $26.20 vs. price of $18.03 (31.2% below fair value)
Industry Position: 35.7% below the Credit Services median (#457 of 534)
No single metric tells the full story. See the PRAA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PRA Group Inc is a specialty finance company engaged in the purchase, collection, and management of nonperforming loan portfolios. The majority of the loans it purchases are from credit originators who have chosen not to pursue, or have been unsuccessful in collecting, the full balance owed to them (Core accounts). To a lesser extent, the company also purchases loans in situations where the customer is involved in a bankruptcy or similar proceeding (Insolvency accounts). As part of an ancillary business, it also purchases and provides fee-based services for class action claims recoveries in the U.S. The company has two operating and reportable segments, comprised of its U.S. and European businesses. The majority of its revenue is generated from the United States.
59GF Score
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