BoxBOX +1.92%78 Gross Margin % is 79.49% as of Apr. 2026, which is 10% above its 10-year median of 72.58. GuruFocus rates BOX with a GF Score™ of 78/100 and a GF Value™ of $34.20 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 2,683 Software companies, Box ranks better than 88.18% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Box's Gross Profit for the
three
months ended in Apr. 2026 was $243 Mil. Box's Revenue for the
three
months ended in Apr. 2026 was $306 Mil. Therefore, Box's Gross Margin % for the quarter that ended in Apr. 2026 was 79.49%.
The historical rank and industry rank for Box's Gross Margin % or its related term are showing as below:
BOX'
s Gross Margin % Range Over the Past 10 Years
Min: 69.04 Med: 72.58 Max: 79.56
Current: 79.56
During the past 13 years, the highestGross Margin % of Box was 79.56%. The lowest was 69.04%. And the median was 72.58%.
BOX's Gross Margin % is ranked better than 88.18% of 2683
companies
in the Software industry
Industry Median: 40.45
vs BOX: 79.56
Box had a gross margin of 79.49% for the quarter that ended in Apr. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Box was 2.50% per year.
Box (NYSE:BOX) 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
Box had a gross margin of 79.49% for the quarter that ended in Apr. 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.
Box Gross Margin % Related Terms
Box Gross Margin % Historical Data
* Premium members only.
The historical data trend for Box'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.
BOX vs CLBT, QLYS, VRNS: Gross Margin % Comparison
For the Software - Infrastructure subindustry, Box'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.
Box Gross Margin % vs Software Industry
For the Software industry and Technology sector, Box's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Box'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.
Box (BOX) has a Gross Margin % of 79.49% as of Apr. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Box and its competitors. This is 10% above median its historical median of 72.58. Over the past decade, Box's Gross Margin % has ranged from 69.04 to 79.56. According to the industry distribution chart, Box ranks #317 out of 2683 companies in the Software industry, placing it in the top 11.8%.
Is Box's Gross Margin % too high?
Box's current Gross Margin % of 79.49% is 10% above median its 10-year median of 72.58. Over the past 10 years, this metric has ranged from a low of 69.04 to a high of 79.56. The Software industry median Gross Margin % is 40.45. Box's value of 79.49% is 96.5% above this industry median. Based on the distribution chart, Box ranks #317 out of 2683 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Box has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Box's Gross Margin % compare to CLBT and QLYS?
According to the Software industry distribution chart, Box ranks #317 out of 2683 companies for Gross Margin %. This places Box in the top 12% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.45. Box's value of 79.49% is 96.5% above this benchmark. Historically, Box's own Gross Margin % has ranged from 69.04 to 79.56 over the past decade. While the company's 10-year median is 72.58 vs. the industry median of 40.45, Box 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 2,683 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. Box's current Gross Margin % of 79.49% is 96.5% 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 Box 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. Box's current Gross Margin % is 79.49%, which is 10% above median its own 10-year median of 72.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Box stock overvalued right now?
Based on GuruFocus' analysis, Box (BOX) is currently considered Modestly Undervalued. The stock's GF Value™ is $34.20, compared to a current price of $25.46 — trading 25.6% below its estimated fair value. The current Gross Margin % is 79.49%, which is 10% above median its 10-year median of 72.58 and 96.5% above the Software industry median of 40.45. Box's overall GF Score™ is 78/100 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 Box (BOX), the current Gross Margin % is 79.49% as of Apr. 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 Box (BOX) Overvalued in 2026?
Based on GuruFocus' analysis, Box stock appears to be undervalued.
The current stock price of $25.46 is trading 25.6% below its estimated GF Value™ of $34.20.
GuruFocus considers Box to be Modestly Undervalued.
Key valuation signals for BOX:
Gross Margin %: 79.49% (10% above median its 10-year median of 72.58)
GF Value™: $34.20 vs. price of $25.46 (25.6% below fair value)
Industry Position: 96.5% above the Software median (#317 of 2683)
No single metric tells the full story. See the BOX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Box is a cloud-based content management platform that provides storage and workflow collaboration services for enterprise customers. The firm was founded in 2005 as a file, sync, and share provider. Over time, it built out and acquired workflow and security tools to evolve the pure-play FSS business into a content management business. Most recently, Box has been pursuing an AI-powered, intelligent content management strategy that can allow for metadata extraction and workflow automation.
78GF Score
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