COINNEUTRAL

Gross Margin

69.7%

Higher than 52% of Financial Services sector peers

Updated 1078h ago

Sector Performance

52th percentile

COIN

69.7%

Sector Median

68.5%

Sector Avg

67.7%

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Deep Analysis

Coinbase's gross margin of 69.7% means that for every dollar of revenue, roughly 70 cents remain after subtracting the direct costs of providing its services.

This figure sits below the Financial Services sector median of 78.9%, placing the company in the 36th percentile among its peers—indicating lower profitability from core operations relative to the typical competitor. No year-over-year or quarter-over-quarter changes are available, and the trend direction over the last eight quarters is also not provided, so no trajectory can be assessed. The combination of a below-median gross margin with an absence of trend data leaves limited basis for judging momentum, creating uncertainty rather than a clear risk or opportunity. This metric, showing weaker cost efficiency than most peers yet lacking directional evidence, does not contradict the overall NEUTRAL verdict, as it neither strongly supports a bullish nor bearish stance.

Frequently Asked Questions

What does the Gross Margin tell investors about COIN?

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 COIN's Gross Margin compare to its sector?

COIN's Gross Margin of 69.7% compares to a Financial Services sector median of 68.5%, placing it in the 52th percentile.

Who are COIN's closest peers by Gross Margin?

The closest Financial Services peers by Gross Margin include: HDB (58.4%), COF (57.8%), AFL (57.5%), HSBC (56.5%), PFG (53.9%).

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.