NVONEUTRAL

NVO Gross Margin Analysis

86.0%

Higher than 90% of Healthcare sector peers

Updated 190h ago·SEC filings & market data

Key Takeaway

Gross Margin measures the percentage of revenue a company keeps after paying the direct costs of producing its goods or services — a higher figure indicates stronger pricing power or lower production costs.

Sector Performance

90th percentile

NVO

86.0%

Sector Median

69.8%

Sector Avg

-24.1%

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Deep Analysis

NVO’s current Gross Margin of 86.0% places it well above the Healthcare sector median of 69.8%, ranking in the 90th percentile among peers. The year-over-year change is not available, and the quarter-over-quarter change is also not available, so no trend direction can be assessed from the data provided. The combination of an exceptionally high margin level with no trend information means there is no basis to judge recent improvement or deterioration, creating uncertainty about whether this advantage is stable or eroding. This metric supports the overall NEUTRAL verdict because the strong margin level is a positive, but the absence of trend data prevents drawing a clearer bullish or bearish conclusion.

Frequently Asked Questions

What does the Gross Margin tell investors about NVO?

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.

How does NVO's Gross Margin compare to its sector?

NVO's Gross Margin of 86.0% compares to a Healthcare sector median of 69.8%, placing it in the 90th percentile.

Who are NVO's closest peers by Gross Margin?

The closest Healthcare peers by Gross Margin include: BMY (70.2%), TDOC (67.8%), TECH (66.9%), BIIB (73.3%), VEEV (75.0%).

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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.