Stellar BancorpSTEL -0.23%65 Pretax Margin % is 30.06% as of Mar. 2026, which is 13% below its 10-year median of 34.56. GuruFocus rates STEL with a GF Score™ of 65/100 and a GF Value™ of $27.67 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,526 Banks companies, Stellar Bancorp ranks worse than 62.06% 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.
Stellar Bancorp Pretax Margin % Related Terms
Stellar Bancorp Pretax Margin % Historical Data
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The historical data trend for Stellar Bancorp'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.
STEL vs OFG, FCF, NBHC: Pretax Margin % Comparison
For the Banks - Regional subindustry, Stellar Bancorp'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.
Stellar Bancorp Pretax Margin % vs Banks Industry
For the Banks industry and Financial Services sector, Stellar Bancorp's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Stellar Bancorp'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.
Stellar Bancorp (STEL) has a Pretax Margin % of 30.06% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Stellar Bancorp and its competitors. This is 13% below median its historical median of 34.56. Over the past decade, Stellar Bancorp's Pretax Margin % has ranged from 20.21 to 42.61. According to the industry distribution chart, Stellar Bancorp ranks #947 out of 1526 companies in the Banks industry, placing it in the top 62.1%.
Is Stellar Bancorp's Pretax Margin % too high?
Stellar Bancorp's current Pretax Margin % of 30.06% is 13% below median its 10-year median of 34.56. Over the past 10 years, this metric has ranged from a low of 20.21 to a high of 42.61. The Banks industry median Pretax Margin % is 34.89. Stellar Bancorp's value of 30.06% is 13.8% below this industry median. Based on the distribution chart, Stellar Bancorp ranks #947 out of 1526 companies in the Banks industry, which is below the industry midpoint. Overall, Stellar Bancorp has a GF Score™ of 65/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Stellar Bancorp's Pretax Margin % compare to OFG and FCF?
According to the Banks industry distribution chart, Stellar Bancorp ranks #947 out of 1526 companies for Pretax Margin %. This places Stellar Bancorp in the lower half of its industry. The industry median Pretax Margin % is 34.89. Stellar Bancorp's value of 30.06% is 13.8% below this benchmark. Historically, Stellar Bancorp's own Pretax Margin % has ranged from 20.21 to 42.61 over the past decade. While the company's 10-year median is 34.56 vs. the industry median of 34.89, Stellar Bancorp 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 Banks company?
The median Pretax Margin % among Banks companies is 34.89, 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. Stellar Bancorp's current Pretax Margin % of 30.06% is 13.8% 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 Stellar Bancorp and its competitors. For the Banks industry, the median Pretax Margin % is 34.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Stellar Bancorp's current Pretax Margin % is 30.06%, which is 13% below median its own 10-year median of 34.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Stellar Bancorp stock overvalued right now?
Based on GuruFocus' analysis, Stellar Bancorp (STEL) is currently considered Significantly Overvalued. The stock's GF Value™ is $27.67, compared to a current price of $38.88 — trading 40.5% above its estimated fair value. The current Pretax Margin % is 30.06%, which is 13% below median its 10-year median of 34.56 and 13.8% below the Banks industry median of 34.89. Stellar Bancorp's overall GF Score™ is 65/100 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 Stellar Bancorp (STEL), the current Pretax Margin % is 30.06% 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 Stellar Bancorp (STEL) Overvalued in 2026?
Based on GuruFocus' analysis, Stellar Bancorp stock appears to be overvalued.
The current stock price of $38.88 is trading 40.5% above its estimated GF Value™ of $27.67.
GuruFocus considers Stellar Bancorp to be Significantly Overvalued.
Key valuation signals for STEL:
Pretax Margin %: 30.06% (13% below median its 10-year median of 34.56)
GF Value™: $27.67 vs. price of $38.88 (40.5% above fair value)
Industry Position: 13.8% below the Banks median (#947 of 1526)
No single metric tells the full story. See the STEL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Stellar Bancorp Inc is a U.S. based bank holding company. Through its subsidiary, Stellar Bank, the company provides a diversified range of commercial banking services predominantly to small to medium sized businesses, professionals, and individual customers. Its offerings include different types of loans, such as mortgage loans, home equity loans, automobile loans, etc.; deposit products, such as checking accounts, commercial accounts, money market accounts, savings accounts, etc. and other banking services like mobile banking, debit cards, cash management and wire transfer services, letters of credit, and others.
65GF Score
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