Archer AviationACHR +5.22%31 Gross Margin % is 18.75% as of Mar. 2026. GuruFocus rates ACHR with a GF Score™ of 31/100. The stock has 2 warning signs investors should review. Among 342 Aerospace & Defense companies, Archer Aviation ranks better than 61.11% on this metric.
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Archer Aviation had a gross margin of 18.75% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
Be Aware
If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.
Archer Aviation Gross Margin % Related Terms
Archer Aviation Gross Margin % Historical Data
* Premium members only.
The historical data trend for Archer Aviation's Gross Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Aerospace & Defense subindustry, Archer Aviation's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Archer Aviation Gross Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Archer Aviation's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Archer Aviation's Gross Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Archer Aviation (ACHR) has a Gross Margin % of 18.75% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Archer Aviation and its competitors. According to the industry distribution chart, Archer Aviation ranks #133 out of 342 companies in the Aerospace & Defense industry, placing it in the top 38.9%.
Is Archer Aviation's Gross Margin % too high?
Archer Aviation's current Gross Margin % is 18.75%. The Aerospace & Defense industry median Gross Margin % is 26.65. Archer Aviation's value of 18.75% is 29.6% below this industry median. Based on the distribution chart, Archer Aviation ranks #133 out of 342 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Archer Aviation has a GF Score™ of 31/100, reflecting its overall financial health beyond just this single metric.
How does Archer Aviation's Gross Margin % compare to VSEC and RDW?
According to the Aerospace & Defense industry distribution chart, Archer Aviation ranks #133 out of 342 companies for Gross Margin %. This puts Archer Aviation in the upper half of its industry. The industry median Gross Margin % is 26.65. Archer Aviation's value of 18.75% is 29.6% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for an Aerospace & Defense company?
The median Gross Margin % among Aerospace & Defense companies is 26.65, based on 342 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Archer Aviation's current Gross Margin % of 18.75% is 29.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Archer Aviation and its competitors. For the Aerospace & Defense industry, the median Gross Margin % is 26.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Archer Aviation's current Gross Margin % is 18.75%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Archer Aviation stock overvalued right now?
Archer Aviation (ACHR) has a current Gross Margin % of 18.75%. The current Gross Margin % is 18.75% and 29.6% below the Aerospace & Defense industry median of 26.65. Archer Aviation's overall GF Score™ is 31/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Archer Aviation (ACHR), the current Gross Margin % is 18.75% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Archer Aviation Inc advances the benefits of sustainable air mobility. The company is engaged in designing and developing a fully electric vertical takeoff and landing eVTOL aircraft for use in UAM networks. It is creating an electric airline that moves people throughout cities in a quick, safe, sustainable, and cost-effective manner. The company is building a platform to deliver aircraft, technologies, and services to customers world-wide across commercial and defense sectors.
31GF Score
Get the complete analysis for ACHR
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ACHR has been successfully added to your 
