AAPLNEUTRAL

Gross Margin

49.3%

Higher than 29% of Technology sector peers

Updated 190h ago

Sector Performance

29th percentile

AAPL

49.3%

Sector Median

62.2%

Sector Avg

60.4%

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Deep Analysis

Apple’s gross margin of 49.3% means that for every dollar of revenue, the company keeps $0.493 after covering the direct costs of producing its products.

That figure sits well below the Technology sector median of 65.9%, placing Apple in the 22nd percentile among its peers. The metric has been perfectly stable over the last eight quarters, with a year-over-year change of +0.0% and a quarter-over-quarter change of +0.0%. A gross margin that is both below the sector norm and completely flat suggests limited competitive pricing power or cost advantages, but also no deterioration. For an investor, this combination points to a low‑risk profile—the margin is not eroding—but also a constrained opportunity for margin‑driven earnings expansion. This stable but below‑median gross margin does not directly support the overall BULLISH verdict; it is a neutral factor rather than a confirming catalyst.

Frequently Asked Questions

What does the Gross Margin tell investors about AAPL?

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

How is the Gross Margin calculated?

Gross Margin is calculated as: Gross Profit / Revenue.

How does AAPL's Gross Margin compare to its sector?

AAPL's Gross Margin of 49.3% compares to a Technology sector median of 62.2%, placing it in the 29th percentile.

Who are AAPL's closest peers by Gross Margin?

The closest Technology peers by Gross Margin include: FORM (47.9%), LYFT (47.6%), UBER (45.0%), GRAB (43.4%), LSPD (42.8%).

The Formula

Gross Profit / Revenue

Why It Matters

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.