MOHCAUTIOUS

MOH Gross Margin Analysis

8.5%

Updated 57h ago·SEC filings & market data

Key Takeaway

Gross margin measures the percentage of revenue left after paying direct production costs, so at 8.5%, MOH keeps only $0.085 of every sales dollar before other expenses.

Sector Performance

2th percentile

MOH

8.5%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

9.5%(Jul 2026)

↓ Declining

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Deep Analysis

Gross margin measures the percentage of revenue left after paying direct production costs, so at 8.5%, MOH keeps only $0.085 of every sales dollar before other expenses.

That is far below the sector median of 44.6%, placing MOH at the 2th percentile among sector peers — among the lowest earners on this metric. The year-over-year change is N/A, and the trend direction for the last 8 quarters is N/A, but the quarter-over-quarter change shows a decline of -10.5%, with historical values dropping from 9.5% to 8.5% most recently. A very low margin combined with a recent quarterly decline signals that MOH has thin room to absorb cost increases or pricing pressure, making its profit position fragile. This raises downside risk rather than opportunity, because any further margin erosion directly threatens bottom-line stability. The metric contradicts any optimistic view and directly supports the overall CAUTIOUS verdict on the stock.

Frequently Asked Questions

What does the Gross Margin tell investors about MOH?

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 MOH's closest peers by Gross Margin?

The closest peers by Gross Margin include: LVS (46.9%), ORLY (51.4%), MPWR (55.2%), NEM (56.0%), REI (56.0%).

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Learn More About Gross Margin

Gross Margin vs Net Margin: Why the Gap Between Them Tells You Everything

Gross margin vs net margin: learn what the spread between them reveals about operating leverage, cost structure, and early warning signs in any stock.

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.