DDNEUTRAL

DD Gross Margin Analysis

35.1%

Updated 465h ago·SEC filings & market data

Key Takeaway

Gross margin is the share of revenue left after direct production costs, so 35.1% means DD keeps $0.351 of each sales dollar before other expenses.

Sector Performance

29th percentile

35.1%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

35.8%(Jul 2026)

↓ Declining

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Deep Analysis

Gross margin is the share of revenue left after direct production costs, so 35.1% means DD keeps $0.351 of each sales dollar before other expenses.

That is below the sector median of 46.4%, placing DD in the 30th percentile of sector peers. Trend data are limited: year-over-year change is N/A, and quarter-over-quarter change was -2.0%, with gross margin falling from 35.8% to 35.1%. The combination of a level below most peers and a negative quarterly move points to margin pressure that adds risk. This supports the overall NEUTRAL verdict: the metric is weaker than the sector and trending down, but the absence of year-over-year data prevents a stronger bearish conclusion.

Frequently Asked Questions

What does the Gross Margin tell investors about DD?

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 DD'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%).

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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.