| Equity Based Analysis > Ratios > Ratio List > Gross Margin |
This ratio shows the rate of the Gross Profit in the Net Sales.
The higher the value, the better. Besides, the value should be compared to the Average Gross Margin of the sector the company in.
Calculation:
Gross Margin = Gross Profit / Net Sales
This item gives the quarterly Gross Margin value of the security for the selected quarter.
Calculation:
Gross Margin – QTR = ( Gross Earnings – QTR * 100 ) / Net Sales - QTR
This item gives 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