PSXNEUTRAL

PSX Gross Margin Analysis

13.2%

Updated 153h ago·SEC filings & market data

Key Takeaway

Gross margin, the percentage of revenue left after paying direct production costs, sits at 13.2%, meaning PSX keeps about 13 cents of every sales dollar before other expenses.

Sector Performance

5th percentile

PSX

13.2%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

8.5%(Jul 2026)

↑ Improving

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Deep Analysis

Gross margin, the percentage of revenue left after paying direct production costs, sits at 13.2%, meaning PSX keeps about 13 cents of every sales dollar before other expenses.

This is far below the sector median of 46.4%, placing the company in the 6th percentile among peers, so most competitors retain a much larger share from each sale. There is no trend data available: the year-over-year change and quarter-over-quarter change are both N/A, so you cannot assess whether margins are improving or deteriorating. The combination of a low margin level and no trend information means the investment risk is elevated on profitability efficiency, yet the absence of a negative trend avoids confirming a downward spiral. This metric does not contradict the overall NEUTRAL verdict — the weak margin is a real concern, but without directional data it does not push the stock to a bearish stance.

Frequently Asked Questions

What does the Gross Margin tell investors about PSX?

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 PSX'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.