Eagers AutomotiveASX:APE +1.02%93 Gross Margin % is 17.06% as of Dec. 2025, which is 3% below its 10-year median of 17.62. GuruFocus rates ASX:APE with a GF Score™ of 93/100 and a GF Value™ of A$22.57 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,313 Vehicles & Parts companies, Eagers Automotive ranks worse than 61.08% 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
Eagers Automotive had a gross margin of 17.06% for the quarter that ended in Dec. 2025 => 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.
Eagers Automotive Gross Margin % Related Terms
Eagers Automotive Gross Margin % Historical Data
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The historical data trend for Eagers Automotive'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:APE vs CVNA, PAG, ALTB: Gross Margin % Comparison
For the Auto & Truck Dealerships subindustry, Eagers Automotive'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.
Eagers Automotive Gross Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Eagers Automotive's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Eagers Automotive'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.
Eagers Automotive (ASX:APE) has a Gross Margin % of 17.06% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Eagers Automotive and its competitors. This is near median its historical median of 17.62. Over the past decade, Eagers Automotive's Gross Margin % has ranged from 16.65 to 19.21. According to the industry distribution chart, Eagers Automotive ranks #802 out of 1313 companies in the Vehicles & Parts industry, placing it in the top 61.1%.
Is Eagers Automotive's Gross Margin % too high?
Eagers Automotive's current Gross Margin % of 17.06% is near median its 10-year median of 17.62. Over the past 10 years, this metric has ranged from a low of 16.65 to a high of 19.21. The Vehicles & Parts industry median Gross Margin % is 19.84. Eagers Automotive's value of 17.06% is 14% below this industry median. Based on the distribution chart, Eagers Automotive ranks #802 out of 1313 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, Eagers Automotive has a GF Score™ of 93/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Eagers Automotive's Gross Margin % compare to CVNA and PAG?
According to the Vehicles & Parts industry distribution chart, Eagers Automotive ranks #802 out of 1313 companies for Gross Margin %. This places Eagers Automotive in the lower half of its industry. The industry median Gross Margin % is 19.84. Eagers Automotive's value of 17.06% is 14% below this benchmark. Historically, Eagers Automotive's own Gross Margin % has ranged from 16.65 to 19.21 over the past decade. While the company's 10-year median is 17.62 vs. the industry median of 19.84, Eagers Automotive has consistently been below 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 Vehicles & Parts company?
The median Gross Margin % among Vehicles & Parts companies is 19.84, based on 1,313 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. Eagers Automotive's current Gross Margin % of 17.06% is 14% 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 Eagers Automotive and its competitors. For the Vehicles & Parts industry, the median Gross Margin % is 19.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eagers Automotive's current Gross Margin % is 17.06%, which is near median its own 10-year median of 17.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eagers Automotive stock overvalued right now?
Based on GuruFocus' analysis, Eagers Automotive (ASX:APE) is currently considered Fairly Valued. The stock's GF Value™ is A$22.57, compared to a current price of A$21.80 — trading 3.4% below its estimated fair value. The current Gross Margin % is 17.06%, which is near median its 10-year median of 17.62 and 14% below the Vehicles & Parts industry median of 19.84. Eagers Automotive's overall GF Score™ is 93/100 with 3 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 Eagers Automotive (ASX:APE), the current Gross Margin % is 17.06% as of Dec. 2025. 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 Eagers Automotive (ASX:APE) Overvalued in 2026?
Based on GuruFocus' analysis, Eagers Automotive stock appears to be undervalued.
The current stock price of A$21.80 is trading 3.4% below its estimated GF Value™ of A$22.57.
GuruFocus considers Eagers Automotive to be Fairly Valued.
Key valuation signals for ASX:APE:
Gross Margin %: 17.06% (near median its 10-year median of 17.62)
GF Value™: A$22.57 vs. price of A$21.80 (3.4% below fair value)
Industry Position: 14% below the Vehicles & Parts median (#802 of 1313)
No single metric tells the full story. See the ASX:APE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Eagers Automotive is the largest automotive retailing group in the Australian market, with an estimated share of over 14% of new-vehicle sales. The company offers a range of products and services, including the sale of new and used vehicles, vehicle repair services, and parts. The company also facilitates vehicle financing through third-party providers. Additionally, Eagers operates a truck retailing business, offering a similar range of products and services.
93GF Score
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