RSGNEUTRAL

Gross Margin

42.5%

Higher than 77% of Industrials sector peers

Updated 80h ago

Sector Performance

77th percentile

RSG

42.5%

Sector Median

29.0%

Sector Avg

662.6%

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Deep Analysis

Gross margin measures the percentage of revenue that remains after subtracting the cost of goods sold, indicating how efficiently a company produces its core products.

At 42.5%, RSG’s gross margin sits well above the Industrials sector median of 29.0%, placing the company in the 77th percentile of its peer group. The metric has been increasing over the last eight quarters, with a quarter-over-quarter rise of +39.3% from 30.5% to 42.5%; a year-over-year comparison is not available. The combination of a high current margin and an upward trend suggests a potential competitive advantage and pricing power, but the large quarterly swing warrants attention to sustainability. This positive margin performance supports the overall NEUTRAL verdict by confirming RSG is not underperforming, yet it does not alone justify shifting the rating to bullish given other factors.

Frequently Asked Questions

What does the Gross Margin tell investors about RSG?

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 RSG's Gross Margin compare to its sector?

RSG's Gross Margin of 42.5% compares to a Industrials sector median of 29.0%, placing it in the 77th percentile.

Who are RSG's closest peers by Gross Margin?

The closest Industrials peers by Gross Margin include: BLDR (28.3%), BE (30.0%), SAVE (31.3%), AAL (26.0%), CARR (23.3%).

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.