AG BarrBAGFF +3.94%91 Gross Margin % is 38.72% as of Jan. 2026, which is 6% below its 10-year median of 41.15. GuruFocus rates BAGFF with a GF Score™ of 91/100 and a GF Value™ of $9.07 (Fairly Valued). The stock has 4 warning signs investors should review. Among 115 Beverages - Non-Alcoholic companies, AG Barr ranks better than 54.78% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. AG Barr's Gross Profit for the
six
months ended in Jan. 2026 was $109.6 Mil. AG Barr's Revenue for the
six
months ended in Jan. 2026 was $283.1 Mil. Therefore, AG Barr's Gross Margin % for the quarter that ended in Jan. 2026 was 38.72%.
Warning Sign:
AG Barr PLC gross margin has been in long-term decline. The average rate of decline per year is -1.4%.
The historical rank and industry rank for AG Barr's Gross Margin % or its related term are showing as below:
BAGFF'
s Gross Margin % Range Over the Past 10 Years
Min: 38.55 Med: 41.15 Max: 46.95
Current: 40.54
During the past 13 years, the highestGross Margin % of AG Barr was 46.95%. The lowest was 38.55%. And the median was 41.15%.
BAGFF's Gross Margin % is ranked better than 54.78% of 115
companies
in the Beverages - Non-Alcoholic industry
Industry Median: 38.43
vs BAGFF: 40.54
AG Barr had a gross margin of 38.72% for the quarter that ended in Jan. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for AG Barr was -1.40% per year.
AG Barr (OTCPK:BAGFF) 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
AG Barr had a gross margin of 38.72% for the quarter that ended in Jan. 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.
AG Barr Gross Margin % Related Terms
AG Barr Gross Margin % Historical Data
* Premium members only.
The historical data trend for AG Barr'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 Beverages - Non-Alcoholic subindustry, AG Barr'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.
AG Barr Gross Margin % vs Beverages - Non-Alcoholic Industry
For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, AG Barr's Gross Margin % distribution charts can be found below:
* The bar in red indicates where AG Barr'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.
AG Barr (BAGFF) has a Gross Margin % of 38.72% as of Jan. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on AG Barr and its competitors. This is near median its historical median of 41.15. Over the past decade, AG Barr's Gross Margin % has ranged from 38.55 to 46.95. According to the industry distribution chart, AG Barr ranks #52 out of 115 companies in the Beverages - Non-Alcoholic industry, placing it in the top 45.2%.
Is AG Barr's Gross Margin % too high?
AG Barr's current Gross Margin % of 38.72% is near median its 10-year median of 41.15. Over the past 10 years, this metric has ranged from a low of 38.55 to a high of 46.95. The Beverages - Non-Alcoholic industry median Gross Margin % is 38.43. AG Barr's value of 38.72% is 0.8% above this industry median. Based on the distribution chart, AG Barr ranks #52 out of 115 companies in the Beverages - Non-Alcoholic industry, which is above the industry midpoint. Overall, AG Barr has a GF Score™ of 91/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does AG Barr's Gross Margin % compare to KO and PEP?
According to the Beverages - Non-Alcoholic industry distribution chart, AG Barr ranks #52 out of 115 companies for Gross Margin %. This puts AG Barr in the upper half of its industry. The industry median Gross Margin % is 38.43. AG Barr's value of 38.72% is 0.8% above this benchmark. Historically, AG Barr's own Gross Margin % has ranged from 38.55 to 46.95 over the past decade. While the company's 10-year median is 41.15 vs. the industry median of 38.43, AG Barr 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 Beverages - Non-Alcoholic company?
The median Gross Margin % among Beverages - Non-Alcoholic companies is 38.43, based on 115 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. AG Barr's current Gross Margin % of 38.72% is 0.8% 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 AG Barr and its competitors. For the Beverages - Non-Alcoholic industry, the median Gross Margin % is 38.43 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AG Barr's current Gross Margin % is 38.72%, which is near median its own 10-year median of 41.15. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AG Barr stock overvalued right now?
Based on GuruFocus' analysis, AG Barr (BAGFF) is currently considered Fairly Valued. The stock's GF Value™ is $9.07, compared to a current price of $8.44 — trading 6.9% below its estimated fair value. The current Gross Margin % is 38.72%, which is near median its 10-year median of 41.15 and 0.8% above the Beverages - Non-Alcoholic industry median of 38.43. AG Barr's overall GF Score™ is 91/100 with 4 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 AG Barr (BAGFF), the current Gross Margin % is 38.72% as of Jan. 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 AG Barr (BAGFF) Overvalued in 2026?
Based on GuruFocus' analysis, AG Barr stock appears to be undervalued.
The current stock price of $8.44 is trading 6.9% below its estimated GF Value™ of $9.07.
GuruFocus considers AG Barr to be Fairly Valued.
Key valuation signals for BAGFF:
Gross Margin %: 38.72% (near median its 10-year median of 41.15)
GF Value™: $9.07 vs. price of $8.44 (6.9% below fair value)
Industry Position: 0.8% above the Beverages - Non-Alcoholic median (#52 of 115)
No single metric tells the full story. See the BAGFF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
AG Barr PLC manufactures, distributes, and sells a range of beverages in the United Kingdom. The company distributes its products to wholesalers and retailers. Its brands include Funkin, Barr Flavours, Moma, Rio, IRN-BRU, Simply Fruity, Sun Exotic, Rubicon, Boost Drinks, Snapple, and others. The company has three reportable segments, which include Soft drinks, Cocktail solutions, and others. The majority of its sales come from the Soft drinks segment. Geographically, it generates maximum revenue from the United Kingdom, followed by the Rest of the world.
91GF Score
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