EMRNEUTRAL

Gross Margin

53.1%

Updated 176h ago

Sector Performance

62th percentile

EMR

53.1%

Sector Median

44.7%

Sector Avg

45.2%

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Deep Analysis

Gross margin measures the percentage of revenue retained after deducting the cost of goods sold, indicating how efficiently a company produces its products.

EMR’s current gross margin of 53.1% sits above the sector median of 44.4% and places it in the 62nd percentile among its industry peers, showing above-average core profitability. The year-over-year change is not available, but the quarter-over-quarter change of +4.7% reflects an increase from the prior quarter’s 50.7%, though only two data points are reported. The combination of a margin above the sector median and a recent upward movement suggests a possible improvement in cost control or pricing power, but the limited trend data means this is not a clear signal of lasting strength. Given the limited historical information, this metric neither confirms nor contradicts the overall NEUTRAL verdict; it points to a respectable position that aligns with a cautious stance.

Frequently Asked Questions

What does the Gross Margin tell investors about EMR?

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 EMR's closest peers by Gross Margin?

The closest peers by Gross Margin include: WHR (12.7%), 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.