EL Gross Margin Analysis
Updated 1275h ago·SEC filings & market data
Key Takeaway
Gross margin is the share of revenue left after paying direct production costs, and EL’s 76.4% means it keeps $0.764 of every sales dollar before other expenses.
Sector Performance
89th percentileEL
76.4%
Sector Median
47.4%
Sector Avg
48.1%
Prior Period
71.0%(May 2026)
Deep Analysis
Gross margin is the share of revenue left after paying direct production costs, and EL’s 76.4% means it keeps $0.764 of every sales dollar before other expenses.
That figure sits far above the sector median of 44.9%, placing EL in the 91st percentile of sector peers — meaning only about 9% of comparable companies have a higher margin. The trend data is not available: year-over-year change is listed as N/A and quarter-over-quarter change is also N/A, so no direction can be established from the 8-quarter history (which only shows the most recent value of 76.4%). A very high margin with no trend evidence offers a potential quality signal, but the absence of historical movement leaves uncertainty about whether this level is stable or eroding. For investment risk, the strong margin suggests pricing power and cost efficiency, which could reduce downside risk, yet the untracked trend means you cannot confirm that advantage is improving or deteriorating. This metric directly supports the overall CAUTIOUS verdict: the high margin is a positive, but the missing trend data reinforces caution rather than conviction.
Frequently Asked Questions
What does the Gross Margin tell investors about EL?
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.
Learn More About Gross Margin
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.
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76.4%
Sector Median
47.4%
Sector Avg
48.1%
How EL's Gross Margin compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.