Avalon Holdings Corp gross margin has been in long-term decline. The average rate of decline per year is -2.5%.
The historical rank and industry rank for Avalon Holdings's Gross Margin % or its related term are showing as below:
AWX'
s Gross Margin % Range Over the Past 10 Years
Min: 16.75 Med: 17.67 Max: 20.08
Current: 20.08
During the past 13 years, the highestGross Margin % of Avalon Holdings was 20.08%. The lowest was 16.75%. And the median was 17.67%.
AWX's Gross Margin % is ranked worse than 69.53% of 233
companies
in the Waste Management industry
Industry Median: 28.07
vs AWX: 20.08
Avalon Holdings had a gross margin of 24.63% for the quarter that ended in Sep. 2024 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Avalon Holdings was -2.50% per year.
Avalon Holdings Gross Margin % Historical Data
The historical data trend for Avalon Holdings'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.
Competitive Comparison of Avalon Holdings's Gross Margin %
For the Waste Management subindustry, Avalon 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.
Avalon Holdings's Gross Margin % Distribution in the Waste Management Industry
For the Waste Management industry and Industrials sector, Avalon Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Avalon 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.
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
Avalon Holdings had a gross margin of 24.63% for the quarter that ended in Sep. 2024 => 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.
Avalon Holdings Gross Margin % Related Terms
Thank you for viewing the detailed overview of Avalon Holdings's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
Avalon Holdings Corp is a waste management company. The company provides waste management services to industrial, commercial, municipal, and governmental customers in selected northeastern and midwestern U.S. markets. The company has two operating segments. The Waste management services segment which is the key revenue driver, includes waste disposal services, captive landfill operations, and saltwater injection well operations. Its Golf and related operations segment includes management of golf courses and related clubhouses, a hotel, fitness centers, tennis courts, salon and spa services, dining, banquet, and conference facilities.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
AWX has been successfully added to your 