CMENEUTRAL

CME Gross Margin Analysis

86.3%

Updated 153h ago·SEC filings & market data

Key Takeaway

Gross margin is the percentage of revenue a company keeps after paying the direct costs of producing its services or products; CME’s current 86.3% means it retains $0.863 of every dollar earned.

Sector Performance

97th percentile

CME

86.3%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

88.1%(Jul 2026)

↓ Declining

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Deep Analysis

Gross margin is the percentage of revenue a company keeps after paying the direct costs of producing its services or products; CME’s current 86.3% means it retains $0.863 of every dollar earned.

This is far above the sector median of 44.4%, placing CME in the 97th percentile among its peers. The year-over-year change is not available, but the quarter-over-quarter change shows a decline of 2.0% from the prior quarter’s 88.1%. The combination of an extremely high margin and a recent slight decline suggests limited near-term risk from cost pressures, but the downward shift warrants monitoring for further erosion. This metric supports the overall NEUTRAL verdict because the elevated margin confirms CME’s pricing power and efficiency, while the small drop indicates no immediate catalyst for a more bullish stance.

Frequently Asked Questions

What does the Gross Margin tell investors about CME?

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 CME's closest peers by Gross Margin?

The closest peers by Gross Margin include: LVS (46.9%), ORLY (51.4%), MPWR (55.2%), NEM (56.0%), REI (56.0%).

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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.