Axalta Coating SystemsAXTA +3.03%80 Gross Margin % is 33.17% as of Mar. 2026, which is 3% below its 10-year median of 34.16. GuruFocus rates AXTA with a GF Score™ of 80/100 and a GF Value™ of $33.28 (Fairly Valued). The stock has 6 warning signs investors should review. Among 1,564 Chemicals companies, Axalta Coating Systems ranks better than 74.42% on this metric.
AXTA's Gross Margin % is ranked better than 74.42% of 1564
companies
in the Chemicals industry
Industry Median: 23.375
vs AXTA: 34.16
Axalta Coating Systems had a gross margin of 33.17% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Axalta Coating Systems was 0.70% per year.
Axalta Coating Systems (NYSE:AXTA) 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
Axalta Coating Systems had a gross margin of 33.17% for the quarter that ended in Mar. 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.
Axalta Coating Systems Gross Margin % Related Terms
Axalta Coating Systems Gross Margin % Historical Data
* Premium members only.
The historical data trend for Axalta Coating Systems'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 Specialty Chemicals subindustry, Axalta Coating Systems'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.
Axalta Coating Systems Gross Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Axalta Coating Systems's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Axalta Coating Systems'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.
Axalta Coating Systems (AXTA) has a Gross Margin % of 33.17% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Axalta Coating Systems and its competitors. This is near median its historical median of 34.16. Over the past decade, Axalta Coating Systems' Gross Margin % has ranged from 29.03 to 38.21. According to the industry distribution chart, Axalta Coating Systems ranks #400 out of 1564 companies in the Chemicals industry, placing it in the top 25.6%.
Is Axalta Coating Systems' Gross Margin % too high?
Axalta Coating Systems' current Gross Margin % of 33.17% is near median its 10-year median of 34.16. Over the past 10 years, this metric has ranged from a low of 29.03 to a high of 38.21. The Chemicals industry median Gross Margin % is 23.38. Axalta Coating Systems' value of 33.17% is 41.9% above this industry median. Based on the distribution chart, Axalta Coating Systems ranks #400 out of 1564 companies in the Chemicals industry, which is above the industry midpoint. Overall, Axalta Coating Systems has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Axalta Coating Systems' Gross Margin % compare to NEU and PRM?
According to the Chemicals industry distribution chart, Axalta Coating Systems ranks #400 out of 1564 companies for Gross Margin %. This puts Axalta Coating Systems in the upper half of its industry. The industry median Gross Margin % is 23.38. Axalta Coating Systems' value of 33.17% is 41.9% above this benchmark. Historically, Axalta Coating Systems' own Gross Margin % has ranged from 29.03 to 38.21 over the past decade. While the company's 10-year median is 34.16 vs. the industry median of 23.38, Axalta Coating Systems 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 Chemicals company?
The median Gross Margin % among Chemicals companies is 23.38, based on 1,564 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. Axalta Coating Systems's current Gross Margin % of 33.17% is 41.9% 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 Axalta Coating Systems and its competitors. For the Chemicals industry, the median Gross Margin % is 23.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Axalta Coating Systems's current Gross Margin % is 33.17%, which is near median its own 10-year median of 34.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Axalta Coating Systems stock overvalued right now?
Based on GuruFocus' analysis, Axalta Coating Systems (AXTA) is currently considered Fairly Valued. The stock's GF Value™ is $33.28, compared to a current price of $34.66 — trading 4.1% above its estimated fair value. The current Gross Margin % is 33.17%, which is near median its 10-year median of 34.16 and 41.9% above the Chemicals industry median of 23.38. Axalta Coating Systems' overall GF Score™ is 80/100 with 6 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 Axalta Coating Systems (AXTA), the current Gross Margin % is 33.17% 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 Axalta Coating Systems (AXTA) Overvalued in 2026?
Based on GuruFocus' analysis, Axalta Coating Systems stock appears to be overvalued.
The current stock price of $34.66 is trading 4.1% above its estimated GF Value™ of $33.28.
GuruFocus considers Axalta Coating Systems to be Fairly Valued.
Key valuation signals for AXTA:
Gross Margin %: 33.17% (near median its 10-year median of 34.16)
GF Value™: $33.28 vs. price of $34.66 (4.1% above fair value)
Industry Position: 41.9% above the Chemicals median (#400 of 1564)
No single metric tells the full story. See the AXTA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Axalta Coating Systems Ltd is a manufacturer, marketer, and distributor of high-performance coatings systems. It operates in two segments: Performance Coatings and Mobility Coatings. The Performance Coatings segment provides liquid and powder coatings solutions to a fragmented and local customer base. Its end markets include refinish and industrial, and the Mobility Coatings segment relates to the provision of coating technologies to original equipment manufacturers of light and commercial vehicles. The majority of its revenue is generated from the Mobility Coatings segment. Geographically, the company generates maximum revenue from the Europe, Middle East and Africa (EMEA) region, followed by North America, Asia Pacific, and Latin America.
80GF Score
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