HOODNEUTRAL

Gross Margin

80.6%

Higher than 68% of Financial Services sector peers

Updated 1078h ago

Sector Performance

68th percentile

HOOD

80.6%

Sector Median

68.5%

Sector Avg

67.7%

📊

Deep Analysis

Robinhood Markets, Inc. (HOOD) has a Gross Margin of 80.6% as of May 2026.

This places HOOD in the 68th percentile of the Financial Services sector, which has a median Gross Margin of 68.5% and a sector average of 67.7%. HOOD's Gross Margin is 17.7% above the sector median. In context: Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

Frequently Asked Questions

What does the Gross Margin tell investors about HOOD?

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.

How does HOOD's Gross Margin compare to its sector?

HOOD's Gross Margin of 80.6% compares to a Financial Services sector median of 68.5%, placing it in the 68th percentile.

Who are HOOD's closest peers by Gross Margin?

The closest Financial Services peers by Gross Margin include: HDB (58.4%), COF (57.8%), AFL (57.5%), HSBC (56.5%), PFG (53.9%).

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.