CRMBULLISH

CRM Gross Margin Analysis

76.7%

Higher than 71% of Technology sector peers

Updated 944h ago·SEC filings & market data

Key Takeaway

Gross margin is the percentage of revenue left after direct costs of delivering the product, and 76.9% means Salesforce retains that much from each dollar of sales before other expenses.

Sector Performance

71th percentile

CRM

76.7%

Sector Median

65.7%

Sector Avg

61.2%

Prior Period

76.9%(Aug 2026)

→ Stable

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Deep Analysis

Gross margin is the percentage of revenue left after direct costs of delivering the product, and 76.9% means Salesforce retains that much from each dollar of sales before other expenses.

This exceeds the sector median of 66.6%, placing CRM in the 69th percentile among technology peers. The trend is N/A, as both the year-over-year change and quarter-over-quarter change are not available. With a high margin but no trend data, the level suggests a cost-efficient business model, yet the lack of change information prevents assessing whether this advantage is improving or fading. For risk, the high margin offers a cushion against cost increases, but the unknown trend adds uncertainty for future profitability. This metric supports the overall NEUTRAL verdict because a strong margin alone is not enough to justify a positive or negative stance without trend confirmation.

Frequently Asked Questions

What does the Gross Margin tell investors about CRM?

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 CRM's Gross Margin compare to its sector?

CRM's Gross Margin of 76.7% compares to a Technology sector median of 65.7%, placing it in the 71th percentile.

Who are CRM's closest peers by Gross Margin?

The closest Technology peers by Gross Margin include: ASML (53.0%), AMD (52.8%), MRVL (52.1%), SMTC (52.0%), CAMT (50.1%).

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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.