DVNNEUTRAL

DVN Gross Margin Analysis

36.9%

Updated 417h ago·SEC filings & market data

Key Takeaway

Gross margin measures the percentage of revenue a company keeps after paying direct production costs, so a 36.9% margin means DVN retains $0.369 for every dollar of sales before other expenses.

Sector Performance

32th percentile

DVN

36.9%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

12.1%(Aug 2026)

↑ Improving

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Deep Analysis

Gross margin measures the percentage of revenue a company keeps after paying direct production costs, so a 36.9% margin means DVN retains $0.369 for every dollar of sales before other expenses.

This sits below the sector median of 46.4%, placing DVN in the 33rd percentile among peers, meaning about two-thirds of comparable companies have higher margins. The trend data is limited: year-over-year change is N/A, but the quarter-over-quarter change is +205.0%, reflecting an increase from 12.1% to 36.9% in the most recent period. The combination of a below-median level with a sharp QoQ jump suggests the company is recovering from a very low base, but the absence of a longer trend makes the durability of this improvement uncertain. For an investor, the low absolute margin remains a risk relative to peers, while the recent spike offers a possible opportunity if it signals a structural turnaround. This metric neither strongly supports nor contradicts the overall NEUTRAL verdict; it aligns with a cautious stance given the weak level and unverified trend.

Frequently Asked Questions

What does the Gross Margin tell investors about DVN?

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 DVN'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.