BROSNEUTRAL

BROS Gross Margin Analysis

27.4%

Updated 251h ago·SEC filings & market data

Key Takeaway

Gross margin is the percentage of revenue a company keeps after paying direct costs to produce its goods or services, so 27.4% means BROS retains $0.274 for each dollar of sales before other expenses.

Sector Performance

19th percentile

BROS

27.4%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

23.1%(Jul 2026)

↑ Improving

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Deep Analysis

That level is well below the sector median of 46.4%, placing BROS in the 20th percentile among peers, which signals weaker cost efficiency than most comparable companies. The trend data are limited: the year-over-year change is N/A, and the quarter-over-quarter change is +18.6%, moving from 23.1% last quarter to 27.4% now. The combination of a low absolute margin with a recent QoQ improvement suggests a potential turnaround opportunity, but the lack of fuller trend history leaves the durability of that gain unproven. This metric supports the overall NEUTRAL verdict because the margin level is a clear disadvantage, while the recent bounce keeps the stock from being a clear negative on profitability.

Frequently Asked Questions

What does the Gross Margin tell investors about BROS?

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.

Who are BROS's closest peers by Gross Margin?

The closest peers by Gross Margin include: HII (12.6%), VLO (12.3%), EXPD (12.3%), LMT (12.2%), EPD (12.1%).

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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.