CSCONEUTRAL

Gross Margin

63.6%

Updated 414h ago

Sector Performance

79th percentile

CSCO

63.6%

Sector Median

44.7%

Sector Avg

45.2%

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Deep Analysis

CSCO's gross margin of 63.6% means that for every dollar of revenue, the company retains $0.636 after covering the direct costs of producing its products and services—a key measure of core profitability.

This figure sits well above the sector median of 43.2%, placing CSCO in the 79th percentile among its peers, indicating a cost structure or pricing power that is stronger than most competitors. However, no trend data is available: the year-over-year change is N/A, the quarter-over-quarter change is N/A, and no values from the prior eight quarters are provided to assess direction. The combination of a high absolute margin with no trend information creates uncertainty: the level suggests a competitive advantage, but without knowing whether it is improving or deteriorating, it is impossible to gauge momentum. This lack of trend data neither contradicts nor strongly supports the overall NEUTRAL verdict, as the positive level is offset by the absence of trajectory—keeping the assessment balanced.

Frequently Asked Questions

What does the Gross Margin tell investors about CSCO?

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 CSCO's closest peers by Gross Margin?

The closest peers by Gross Margin include: EXPD (14.0%), JBHT (12.6%), DVN (12.1%), F (11.9%), GM (11.5%).

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.