ALSASX:ALQ +0.85%88 Gross Margin % is 79.46% as of Mar. 2026, which is 11% below its 10-year median of 89.31. GuruFocus rates ASX:ALQ with a GF Score™ of 88/100 and a GF Value™ of A$18.96 (Modestly Overvalued). Among 1,007 Business Services companies, ALS ranks better than 92.95% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. ALS's Gross Profit for the
six
months ended in Mar. 2026 was A$1,320 Mil. ALS's Revenue for the
six
months ended in Mar. 2026 was A$1,661 Mil. Therefore, ALS's Gross Margin % for the quarter that ended in Mar. 2026 was 79.46%.
The historical rank and industry rank for ALS's Gross Margin % or its related term are showing as below:
ASX:ALQ'
s Gross Margin % Range Over the Past 10 Years
Min: 88.86 Med: 89.31 Max: 89.94
Current: 89.73
During the past 13 years, the highestGross Margin % of ALS was 89.94%. The lowest was 88.86%. And the median was 89.31%.
ASX:ALQ's Gross Margin % is ranked better than 92.95% of 1007
companies
in the Business Services industry
Industry Median: 34.46
vs ASX:ALQ: 89.73
ALS had a gross margin of 79.46% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for ALS was 0.10% per year.
ALS (ASX:ALQ) Gross Margin % Explanation
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
ALS had a gross margin of 79.46% for the quarter that ended in Mar. 2026 => Durable 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.
ALS Gross Margin % Related Terms
ALS Gross Margin % Historical Data
* Premium members only.
The historical data trend for ALS'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.
ASX:ALQ vs VRSK, EFX, BAH: Gross Margin % Comparison
For the Consulting Services subindustry, ALS'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.
ALS Gross Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, ALS's Gross Margin % distribution charts can be found below:
* The bar in red indicates where ALS'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.
ALS (ASX:ALQ) has a Gross Margin % of 79.46% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on ALS and its competitors. This is 11% below median its historical median of 89.31. Over the past decade, ALS's Gross Margin % has ranged from 88.86 to 89.94. According to the industry distribution chart, ALS ranks #71 out of 1007 companies in the Business Services industry, placing it in the top 7.1%.
Is ALS's Gross Margin % too high?
ALS's current Gross Margin % of 79.46% is 11% below median its 10-year median of 89.31. Over the past 10 years, this metric has ranged from a low of 88.86 to a high of 89.94. The Business Services industry median Gross Margin % is 34.46. ALS's value of 79.46% is 130.6% above this industry median. Based on the distribution chart, ALS ranks #71 out of 1007 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, ALS has a GF Score™ of 88/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ALS's Gross Margin % compare to VRSK and EFX?
According to the Business Services industry distribution chart, ALS ranks #71 out of 1007 companies for Gross Margin %. This places ALS in the top 7% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 34.46. ALS's value of 79.46% is 130.6% above this benchmark. Historically, ALS's own Gross Margin % has ranged from 88.86 to 89.94 over the past decade. While the company's 10-year median is 89.31 vs. the industry median of 34.46, ALS 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. ALS's current Gross Margin % of 79.46% is 130.6% 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 ALS 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. ALS's current Gross Margin % is 79.46%, which is 11% below median its own 10-year median of 89.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ALS stock overvalued right now?
Based on GuruFocus' analysis, ALS (ASX:ALQ) is currently considered Modestly Overvalued. The stock's GF Value™ is A$18.96, compared to a current price of A$22.67 — trading 19.6% above its estimated fair value. The current Gross Margin % is 79.46%, which is 11% below median its 10-year median of 89.31 and 130.6% above the Business Services industry median of 34.46. ALS's overall GF Score™ is 88/100. 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 ALS (ASX:ALQ), the current Gross Margin % is 79.46% 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.
Is ALS (ASX:ALQ) Overvalued in 2026?
Based on GuruFocus' analysis, ALS stock appears to be overvalued.
The current stock price of A$22.67 is trading 19.6% above its estimated GF Value™ of A$18.96.
GuruFocus considers ALS to be Modestly Overvalued.
Key valuation signals for ASX:ALQ:
Gross Margin %: 79.46% (11% below median its 10-year median of 89.31)
GF Value™: A$18.96 vs. price of A$22.67 (19.6% above fair value)
Industry Position: 130.6% above the Business Services median (#71 of 1007)
No single metric tells the full story. See the ASX:ALQ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in the 1880s and listed on the ASX in 1952, ALS operates two divisions: commodities and life sciences. ALS commodities traditionally generated the majority of underlying earnings, providing geochemistry, metallurgy, inspection, and mine site services for the global mining industry. Expansion into environmental, pharmaceutical, and food testing areas has lessened earnings exposure to commodities.
88GF Score
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