RRCNEUTRAL

Gross Margin

53.3%

Higher than 85% of Energy sector peers

Updated 46h ago

Sector Performance

85th percentile

RRC

53.3%

Sector Median

32.4%

Sector Avg

39.3%

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Deep Analysis

Gross margin measures the percentage of revenue a company retains after paying the direct costs of producing its oil and gas.

Range Resources’ current gross margin of 53.3% is well above the sector median of 32.9%, placing it in the 84th percentile among energy peers. The year-over-year change is not available, but the quarter-over-quarter change shows a decline of 15.4% — from 63.0% to 53.3%. The combination of a high absolute margin with a sharp quarterly drop signals that while profitability relative to peers is strong, the recent erosion demands attention for potential margin compression risk. This metric neither strongly supports nor contradicts the overall NEUTRAL verdict; the high level justifies the neutral stance, but the negative near-term trend prevents a more optimistic assessment.

Frequently Asked Questions

What does the Gross Margin tell investors about RRC?

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 RRC's Gross Margin compare to its sector?

RRC's Gross Margin of 53.3% compares to a Energy sector median of 32.4%, placing it in the 85th percentile.

Who are RRC's closest peers by Gross Margin?

The closest Energy peers by Gross Margin include: NOG (32.9%), CVE (31.8%), LNG (31.7%), PXD (34.2%), RUN (30.4%).

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.