ETNCAUTIOUS

Gross Margin

35.6%

Updated 54h ago

Sector Performance

31th percentile

ETN

35.6%

Sector Median

44.7%

Sector Avg

45.2%

📊

Deep Analysis

Gross margin measures the percentage of revenue a company keeps after paying for the direct costs of making its products—here, ETN keeps 35.6 cents of every dollar of sales.

That figure sits well below the sector median of 44.6%, placing the company at the 31st percentile among its peers, meaning roughly two-thirds of competitors operate with higher profitability per sale. No year-over-year or quarter-over-quarter change data is available, and the eight-quarter trend is also listed as N/A, so no direction can be inferred from the numbers provided. A gross margin that is both low versus peers and lacking any historical trend data introduces risk: without evidence of improvement, the current level may indicate cost disadvantages or pricing pressure that could persist. This metric directly supports the overall CAUTIOUS verdict because a sub‑median margin leaves ETN with less buffer against rising costs or price competition compared to most sector peers.

Frequently Asked Questions

What does the Gross Margin tell investors about ETN?

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 ETN's closest peers by Gross Margin?

The closest peers by Gross Margin include: EXPD (14.0%), 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.