GDNEUTRAL

Gross Margin

15.9%

Updated 54h ago

Sector Performance

8th percentile

15.9%

Sector Median

44.7%

Sector Avg

45.2%

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Deep Analysis

Gross margin, the percentage of revenue left after subtracting the cost of goods sold, currently stands at 15.9% for GD.

That is far below the sector median of 44.6%, placing GD in the 8th percentile among its peers. The year-over-year change and quarter-over-quarter change are both not available, and there is no trend data for the last eight quarters, so the direction of the metric cannot be assessed. The combination of a very low gross margin relative to peers together with the absence of any trend data means the metric reveals a current profitability weakness but offers no signal about whether it is improving or worsening, introducing uncertainty rather than a clear risk or opportunity. This low gross margin contradicts the stock’s overall NEUTRAL verdict, as it suggests below-average pricing power or cost structure, but without trend information the verdict remains unchanged.

Frequently Asked Questions

What does the Gross Margin tell investors about GD?

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 GD'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.