What is Gross Margin?

It is a profitability ratio that compares Gross Profit value of the selected symbol to Net Sales. Gross Margin is then compared to the median gross margin of the sector of the selected symbol and considered to be the higher, the better. Gross Margin is calculated from the income statement of the financial report.

Calculation:

Gross Margin = Gross Profit / Net Sales

Gross Margin (Quarterly)

This item shows the quarterly Gross Margin value of the symbol for the selected quarter.

Calculation:

Gross Margin (Quarterly) = (Gross Earnings (Quarterly)* 100) / Net Sales (Quarterly)

Gross Margin (TTM)

This item shows the trailing Gross Margin value of the preceding four periods. It removes the seasonal sales effects and gives the opportunity to make efficient comparison analysis.

Calculation:

Gross Margin (TTM) = (Gross Earnings (TTM) * 100) / Net Sales (TTM)