Smithfield FoodsSFD -1.09%30 Pretax Margin % is 8.50% as of Mar. 2026, which is 76% above its 10-year median of 4.82. GuruFocus rates SFD with a GF Score™ of 30/100. The stock has 2 warning signs investors should review. Among 1,952 Consumer Packaged Goods companies, Smithfield Foods ranks better than 66.14% 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.
Smithfield Foods Pretax Margin % Related Terms
Smithfield Foods Pretax Margin % Historical Data
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The historical data trend for Smithfield Foods'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 Packaged Foods subindustry, Smithfield Foods'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.
Smithfield Foods Pretax Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Smithfield Foods's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Smithfield Foods'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.
Smithfield Foods (SFD) has a Pretax Margin % of 8.50% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Smithfield Foods and its competitors. This is 76% above median its historical median of 4.82. According to the industry distribution chart, Smithfield Foods ranks #661 out of 1952 companies in the Consumer Packaged Goods industry, placing it in the top 33.9%.
Is Smithfield Foods' Pretax Margin % too high?
Smithfield Foods' current Pretax Margin % of 8.50% is 76% above median its 10-year median of 4.82. The Consumer Packaged Goods industry median Pretax Margin % is 4.67. Smithfield Foods' value of 8.50% is 82.2% above this industry median. Based on the distribution chart, Smithfield Foods ranks #661 out of 1952 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, Smithfield Foods has a GF Score™ of 30/100, reflecting its overall financial health beyond just this single metric.
How does Smithfield Foods' Pretax Margin % compare to DAR and SJM?
According to the Consumer Packaged Goods industry distribution chart, Smithfield Foods ranks #661 out of 1952 companies for Pretax Margin %. This puts Smithfield Foods in the upper half of its industry. The industry median Pretax Margin % is 4.67. Smithfield Foods' value of 8.50% is 82.2% above this benchmark. While the company's 10-year median is 4.82 vs. the industry median of 4.67, Smithfield Foods 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 Consumer Packaged Goods company?
The median Pretax Margin % among Consumer Packaged Goods companies is 4.67, based on 1,952 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. Smithfield Foods's current Pretax Margin % of 8.50% is 82.2% 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 Smithfield Foods and its competitors. For the Consumer Packaged Goods industry, the median Pretax Margin % is 4.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Smithfield Foods's current Pretax Margin % is 8.50%, which is 76% above median its own 10-year median of 4.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Smithfield Foods stock overvalued right now?
Smithfield Foods (SFD) has a current Pretax Margin % of 8.50%. The current Pretax Margin % is 8.50%, which is 76% above median its 10-year median of 4.82 and 82.2% above the Consumer Packaged Goods industry median of 4.67. Smithfield Foods' overall GF Score™ is 30/100 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 Smithfield Foods (SFD), the current Pretax Margin % is 8.50% 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.
Smithfield Foods Inc is a hog producer and pork processor based in the United States of America. The company conducts its operations through three reportable segments: Packaged Meats, Fresh Pork, and Hog Production. The company generates the maximum of its revenue from the Packaged Meats segment. The Packaged Meats segment consists of the company's U.S. operations that process fresh meat into a wide variety of packaged meats products, including bacon, sausage, hot dogs, deli and lunch meats, dry sausage products (such as pepperoni and genoa), ham products, ready-to-eat products and prepared foods (such as pre-cooked entrees, bacon and sausage).
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