FTNTCAUTIOUS

FTNT Gross Margin Analysis

80.3%

Updated 84h ago·SEC filings & market data

Key Takeaway

Gross margin is the percentage of revenue a company keeps after paying the direct costs of producing its goods or services; FTNT’s current 80.3% means it retains $0.80 of every dollar in sales.

Sector Performance

94th percentile

FTNT

80.3%

Sector Median

44.6%

Sector Avg

45.5%

Prior Period

79.6%(Apr 2026)

→ Stable

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Deep Analysis

Gross margin is the percentage of revenue a company keeps after paying the direct costs of producing its goods or services; FTNT’s current 80.3% means it retains $0.80 of every dollar in sales.

This is well above the sector median of 44.4%, placing FTNT in the 94th percentile among its peers. The year-over-year change is not available, and the quarter-over-quarter change is also not available, so no trend direction can be derived from the last eight quarters. The combination of a very high gross margin level with no trend data implies that while the current profitability from production is strong, the lack of historical changes creates uncertainty about its sustainability. The high margin alone supports a positive view, but the cautious overall verdict indicates that other factors—such as revenue growth, competitive pressure, or valuation concerns—outweigh this strength. Therefore, this metric does not directly contradict the cautious verdict but is insufficient to shift it.

Frequently Asked Questions

What does the Gross Margin tell investors about FTNT?

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 FTNT's closest peers by Gross Margin?

The closest peers by Gross Margin include: MSCI (82.7%), SYF (82.7%), EA (82.8%), THC (83.4%), INTU (83.9%).

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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.