The historical rank and industry rank for Red Cat Holdings's Pretax Margin % or its related term are showing as below:
RCAT'
s Pretax Margin % Range Over the Past 10 Years
Min: -5457.14 Med: -396.53 Max: -120.69
Current: -137.54
RCAT's Pretax Margin % is ranked worse than 91.64% of 347
companies
in the Aerospace & Defense industry
Industry Median: 6.17
vs RCAT: -137.54
Red Cat Holdings (NAS:RCAT) 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.
Red Cat Holdings Pretax Margin % Related Terms
Red Cat Holdings Pretax Margin % Historical Data
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The historical data trend for Red Cat Holdings'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.
RCAT vs DCO, AVEX, VVX: Pretax Margin % Comparison
For the Aerospace & Defense subindustry, Red Cat Holdings'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.
Red Cat Holdings Pretax Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Red Cat Holdings's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Red Cat Holdings'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.
Red Cat Holdings (RCAT) has a Pretax Margin % of -171.60% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Red Cat Holdings and its competitors. According to the industry distribution chart, Red Cat Holdings ranks #318 out of 347 companies in the Aerospace & Defense industry, placing it in the top 91.6%.
Is Red Cat Holdings' Pretax Margin % too high?
Red Cat Holdings' current Pretax Margin % is -171.60%. Based on the distribution chart, Red Cat Holdings ranks #318 out of 347 companies in the Aerospace & Defense industry, which is in the bottom quartile relative to peers. Overall, Red Cat Holdings has a GF Score™ of 81/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Red Cat Holdings' Pretax Margin % compare to DCO and AVEX?
According to the Aerospace & Defense industry distribution chart, Red Cat Holdings ranks #318 out of 347 companies for Pretax Margin %. This places Red Cat Holdings in the lower half of its industry. The industry median Pretax Margin % is 6.17. 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 Aerospace & Defense company?
The median Pretax Margin % among Aerospace & Defense companies is 6.17, based on 347 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. 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 Red Cat Holdings and its competitors. For the Aerospace & Defense industry, the median Pretax Margin % is 6.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Red Cat Holdings's current Pretax Margin % is -171.60%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Red Cat Holdings stock overvalued right now?
Based on GuruFocus' analysis, Red Cat Holdings (RCAT) is currently considered Modestly Overvalued. The stock's GF Value™ is $7.91, compared to a current price of $9.02 — trading 14% above its estimated fair value. The current Pretax Margin % is -171.60%. Red Cat Holdings' overall GF Score™ is 81/100 with 4 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 Red Cat Holdings (RCAT), the current Pretax Margin % is -171.60% 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 Red Cat Holdings (RCAT) Overvalued in 2026?
Based on GuruFocus' analysis, Red Cat Holdings stock appears to be overvalued.
The current stock price of $9.02 is trading 14% above its estimated GF Value™ of $7.91.
GuruFocus considers Red Cat Holdings to be Modestly Overvalued.
Key valuation signals for RCAT:
Pretax Margin %: -171.60%
GF Value™: $7.91 vs. price of $9.02 (14% above fair value)
No single metric tells the full story. See the RCAT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Red Cat Holdings Inc is a drone technology company integrating robotic hardware and software for military, government, and commercial operations. Its suite of solutions includes the Arachnid family of ISR and precision strike drones, which includes the Black Widow, a small unmanned ISR system; and WEB (Warfighter Electronic Bridge) GCS, designed to command and control an entire drone family of systems for military operations. Its other offerings include Edge 130 Blue drone systems, Trichon, a fixed-wing VTOL for extended endurance and range, and FANG FPV drones optimized for military operations with precision strike capabilities. The firm's Division includes Teal, FlightWave, and Blue Ops.
81GF Score
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