Blend LabsBLND +6.79%53 Gross Margin % is 75.75% as of Mar. 2026, which is 18% above its 10-year median of 64.29. GuruFocus rates BLND with a GF Score™ of 53/100 and a GF Value™ of $3.35 (Possible Value Trap). The stock has 2 warning signs investors should review. Among 2,685 Software companies, Blend Labs ranks better than 84.28% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Blend Labs's Gross Profit for the
three
months ended in Mar. 2026 was $23.4 Mil. Blend Labs's Revenue for the
three
months ended in Mar. 2026 was $30.8 Mil. Therefore, Blend Labs's Gross Margin % for the quarter that ended in Mar. 2026 was 75.75%.
The historical rank and industry rank for Blend Labs's Gross Margin % or its related term are showing as below:
BLND'
s Gross Margin % Range Over the Past 10 Years
Min: 38.12 Med: 64.29 Max: 74.87
Current: 74.87
During the past 7 years, the highestGross Margin % of Blend Labs was 74.87%. The lowest was 38.12%. And the median was 64.29%.
BLND's Gross Margin % is ranked better than 84.28% of 2685
companies
in the Software industry
Industry Median: 40.45
vs BLND: 74.87
Blend Labs had a gross margin of 75.75% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Blend Labs was 7.10% per year.
Blend Labs (NYSE:BLND) 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
Blend Labs had a gross margin of 75.75% for the quarter that ended in Mar. 2026 => Durable 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.
Blend Labs Gross Margin % Related Terms
Blend Labs Gross Margin % Historical Data
* Premium members only.
The historical data trend for Blend Labs'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.
BLND vs GLOO, SPT, DUOT: Gross Margin % Comparison
For the Software - Application subindustry, Blend Labs'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.
Blend Labs Gross Margin % vs Software Industry
For the Software industry and Technology sector, Blend Labs's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Blend Labs'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.
Blend Labs (BLND) has a Gross Margin % of 75.75% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Blend Labs and its competitors. This is 18% above median its historical median of 64.29. Over the past decade, Blend Labs' Gross Margin % has ranged from 38.12 to 74.87. According to the industry distribution chart, Blend Labs ranks #422 out of 2685 companies in the Software industry, placing it in the top 15.7%.
Is Blend Labs' Gross Margin % too high?
Blend Labs' current Gross Margin % of 75.75% is 18% above median its 10-year median of 64.29. Over the past 10 years, this metric has ranged from a low of 38.12 to a high of 74.87. The Software industry median Gross Margin % is 40.45. Blend Labs' value of 75.75% is 87.3% above this industry median. Based on the distribution chart, Blend Labs ranks #422 out of 2685 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Blend Labs has a GF Score™ of 53/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Blend Labs' Gross Margin % compare to GLOO and SPT?
According to the Software industry distribution chart, Blend Labs ranks #422 out of 2685 companies for Gross Margin %. This places Blend Labs in the top 16% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.45. Blend Labs' value of 75.75% is 87.3% above this benchmark. Historically, Blend Labs' own Gross Margin % has ranged from 38.12 to 74.87 over the past decade. While the company's 10-year median is 64.29 vs. the industry median of 40.45, Blend Labs 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 Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,685 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. Blend Labs's current Gross Margin % of 75.75% is 87.3% 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 Blend Labs and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Blend Labs's current Gross Margin % is 75.75%, which is 18% above median its own 10-year median of 64.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Blend Labs stock overvalued right now?
Based on GuruFocus' analysis, Blend Labs (BLND) is currently considered Possible Value Trap. The stock's GF Value™ is $3.35, compared to a current price of $1.73 — trading 48.4% below its estimated fair value. The current Gross Margin % is 75.75%, which is 18% above median its 10-year median of 64.29 and 87.3% above the Software industry median of 40.45. Blend Labs' overall GF Score™ is 53/100 with 2 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 Blend Labs (BLND), the current Gross Margin % is 75.75% 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 Blend Labs (BLND) Overvalued in 2026?
Based on GuruFocus' analysis, Blend Labs stock appears to be undervalued.
The current stock price of $1.73 is trading 48.4% below its estimated GF Value™ of $3.35.
GuruFocus considers Blend Labs to be Possible Value Trap.
Key valuation signals for BLND:
Gross Margin %: 75.75% (18% above median its 10-year median of 64.29)
GF Value™: $3.35 vs. price of $1.73 (48.4% below fair value)
Industry Position: 87.3% above the Software median (#422 of 2685)
No single metric tells the full story. See the BLND stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Blend Labs Inc is a cloud-based platform software platform that powers the digital interface between financial services firms and consumers. It supports and simplifies applications for mortgages, consumer loans, and deposit accounts. Its operating segment is Blend Platform segment which comprises a suite of products that power the entire origination process from back-end workflows to consumer experience. The key revenue for the company is generated from the Blend Platform segment. Company has it's assets in united states, India and Mexico regions.
53GF Score
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