MSINEUTRAL

Gross Margin

50.2%

Updated 8h ago

Sector Performance

59th percentile

MSI

50.2%

Sector Median

44.7%

Sector Avg

45.2%

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Deep Analysis

Gross margin is the percentage of revenue a company retains after paying the direct costs of producing its goods or services, so a 50.2% figure means it keeps just over half of each sales dollar as profit from production.

This margin sits above the sector median of 44.7%, placing the company in the 59th percentile among its peers, indicating it performs better than most but is not a top-tier outlier. The trend data is unavailable: the year-over-year change is listed as N/A, and the quarter-over-quarter change is also N/A, so there is no information on whether the margin is improving or deteriorating. Because the current level is moderately above the peer median but lacks any trend direction, the combination suggests a stable competitive position without clear momentum—neither a strong opportunity nor a pronounced risk. This metric supports the overall NEUTRAL verdict, as the gross margin is healthy relative to the sector but not exceptional enough to sway the outlook upward or downward without additional context.

Frequently Asked Questions

What does the Gross Margin tell investors about MSI?

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 MSI'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.