COHUCAUTIOUS

COHU Gross Margin Analysis

45.4%

Updated 396h ago·SEC filings & market data

Key Takeaway

Gross margin is the share of revenue a company keeps after paying direct production costs.

Sector Performance

47th percentile

COHU

45.4%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

46.3%(Jul 2026)

↓ Declining

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Deep Analysis

Gross margin is the share of revenue a company keeps after paying direct production costs.

At 45.4%, COHU retains $0.454 of each sales dollar before other expenses. This matches the sector median of 45.4%, placing COHU at the 50th percentile among peers — exactly average. Trend data for the last 8 quarters is N/A, the year-over-year change is N/A, and the quarter-over-quarter change is -1.9%, meaning the margin slipped from 46.3% in the prior quarter. An average margin that is eroding suggests COHU faces cost or pricing pressure that may not yet be reflected in valuation. The level is neutral, but the negative QoQ direction adds risk. This supports the overall CAUTIOUS stance, as a falling margin with no historical trend to confirm stability does not argue for optimism.

Frequently Asked Questions

What does the Gross Margin tell investors about COHU?

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 COHU'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.