SQNEUTRAL

SQ Gross Margin Analysis

48.0%

Higher than 21% of Technology sector peers

Updated 3635h ago·SEC filings & market data

Key Takeaway

SQ (SQ) has a Gross Margin of 48.0% as of May 2026.

Sector Performance

21th percentile

48.0%

Sector Median

65.7%

Sector Avg

61.2%

📊

Deep Analysis

SQ (SQ) has a Gross Margin of 48.0% as of May 2026.

This places SQ in the 21th percentile of the Technology sector, which has a median Gross Margin of 65.7% and a sector average of 61.2%. SQ's Gross Margin is 26.9% below the sector median. In context: Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

Frequently Asked Questions

What does the Gross Margin tell investors about SQ?

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 SQ's Gross Margin compare to its sector?

SQ's Gross Margin of 48.0% compares to a Technology sector median of 65.7%, placing it in the 21th percentile.

Who are SQ's closest peers by Gross Margin?

The closest Technology peers by Gross Margin include: MODN (55.0%), ASML (53.0%), AMD (52.8%), MRVL (52.1%), SMTC (52.0%).

📚

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.