EXCNEUTRAL

EXC Gross Margin Analysis

39.7%

Updated 297h ago·SEC filings & market data

Key Takeaway

Gross margin is the percentage of revenue left after paying direct production costs; EXC’s 39.7% means it retains about 39.7 cents per dollar of sales before other expenses.

Sector Performance

38th percentile

EXC

39.7%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

41.4%(Jul 2026)

↓ Declining

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Deep Analysis

Gross margin is the percentage of revenue left after paying direct production costs; EXC’s 39.7% means it retains about 39.7 cents per dollar of sales before other expenses.

That sits below the sector median of 46.4%, placing the company in the 39th percentile among sector peers. Trend data is limited: year-over-year change is not available, but the most recent quarter shows a 4.1% decline from the prior quarter’s 41.4%. A below-median margin combined with a recent quarterly drop suggests possible pricing pressure or higher input costs, which raises near-term risk. This metric supports the overall NEUTRAL verdict because the margin is lower than most peers but not at the bottom of the range, leaving room for improvement without signaling acute distress. The level and trend together indicate a modest headwind rather than a decisive reason to change the neutral assessment.

Frequently Asked Questions

What does the Gross Margin tell investors about EXC?

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 EXC'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.