Gross Margin
Updated 152h ago
Sector Performance
78th percentileKO
63.0%
Sector Median
44.7%
Sector Avg
45.2%
Deep Analysis
Coca-Cola’s gross margin of 63.0% means that after deducting the direct costs of producing its beverages, the company retains 63 cents of every dollar in sales as gross profit to cover other expenses and generate net income.
This is well above the sector median of 44.4%, placing KO in the 77th percentile among its peers, indicating it operates with a cost advantage relative to the typical company in its industry. The trend data is not available, with no year-over-year change or quarter-over-quarter change reported, and the historical record shows only a single value of 63.0% for the most recent period. The combination of a high gross margin level with an unknown trend suggests that current profitability is strong, but the lack of movement introduces uncertainty about whether this advantage is stable or deteriorating. Because the trend direction is absent, the metric alone does not offer a clear signal for investment risk or opportunity beyond confirming that the company’s cost structure is favorable. This supports the overall NEUTRAL verdict, as the gross margin is above average but provides no forward-looking momentum to shift the assessment toward bullish or bearish.
Frequently Asked Questions
What does the Gross Margin tell investors about KO?
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 KO's closest peers by Gross Margin?
The closest peers by Gross Margin include: WHR (12.7%), 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.
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63.0%
Sector Median
44.7%
Sector Avg
45.2%
How KO's Gross Margin compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.