COHUNEUTRAL

Gross Margin

46.3%

Higher than 20% of Technology sector peers

Updated 95h ago

Sector Performance

20th percentile

COHU

46.3%

Sector Median

65.2%

Sector Avg

60.6%

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Deep Analysis

Gross margin, the percentage of revenue remaining after subtracting the direct costs of producing goods, is currently 46.3%.

This is below the technology sector median of 65.2%, placing Cohu in the 20th percentile among its peers. The year-over-year change is not available, but the quarter-over-quarter change shows an increase of 14.6%, indicating near-term improvement. The combination of a below-median gross margin level with a sharp positive quarterly trend suggests a potential narrowing of the competitive gap, but the low starting point still implies elevated cost pressure risk. This metric does not strongly support or contradict the overall NEUTRAL verdict; the low relative standing is a concern, yet the recent gain tempers that negative signal.

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.

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

COHU's Gross Margin of 46.3% compares to a Technology sector median of 65.2%, placing it in the 20th percentile.

Who are COHU's closest peers by Gross Margin?

The closest Technology peers by Gross Margin include: FORM (47.9%), LYFT (47.6%), UBER (45.0%), LSPD (44.4%), GRAB (43.4%).

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.