WTWNEUTRAL

Gross Margin

40.5%

Updated 128h ago

Sector Performance

45th percentile

WTW

40.5%

Sector Median

44.7%

Sector Avg

45.2%

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Deep Analysis

Gross margin measures the percentage of revenue a company keeps after covering the cost of goods sold; WTW’s current 40.5% means it retains $0.405 of every dollar in revenue as gross profit.

That figure sits below the sector median of 44.2%, placing WTW at the 45th percentile among its peers. Over the most recent eight quarters the metric has been decreasing, though the year‑over‑year change is not available and the quarter‑over‑quarter change shows a +64.6% increase from 24.6% to 40.5%. This combination—a current level below the peer median paired with a long‑term downward trend—signals that the company’s core profitability is under relative pressure, even as the latest quarter offers a sharp rebound. The mixed profile introduces additional uncertainty, neither strongly positive nor clearly negative. Therefore, this metric is consistent with the overall NEUTRAL verdict, as the below‑median standing and declining trajectory are balanced by

Frequently Asked Questions

What does the Gross Margin tell investors about WTW?

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 WTW's closest peers by Gross Margin?

The closest peers by Gross Margin include: WHR (12.7%), JBHT (12.6%), DVN (12.1%), F (11.9%), GM (11.5%).

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.