AGNEUTRAL

AG Gross Margin Analysis

55.3%

Higher than 73% of Basic Materials sector peers

Updated 2532h ago·SEC filings & market data

Key Takeaway

First Majestic Silver Corp.'s gross margin of 55.3% means that for every dollar of revenue the company earns, it keeps 55.3 cents after covering the direct costs of producing silver.

Sector Performance

73th percentile

55.3%

Sector Median

46.3%

Sector Avg

-49960.2%

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Deep Analysis

First Majestic Silver Corp.'s gross margin of 55.3% means that for every dollar of revenue the company earns, it keeps 55.3 cents after covering the direct costs of producing silver.

This is higher than the sector median of 45.1%, placing the company in the 67th percentile among Basic Materials peers — indicating above-average cost efficiency relative to competitors. The year-over-year change is not available, and the quarter-over-quarter change is also not available, so there is no trend direction data for the last eight quarters. With a strong margin level but no trend to confirm improvement or deterioration, the combination suggests moderate investment risk: the company currently operates efficiently, but the lack of historical movement makes it difficult to assess whether this edge is sustainable. This metric supports the overall NEUTRAL verdict because a high gross margin is a positive signal, yet the absence of any trend data prevents a more bullish or bearish view.

Frequently Asked Questions

What does the Gross Margin tell investors about AG?

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 AG's Gross Margin compare to its sector?

AG's Gross Margin of 55.3% compares to a Basic Materials sector median of 46.3%, placing it in the 73th percentile.

Who are AG's closest peers by Gross Margin?

The closest Basic Materials peers by Gross Margin include: BHP (42.8%), CDE (49.8%), PPG (40.2%), PAAS (52.7%), ALB (35.1%).

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Learn More About Gross Margin

Gross Margin vs Net Margin: Why the Gap Between Them Tells You Everything

Gross margin vs net margin: learn what the spread between them reveals about operating leverage, cost structure, and early warning signs in any stock.

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.