Sunbelt Rentals HoldingsASHGY +1.17%49 Gross Margin % is 35.51% as of Apr. 2026, which is 58% below its 10-year median of 84.58. GuruFocus rates ASHGY with a GF Score™ of 49/100. The stock has 4 warning signs investors should review. Among 1,007 Business Services companies, Sunbelt Rentals Holdings ranks better than 77.95% 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
Sunbelt Rentals Holdings had a gross margin of 35.51% for the quarter that ended in Apr. 2026 => Competition eroding margins
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.
Sunbelt Rentals Holdings Gross Margin % Related Terms
Sunbelt Rentals Holdings Gross Margin % Historical Data
* 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 Rental & Leasing Services subindustry, Sunbelt Rentals Holdings'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.
Sunbelt Rentals Holdings Gross Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Sunbelt Rentals Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Sunbelt Rentals Holdings'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.
Sunbelt Rentals Holdings (ASHGY) has a Gross Margin % of 35.51% as of Apr. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Sunbelt Rentals Holdings and its competitors. This is 58% below median its historical median of 84.58. Over the past decade, Sunbelt Rentals Holdings' Gross Margin % has ranged from 38.46 to 86.12. According to the industry distribution chart, Sunbelt Rentals Holdings ranks #222 out of 1007 companies in the Business Services industry, placing it in the top 22%.
Is Sunbelt Rentals Holdings' Gross Margin % too high?
Sunbelt Rentals Holdings' current Gross Margin % of 35.51% is 58% below median its 10-year median of 84.58. Over the past 10 years, this metric has ranged from a low of 38.46 to a high of 86.12. The Business Services industry median Gross Margin % is 34.46. Sunbelt Rentals Holdings' value of 35.51% is 3% above this industry median. Based on the distribution chart, Sunbelt Rentals Holdings ranks #222 out of 1007 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, Sunbelt Rentals Holdings has a GF Score™ of 49/100, reflecting its overall financial health beyond just this single metric.
How does Sunbelt Rentals Holdings' Gross Margin % compare to AER and UHAL?
According to the Business Services industry distribution chart, Sunbelt Rentals Holdings ranks #222 out of 1007 companies for Gross Margin %. This places Sunbelt Rentals Holdings in the top 22% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 34.46. Sunbelt Rentals Holdings' value of 35.51% is 3% above this benchmark. Historically, Sunbelt Rentals Holdings' own Gross Margin % has ranged from 38.46 to 86.12 over the past decade. While the company's 10-year median is 84.58 vs. the industry median of 34.46, Sunbelt Rentals Holdings has consistently been above the industry average. 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 a Business Services company?
The median Gross Margin % among Business Services companies is 34.46, based on 1,007 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. Sunbelt Rentals Holdings's current Gross Margin % of 35.51% is 3% above 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 Sunbelt Rentals Holdings and its competitors. For the Business Services industry, the median Gross Margin % is 34.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sunbelt Rentals Holdings's current Gross Margin % is 35.51%, which is 58% below median its own 10-year median of 84.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sunbelt Rentals Holdings stock overvalued right now?
Sunbelt Rentals Holdings (ASHGY) has a current Gross Margin % of 35.51%. The current Gross Margin % is 35.51%, which is 58% below median its 10-year median of 84.58 and 3% above the Business Services industry median of 34.46. Sunbelt Rentals Holdings' overall GF Score™ is 49/100 with 4 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 Sunbelt Rentals Holdings (ASHGY), the current Gross Margin % is 35.51% as of Apr. 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.
Sunbelt Rentals (formerly UK-based Ashtead Group) is the number two equipment rental company in the US (11% market share), with a smaller presence in Canada and the UK. Sunbelt operates a rental fleet of just over $15 billion across a network of 1,200 stores in the US, nearly CAD 2 billion of fleet and 135 stores in Canada, and GBP 1.1 billion and 190 stores in the UK. The company has experienced rapid growth over the past decade as its customers increasingly turn to rental versus owning equipment outright. The general tool business has been augmented by the Specialty Rental business, which has grown to 30% of the mix. Revenue is now greater than 50% nonconstruction, with the remainder focused more directly on commercial construction.
49GF Score
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