LOWNEUTRAL

Gross Margin

32.7%

Updated 222h ago

Sector Performance

28th percentile

LOW

32.7%

Sector Median

44.7%

Sector Avg

45.2%

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Deep Analysis

The current Gross Margin of 32.7% represents the percentage of revenue left after deducting the direct costs of selling goods, meaning for every dollar of sales, LOW retains roughly 33 cents as gross profit.

Compared to sector peers, this margin sits well below the sector median of 44.4%, placing LOW in the 28th percentile. No year-over-year or quarter-over-quarter changes are available, and the trend direction over the last eight quarters is not reported, so no conclusion can be drawn about its trajectory. The combination of a below-median level with no trend data implies that the current margin is a potential headwind, but without historical context it is unclear whether this is persistent or improving. This metric supports the overall NEUTRAL verdict, as the low margin relative to peers introduces caution, though the absence of trend information prevents a stronger negative assessment.

Frequently Asked Questions

What does the Gross Margin tell investors about LOW?

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 LOW's closest peers by Gross Margin?

The closest peers by Gross Margin include: EXPD (14.0%), 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.