CSCONEUTRAL

CSCO Gross Margin Analysis

63.6%

Updated 269h ago·SEC filings & market data

Key Takeaway

Gross margin is the share of revenue left after paying direct production costs, and CSCO's 63.6% means it keeps roughly 63.6 cents of every sales dollar to cover other expenses and profit.

Sector Performance

75th percentile

CSCO

63.6%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

65.0%(Apr 2026)

↓ Declining

📊

Deep Analysis

Gross margin is the share of revenue left after paying direct production costs, and CSCO's 63.6% means it keeps roughly 63.6 cents of every sales dollar to cover other expenses and profit.

Relative to peers, this is well above the sector median of 46.4%, placing CSCO in the 76th percentile of its peer group. The margin trend is not assessable because both the year-over-year and quarter-over-quarter changes are N/A, and only a single historical value of 63.6% is available. A high gross margin combined with missing trend data suggests the current profitability level is strong, but there is no evidence of improving or deteriorating direction, which leaves future performance uncertain. This high level is a positive factor, yet the lack of any trend data does not provide enough momentum to alter the overall NEUTRAL verdict. On balance, the metric supports the NEUTRAL stance: solid profitability is already reflected, but no confirmatory trend exists to justify a more bullish or bearish view.

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: LVS (46.9%), ORLY (51.4%), MPWR (55.2%), NEM (56.0%), REI (56.0%).

📚

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.