FFIVNEUTRAL

FFIV Gross Margin Analysis

82.2%

Updated 441h ago·SEC filings & market data

Key Takeaway

Gross margin is the share of revenue left after paying direct production costs, so 82.2% means FFIV keeps $0.82 of each sales dollar as gross profit.

Sector Performance

94th percentile

FFIV

82.2%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

81.4%(Aug 2026)

→ Stable

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Deep Analysis

Gross margin is the share of revenue left after paying direct production costs, so 82.2% means FFIV keeps $0.82 of each sales dollar as gross profit.

This is far above the sector median of 46.4%, placing the company in the 94th percentile of peers. The year-over-year change is N/A, but the most recent quarter rose 1.0% sequentially, from 81.4% to 82.2%, so the short-term trend is positive. A high margin at the 94th percentile already signals pricing power, and the +1.0% uptick adds a layer of momentum to that strength. For investors, the combination of an unusually high margin and a rising quarter-over-quarter trend lowers business risk, though it also leaves limited room for further expansion. This metric directly supports the overall NEUTRAL verdict: the margin is strong, but its extreme level and modest recent gain do not alone justify a bullish or bearish stance.

Frequently Asked Questions

What does the Gross Margin tell investors about FFIV?

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 FFIV'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.