Trip.com GroupTCOM +0.99%79 Pretax Margin % is 33.35% as of Dec. 2025, which is 154% above its 10-year median of 13.15. GuruFocus rates TCOM with a GF Score™ of 79/100 and a GF Value™ of $79.08 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 845 Travel & Leisure companies, Trip.com Group ranks better than 96.92% on this metric.
The historical rank and industry rank for Trip.com Group's Pretax Margin % or its related term are showing as below:
TCOM'
s Pretax Margin % Range Over the Past 10 Years
Min: -9.06 Med: 13.15 Max: 62.25
Current: 58.93
TCOM's Pretax Margin % is ranked better than 96.92% of 845
companies
in the Travel & Leisure industry
Industry Median: 6.11
vs TCOM: 58.93
Trip.com Group (NAS:TCOM) 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.
Trip.com Group Pretax Margin % Related Terms
Trip.com Group Pretax Margin % Historical Data
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The historical data trend for Trip.com Group'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.
TCOM vs EXPE, CCL, VIK: Pretax Margin % Comparison
For the Travel Services subindustry, Trip.com Group'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.
Trip.com Group Pretax Margin % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Trip.com Group's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Trip.com Group'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.
Trip.com Group (TCOM) has a Pretax Margin % of 33.35% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Trip.com Group and its competitors. This is 154% above median its historical median of 13.15. According to the industry distribution chart, Trip.com Group ranks #26 out of 845 companies in the Travel & Leisure industry, placing it in the top 3.1%.
Is Trip.com Group's Pretax Margin % too high?
Trip.com Group's current Pretax Margin % of 33.35% is 154% above median its 10-year median of 13.15. The Travel & Leisure industry median Pretax Margin % is 6.11. Trip.com Group's value of 33.35% is 445.8% above this industry median. Based on the distribution chart, Trip.com Group ranks #26 out of 845 companies in the Travel & Leisure industry, which is in the top quartile — a strong position relative to peers. Overall, Trip.com Group has a GF Score™ of 79/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Trip.com Group's Pretax Margin % compare to EXPE and CCL?
According to the Travel & Leisure industry distribution chart, Trip.com Group ranks #26 out of 845 companies for Pretax Margin %. This places Trip.com Group in the top 3% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 6.11. Trip.com Group's value of 33.35% is 445.8% above this benchmark. While the company's 10-year median is 13.15 vs. the industry median of 6.11, Trip.com Group 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 Travel & Leisure company?
The median Pretax Margin % among Travel & Leisure companies is 6.11, based on 845 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. Trip.com Group's current Pretax Margin % of 33.35% is 445.8% 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 Trip.com Group and its competitors. For the Travel & Leisure industry, the median Pretax Margin % is 6.11 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Trip.com Group's current Pretax Margin % is 33.35%, which is 154% above median its own 10-year median of 13.15. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Trip.com Group stock overvalued right now?
Based on GuruFocus' analysis, Trip.com Group (TCOM) is currently considered Significantly Undervalued. The stock's GF Value™ is $79.08, compared to a current price of $40.88 — trading 48.3% below its estimated fair value. The current Pretax Margin % is 33.35%, which is 154% above median its 10-year median of 13.15 and 445.8% above the Travel & Leisure industry median of 6.11. Trip.com Group's overall GF Score™ is 79/100 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 Trip.com Group (TCOM), the current Pretax Margin % is 33.35% 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 Trip.com Group (TCOM) Overvalued in 2026?
Based on GuruFocus' analysis, Trip.com Group stock appears to be undervalued.
The current stock price of $40.88 is trading 48.3% below its estimated GF Value™ of $79.08.
GuruFocus considers Trip.com Group to be Significantly Undervalued.
Key valuation signals for TCOM:
Pretax Margin %: 33.35% (154% above median its 10-year median of 13.15)
GF Value™: $79.08 vs. price of $40.88 (48.3% below fair value)
Industry Position: 445.8% above the Travel & Leisure median (#26 of 845)
No single metric tells the full story. See the TCOM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Trip.com is the largest online travel agent in China and is positioned to benefit from the country's rising demand for higher-margin outbound travel as passport penetration is only 12% in China. The company generated about 79% of sales from accommodation reservations and transportation ticketing in 2024. The rest of revenue comes from package tours and corporate travel. Before the pandemic in 2019, the company generated 25% of revenue from international travel, which is important to its margin expansion. Most of sales come from its domestic platform, but the company is expanding its overseas business. The competes in a crowded OTA industry in China, including Meituan, Alibaba-backed Fliggy, Tongcheng, and Qunar. The company was founded in 1999 and listed on the Nasdaq in December 2003.
79GF Score
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