Borealis FoodsBRLS +5.88%2 Gross Margin % is 11.81% as of Dec. 2025, which is 271% above its 10-year median of 3.18. GuruFocus rates BRLS with a GF Score™ of 2/100. The stock has 4 warning signs investors should review. Among 1,902 Consumer Packaged Goods companies, Borealis Foods ranks worse than 82.12% 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
Borealis Foods had a gross margin of 11.81% for the quarter that ended in Dec. 2025 => No sustainable 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.
Borealis Foods Gross Margin % Related Terms
Borealis Foods Gross Margin % Historical Data
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The historical data trend for Borealis Foods'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 Packaged Foods subindustry, Borealis Foods'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.
Borealis Foods Gross Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Borealis Foods's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Borealis Foods'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.
Borealis Foods (BRLS) has a Gross Margin % of 11.81% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Borealis Foods and its competitors. This is 271% above median its historical median of 3.18. According to the industry distribution chart, Borealis Foods ranks #1562 out of 1902 companies in the Consumer Packaged Goods industry, placing it in the top 82.1%.
Is Borealis Foods' Gross Margin % too high?
Borealis Foods' current Gross Margin % of 11.81% is 271% above median its 10-year median of 3.18. The Consumer Packaged Goods industry median Gross Margin % is 26.37. Borealis Foods' value of 11.81% is 55.2% below this industry median. Based on the distribution chart, Borealis Foods ranks #1562 out of 1902 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, Borealis Foods has a GF Score™ of 2/100, reflecting its overall financial health beyond just this single metric.
How does Borealis Foods' Gross Margin % compare to LSF and JVA?
According to the Consumer Packaged Goods industry distribution chart, Borealis Foods ranks #1562 out of 1902 companies for Gross Margin %. This places Borealis Foods in the lower half of its industry. The industry median Gross Margin % is 26.37. Borealis Foods' value of 11.81% is 55.2% below this benchmark. While the company's 10-year median is 3.18 vs. the industry median of 26.37, Borealis Foods has consistently been below 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. Borealis Foods's current Gross Margin % of 11.81% is 55.2% below 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 Borealis Foods 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. Borealis Foods's current Gross Margin % is 11.81%, which is 271% above median its own 10-year median of 3.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Borealis Foods stock overvalued right now?
Borealis Foods (BRLS) has a current Gross Margin % of 11.81%. The current Gross Margin % is 11.81%, which is 271% above median its 10-year median of 3.18 and 55.2% below the Consumer Packaged Goods industry median of 26.37. Borealis Foods' overall GF Score™ is 2/100 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 Borealis Foods (BRLS), the current Gross Margin % is 11.81% as of Dec. 2025. 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.
Borealis Foods Inc is a food technology integrator with a mission to address food security challenges through the development and commercialization of tasty, affordable, and sustainable functional foods. Borealis has developed a range of high-quality, affordable, sustainable, and nutritious premium, ready-to-eat meals sold in the United States, Canada, Central America, South America, and Europe. Through the development and launch of its ready-made ramen, featuring 20 grams of complete plant-based protein per serving, Borealis is developing solutions to address food challenges.
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