GWRENEUTRAL

GWRE Gross Margin Analysis

63.5%

Updated 761h ago·SEC filings & market data

Key Takeaway

Gross margin is the share of revenue left after covering the direct costs of delivering software, so a 63.5% figure means GWRE retains 63.5 cents of every sales dollar before other expenses.

Sector Performance

74th percentile

GWRE

63.5%

Sector Median

47.4%

Sector Avg

48.1%

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Deep Analysis

Gross margin is the share of revenue left after covering the direct costs of delivering software, so a 63.5% figure means GWRE retains 63.5 cents of every sales dollar before other expenses.

That level sits above the sector median of 46.4%, placing GWRE in the 76th percentile of its peer group. The trend for this metric is N/A, with no year-over-year change or quarter-over-quarter change provided, so there is no established direction to assess. The combination of a high gross margin with an unknown trend suggests current profitability at the product level is favorable, but the lack of movement data leaves the durability of that advantage unverified. Overall, this metric supports the NEUTRAL verdict because a strong margin alone does not confirm a bullish outlook without trend confirmation to back it up.

Frequently Asked Questions

What does the Gross Margin tell investors about GWRE?

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.

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.

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GWRE

63.5%

Sector Median

47.4%

Sector Avg

48.1%

How GWRE's Gross Margin compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.