SPGINEUTRAL

SPGI Gross Margin Analysis

71.9%

Updated 201h 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 services, with the rest going to operating expenses and profit.

Sector Performance

85th percentile

SPGI

71.9%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

70.4%(Jul 2026)

↑ Improving

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Deep Analysis

Gross margin measures the percentage of revenue a company keeps after paying the direct costs of producing its services, with the rest going to operating expenses and profit.

SPGI's current gross margin of 71.9% means it retains about 72 cents on every dollar of revenue after those direct costs. This is far above the sector median of 46.4%, placing SPGI in the 86th percentile among its peers, which indicates a strong cost structure relative to competitors. The year-over-year change is not available, and the eight-quarter trend direction is also not available, but the quarter-over-quarter change shows a gain of +2.1%, from 70.4% to 71.9% in the most recent period. The combination of a high margin and a recent upward move suggests a potential competitive advantage, yet the absence of longer trend data limits how much certainty you can place on that advantage. This metric supports the overall NEUTRAL verdict: the strong margin is a positive signal, but it does not, on its own, shift the stock to a bullish stance given the limited trend visibility.

Frequently Asked Questions

What does the Gross Margin tell investors about SPGI?

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 SPGI'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.