The Swatch Group AGSWGAF 71 Pretax Margin % is 2.67% as of Dec. 2025, which is 78% below its 10-year median of 12.39. GuruFocus rates SWGAF with a GF Score™ of 71/100 and a GF Value™ of $171.66 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 1,128 Retail - Cyclical companies, The Swatch Group AG ranks worse than 55.76% on this metric.
The historical rank and industry rank for The Swatch Group AG's Pretax Margin % or its related term are showing as below:
SWGAF'
s Pretax Margin % Range Over the Past 10 Years
Min: 0.64 Med: 12.39 Max: 14.62
Current: 2.52
SWGAF's Pretax Margin % is ranked worse than 55.76% of 1128
companies
in the Retail - Cyclical industry
Industry Median: 3.135
vs SWGAF: 2.52
The Swatch Group AG (OTCPK:SWGAF) 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.
The Swatch Group AG Pretax Margin % Related Terms
The Swatch Group AG Pretax Margin % Historical Data
* Premium members only.
The historical data trend for The Swatch Group AG'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 Luxury Goods subindustry, The Swatch Group AG'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.
The Swatch Group AG Pretax Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, The Swatch Group AG's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where The Swatch Group AG'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.
The Swatch Group AG (SWGAF) has a Pretax Margin % of 2.67% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on The Swatch Group AG and its competitors. This is 78% below median its historical median of 12.39. Over the past decade, The Swatch Group AG's Pretax Margin % has ranged from 0.64 to 14.62. According to the industry distribution chart, The Swatch Group AG ranks #629 out of 1128 companies in the Retail - Cyclical industry, placing it in the top 55.8%.
Is The Swatch Group AG's Pretax Margin % too high?
The Swatch Group AG's current Pretax Margin % of 2.67% is 78% below median its 10-year median of 12.39. Over the past 10 years, this metric has ranged from a low of 0.64 to a high of 14.62. The Retail - Cyclical industry median Pretax Margin % is 3.14. The Swatch Group AG's value of 2.67% is 14.8% below this industry median. Based on the distribution chart, The Swatch Group AG ranks #629 out of 1128 companies in the Retail - Cyclical industry, which is below the industry midpoint. Overall, The Swatch Group AG has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Swatch Group AG's Pretax Margin % compare to TPR and SIG?
According to the Retail - Cyclical industry distribution chart, The Swatch Group AG ranks #629 out of 1128 companies for Pretax Margin %. This places The Swatch Group AG in the lower half of its industry. The industry median Pretax Margin % is 3.14. The Swatch Group AG's value of 2.67% is 14.8% below this benchmark. Historically, The Swatch Group AG's own Pretax Margin % has ranged from 0.64 to 14.62 over the past decade. While the company's 10-year median is 12.39 vs. the industry median of 3.14, The Swatch Group AG 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 Retail - Cyclical company?
The median Pretax Margin % among Retail - Cyclical companies is 3.14, based on 1,128 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. The Swatch Group AG's current Pretax Margin % of 2.67% is 14.8% 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 The Swatch Group AG and its competitors. For the Retail - Cyclical industry, the median Pretax Margin % is 3.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Swatch Group AG's current Pretax Margin % is 2.67%, which is 78% below median its own 10-year median of 12.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Swatch Group AG stock overvalued right now?
Based on GuruFocus' analysis, The Swatch Group AG (SWGAF) is currently considered Significantly Overvalued. The stock's GF Value™ is $171.66, compared to a current price of $257.43 — trading 50% above its estimated fair value. The current Pretax Margin % is 2.67%, which is 78% below median its 10-year median of 12.39 and 14.8% below the Retail - Cyclical industry median of 3.14. The Swatch Group AG's overall GF Score™ is 71/100 with 10 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 The Swatch Group AG (SWGAF), the current Pretax Margin % is 2.67% as of Dec. 2025. 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 The Swatch Group AG (SWGAF) Overvalued in 2026?
Based on GuruFocus' analysis, The Swatch Group AG stock appears to be overvalued.
The current stock price of $257.43 is trading 50% above its estimated GF Value™ of $171.66.
GuruFocus considers The Swatch Group AG to be Significantly Overvalued.
Key valuation signals for SWGAF:
Pretax Margin %: 2.67% (78% below median its 10-year median of 12.39)
GF Value™: $171.66 vs. price of $257.43 (50% above fair value)
Industry Position: 14.8% below the Retail - Cyclical median (#629 of 1128)
No single metric tells the full story. See the SWGAF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Swatch Group's biggest brands are Omega (number two or three in its category), Breguet, Tissot (the leader in midrange Swiss watches), and Swatch. The company employs over 32,000 people, half of them in Switzerland. We estimate Omega and Longines to be the group's most profitable brands.
71GF Score
Get the complete analysis for SWGAF
Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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