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1st SourceSRCE -0.12%66 Pretax Margin % is 52.13% as of Jun. 2026, which is 29% above its 10-year median of 40.38. GuruFocus rates SRCE with a GF Score™ of 66/100 and a GF Value™ of $69.87 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 1,526 Banks companies, 1st Source ranks better than 80.93% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. 1st Source's Pre-Tax Income for the
three
months ended in Jun. 2026 was $61.6 Mil. 1st Source's Revenue for the
three
months ended in Jun. 2026 was $118.2 Mil. Therefore, 1st Source's pretax margin for the quarter that ended in Jun. 2026 was 52.13%.
The historical rank and industry rank for 1st Source's Pretax Margin % or its related term are showing as below:
SRCE'
s Pretax Margin % Range Over the Past 10 Years
Min: 32.25 Med: 40.38 Max: 48.92
Current: 48.92
SRCE's Pretax Margin % is ranked better than 80.93% of 1526
companies
in the Banks industry
Industry Median: 35.365
vs SRCE: 48.92
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.
1st Source Pretax Margin % Related Terms
1st Source Pretax Margin % Historical Data
* Premium members only.
The historical data trend for 1st Source'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.
SRCE vs HAPN, FCF, CHCO: Pretax Margin % Comparison
For the Banks - Regional subindustry, 1st Source'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.
1st Source Pretax Margin % vs Banks Industry
For the Banks industry and Financial Services sector, 1st Source's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where 1st Source'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.
1st Source (SRCE) has a Pretax Margin % of 52.13% as of Jun. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on 1st Source and its competitors. This is 29% above median its historical median of 40.38. Over the past decade, 1st Source's Pretax Margin % has ranged from 32.25 to 48.92. According to the industry distribution chart, 1st Source ranks #291 out of 1526 companies in the Banks industry, placing it in the top 19.1%.
Is 1st Source's Pretax Margin % too high?
1st Source's current Pretax Margin % of 52.13% is 29% above median its 10-year median of 40.38. Over the past 10 years, this metric has ranged from a low of 32.25 to a high of 48.92. The Banks industry median Pretax Margin % is 35.37. 1st Source's value of 52.13% is 47.4% above this industry median. Based on the distribution chart, 1st Source ranks #291 out of 1526 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, 1st Source has a GF Score™ of 66/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does 1st Source's Pretax Margin % compare to HAPN and FCF?
According to the Banks industry distribution chart, 1st Source ranks #291 out of 1526 companies for Pretax Margin %. This places 1st Source in the top 19% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 35.37. 1st Source's value of 52.13% is 47.4% above this benchmark. Historically, 1st Source's own Pretax Margin % has ranged from 32.25 to 48.92 over the past decade. While the company's 10-year median is 40.38 vs. the industry median of 35.37, 1st Source 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 Banks company?
The median Pretax Margin % among Banks companies is 35.37, based on 1,526 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. 1st Source's current Pretax Margin % of 52.13% is 47.4% 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 1st Source and its competitors. For the Banks industry, the median Pretax Margin % is 35.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. 1st Source's current Pretax Margin % is 52.13%, which is 29% above median its own 10-year median of 40.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is 1st Source stock overvalued right now?
Based on GuruFocus' analysis, 1st Source (SRCE) is currently considered Modestly Overvalued. The stock's GF Value™ is $69.87, compared to a current price of $89.69 — trading 28.4% above its estimated fair value. The current Pretax Margin % is 52.13%, which is 29% above median its 10-year median of 40.38 and 47.4% above the Banks industry median of 35.37. 1st Source's overall GF Score™ is 66/100 with 6 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 1st Source (SRCE), the current Pretax Margin % is 52.13% as of Jun. 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 1st Source (SRCE) Overvalued in 2026?
Based on GuruFocus' analysis, 1st Source stock appears to be overvalued.
The current stock price of $89.69 is trading 28.4% above its estimated GF Value™ of $69.87.
GuruFocus considers 1st Source to be Modestly Overvalued.
Key valuation signals for SRCE:
Pretax Margin %: 52.13% (29% above median its 10-year median of 40.38)
GF Value™: $69.87 vs. price of $89.69 (28.4% above fair value)
Industry Position: 47.4% above the Banks median (#291 of 1526)
No single metric tells the full story. See the SRCE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
1st Source Corp provides specialized financing services for construction equipment, aircraft, and vehicle types through its Specialty Finance activities. The company offers commercial, small business, agricultural, and real estate loans, along with commercial leasing, treasury management, and payment services, including Fedwires, ACH, and merchant services. It also provides Renewable Energy Financing for commercial solar projects, a full range of consumer banking products, Trust and Wealth Advisory Services, and insurance products. The company operates in the commercial banking segment, which provides commercial and consumer banking services, trust and wealth advisory services, and insurance to individual and business clients across its markets.
66GF Score
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