LYBNEUTRAL

Gross Margin

9.7%

Updated 510h ago

Sector Performance

3th percentile

LYB

9.7%

Sector Median

44.7%

Sector Avg

45.2%

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Deep Analysis

Gross margin, which measures the percentage of revenue a company keeps after paying direct production costs, is currently 9.7% for this stock.

That is well below the sector median of 43.2%, placing the company in the 4th percentile among its peers. While the trend direction over the last eight quarters shows an increase, the most recent quarter-over-quarter change is a decline of 13.4% (year-over-year change is not available). This combination of a very low margin level with a recent quarterly drop signals elevated risk, as the company struggles to cover production costs relative to its industry. The overall positive long-term trend offers some hope, but the current margin weakness contradicts a bullish stance. Therefore, this metric supports the overall NEUTRAL verdict by highlighting a key financial vulnerability that offsets any potential upside.

Frequently Asked Questions

What does the Gross Margin tell investors about LYB?

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 LYB's closest peers by Gross Margin?

The closest peers by Gross Margin include: EXPD (14.0%), WHR (12.7%), JBHT (12.6%), DVN (12.1%), F (11.9%).

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.