Else Nutrition HoldingsBABYF -3.72% Gross Margin % is 39.70% as of Mar. 2026, which is 158% above its 10-year median of 15.37. The stock has 5 warning signs investors should review. Among 1,902 Consumer Packaged Goods companies, Else Nutrition Holdings ranks worse than 90.8% 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
Else Nutrition Holdings had a gross margin of 39.70% 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.
Else Nutrition Holdings Gross Margin % Related Terms
Else Nutrition 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 Packaged Foods subindustry, Else Nutrition 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.
Else Nutrition Holdings Gross Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Else Nutrition Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Else Nutrition 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.
Else Nutrition Holdings (BABYF) has a Gross Margin % of 39.70% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Else Nutrition Holdings and its competitors. This is 158% above median its historical median of 15.37. According to the industry distribution chart, Else Nutrition Holdings ranks #1727 out of 1902 companies in the Consumer Packaged Goods industry, placing it in the top 90.8%.
Is Else Nutrition Holdings' Gross Margin % too high?
Else Nutrition Holdings' current Gross Margin % of 39.70% is 158% above median its 10-year median of 15.37. The Consumer Packaged Goods industry median Gross Margin % is 26.37. Else Nutrition Holdings' value of 39.70% is 50.5% above this industry median. Based on the distribution chart, Else Nutrition Holdings ranks #1727 out of 1902 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers.
How does Else Nutrition Holdings' Gross Margin % compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Else Nutrition Holdings ranks #1727 out of 1902 companies for Gross Margin %. This places Else Nutrition Holdings in the lower half of its industry. The industry median Gross Margin % is 26.37. Else Nutrition Holdings' value of 39.70% is 50.5% above this benchmark. While the company's 10-year median is 15.37 vs. the industry median of 26.37, Else Nutrition 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 Consumer Packaged Goods company?
The median Gross Margin % among Consumer Packaged Goods companies is 26.37, based on 1,902 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. Else Nutrition Holdings's current Gross Margin % of 39.70% is 50.5% 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 Else Nutrition Holdings and its competitors. For the Consumer Packaged Goods industry, the median Gross Margin % is 26.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Else Nutrition Holdings's current Gross Margin % is 39.70%, which is 158% above median its own 10-year median of 15.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Else Nutrition Holdings stock overvalued right now?
Based on GuruFocus' analysis, Else Nutrition Holdings (BABYF) is currently considered Possible Value Trap. The stock's GF Value™ is $0.07, compared to a current price of $0.02 — trading 78% below its estimated fair value. The current Gross Margin % is 39.70%, which is 158% above median its 10-year median of 15.37 and 50.5% above the Consumer Packaged Goods industry median of 26.37. 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 Else Nutrition Holdings (BABYF), the current Gross Margin % is 39.70% 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.
Else Nutrition Holdings Inc is a food and nutrition company in the international expansion stage focused on developing clean, and Plant-Based food and nutrition products for infants, toddlers, children, and adults. Its revolutionary, Plant-Based, non-soy formula is a clean-ingredient alternative to dairy-based formulas. Since launching its Plant-Based Complete Nutrition for Toddlers, made of whole foods, almonds, buckwheat, and tapioca, the brand has received thousands of powerful testimonials and reviews from parents, gained national retailer support, and achieved rapid sales growth. The Company currently has the following product lines-Baby Snacks, Baby Feeding Accessories, Infant formula.
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