GEHCNEUTRAL

GEHC Gross Margin Analysis

41.2%

Updated 60h 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; a 41.2% gross margin means GEHC retains about 41 cents of every dollar of sales before other expenses.

Sector Performance

46th percentile

GEHC

41.2%

Sector Median

44.6%

Sector Avg

45.5%

Prior Period

38.5%(Jul 2026)

↑ Improving

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Deep Analysis

Compared to peers in its sector, the sector median is 44.6%, and GEHC sits at the 46th percentile, meaning it is slightly below the middle of the pack. The year-over-year change is not available, but the quarter-over-quarter change shows a +7.0% increase from the prior quarter. The current gross margin of 41.2% is below the sector median, yet the 7.0% sequential improvement suggests recent cost or pricing gains, lowering near-term risk. This combination of a below-median level with a positive short-term trend points to a moderate investment opportunity if the improvement continues, but does not signal a clear edge versus peers. The metric supports the overall NEUTRAL verdict because the level is close to the sector median and the trend is positive but unconfirmed by year-over-year data, leaving the stock without a strong bullish or bearish bias.

Frequently Asked Questions

What does the Gross Margin tell investors about GEHC?

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 GEHC'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.