Hotai Motor CoTPE:2207 -0.11%71 Pretax Margin % is 10.97% as of Dec. 2025, which is 20% above its 10-year median of 9.12. GuruFocus rates TPE:2207 with a GF Score™ of 71/100 and a GF Value™ of NT$683.73 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 1,325 Vehicles & Parts companies, Hotai Motor Co ranks better than 79.25% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Hotai Motor Co's Pre-Tax Income for the
three
months ended in Dec. 2025 was NT$7,008 Mil. Hotai Motor Co's Revenue for the
three
months ended in Dec. 2025 was NT$63,871 Mil. Therefore, Hotai Motor Co's pretax margin for the quarter that ended in Dec. 2025 was 10.97%.
The historical rank and industry rank for Hotai Motor Co's Pretax Margin % or its related term are showing as below:
TPE:2207'
s Pretax Margin % Range Over the Past 10 Years
Min: -6.5 Med: 9.12 Max: 11.58
Current: 10.67
TPE:2207's Pretax Margin % is ranked better than 79.25% of 1325
companies
in the Vehicles & Parts industry
Industry Median: 4.38
vs TPE:2207: 10.67
Hotai Motor Co (TPE:2207) 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.
Hotai Motor Co Pretax Margin % Related Terms
Hotai Motor Co Pretax Margin % Historical Data
* Premium members only.
The historical data trend for Hotai Motor Co'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.
TPE:2207 vs CVNA, PAG, ALTB: Pretax Margin % Comparison
For the Auto & Truck Dealerships subindustry, Hotai Motor Co'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.
Hotai Motor Co Pretax Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Hotai Motor Co's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Hotai Motor Co'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.
Hotai Motor Co (TPE:2207) has a Pretax Margin % of 10.97% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Hotai Motor Co and its competitors. This is 20% above median its historical median of 9.12. According to the industry distribution chart, Hotai Motor Co ranks #275 out of 1325 companies in the Vehicles & Parts industry, placing it in the top 20.8%.
Is Hotai Motor Co's Pretax Margin % too high?
Hotai Motor Co's current Pretax Margin % of 10.97% is 20% above median its 10-year median of 9.12. The Vehicles & Parts industry median Pretax Margin % is 4.38. Hotai Motor Co's value of 10.97% is 150.5% above this industry median. Based on the distribution chart, Hotai Motor Co ranks #275 out of 1325 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Hotai Motor Co has a GF Score™ of 71/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Hotai Motor Co's Pretax Margin % compare to CVNA and PAG?
According to the Vehicles & Parts industry distribution chart, Hotai Motor Co ranks #275 out of 1325 companies for Pretax Margin %. This places Hotai Motor Co in the top 21% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 4.38. Hotai Motor Co's value of 10.97% is 150.5% above this benchmark. While the company's 10-year median is 9.12 vs. the industry median of 4.38, Hotai Motor Co 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 Vehicles & Parts company?
The median Pretax Margin % among Vehicles & Parts companies is 4.38, based on 1,325 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. Hotai Motor Co's current Pretax Margin % of 10.97% is 150.5% 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 Hotai Motor Co and its competitors. For the Vehicles & Parts industry, the median Pretax Margin % is 4.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hotai Motor Co's current Pretax Margin % is 10.97%, which is 20% above median its own 10-year median of 9.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hotai Motor Co stock overvalued right now?
Based on GuruFocus' analysis, Hotai Motor Co (TPE:2207) is currently considered Possible Value Trap. The stock's GF Value™ is NT$683.73, compared to a current price of NT$464.50 — trading 32.1% below its estimated fair value. The current Pretax Margin % is 10.97%, which is 20% above median its 10-year median of 9.12 and 150.5% above the Vehicles & Parts industry median of 4.38. Hotai Motor Co's overall GF Score™ is 71/100 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 Hotai Motor Co (TPE:2207), the current Pretax Margin % is 10.97% 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 Hotai Motor Co (TPE:2207) Overvalued in 2026?
Based on GuruFocus' analysis, Hotai Motor Co stock appears to be undervalued.
The current stock price of NT$464.50 is trading 32.1% below its estimated GF Value™ of NT$683.73.
GuruFocus considers Hotai Motor Co to be Possible Value Trap.
Key valuation signals for TPE:2207:
Pretax Margin %: 10.97% (20% above median its 10-year median of 9.12)
GF Value™: NT$683.73 vs. price of NT$464.50 (32.1% below fair value)
Industry Position: 150.5% above the Vehicles & Parts median (#275 of 1325)
No single metric tells the full story. See the TPE:2207 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hotai Motor Co Ltd is engaged in import, trading, selling and repairing of vehicles and their parts, as well as installment sales and leases of vehicles, and sales of used vehicles and business of property insurance. The segments of the company include the Distributor of Toyota and Hino products segments, Installment trading, Leasing, and other segments. It has operations across both Taiwan and mainland China, with the vast majority of revenue derived domestically.
71GF Score
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