GENNEUTRAL

GEN Gross Margin Analysis

77.0%

Updated 345h ago·SEC filings & market data

Key Takeaway

Gross margin is the share of revenue left after paying the direct costs of producing a product or service, so a 77.0% margin means $0.77 of every sales dollar remains as profit before other expenses.

Sector Performance

90th percentile

GEN

77.0%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

78.5%(Aug 2026)

↓ Declining

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Deep Analysis

Gross margin is the share of revenue left after paying the direct costs of producing a product or service, so a 77.0% margin means $0.77 of every sales dollar remains as profit before other expenses.

This sits far above the sector median of 46.4%, placing the company in the 90th percentile of its peer group, indicating a high-cost advantage relative to most competitors. The trend data is limited: no year-over-year change is available, but quarter-over-quarter the margin fell 1.9 percentage points, from 78.5% to 77.0%, and the eight-quarter trend direction is also N/A. The combination of a very high current margin with a small recent decline suggests the company retains a strong profitability buffer, though the direction warrants monitoring to see if the drop continues. This metric supports the overall NEUTRAL verdict: the high level reduces near-term risk, but the lack of trend clarity and the slight QoQ erosion prevent a more positive or negative tilt.

Frequently Asked Questions

What does the Gross Margin tell investors about GEN?

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 GEN'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.