StrategyBSP:M2ST34 -3.22%37 Gross Margin % is 67.06% as of Mar. 2026, which is 16% below its 10-year median of 79.73. GuruFocus rates BSP:M2ST34 with a GF Score™ of 37/100 and a GF Value™ of R$8.90 (Modestly Undervalued). The stock has 8 warning signs investors should review. Among 2,683 Software companies, Strategy ranks better than 77.97% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Strategy's Gross Profit for the
three
months ended in Mar. 2026 was R$436 Mil. Strategy's Revenue for the
three
months ended in Mar. 2026 was R$650 Mil. Therefore, Strategy's Gross Margin % for the quarter that ended in Mar. 2026 was 67.06%.
Warning Sign:
Strategy Inc gross margin has been in long-term decline. The average rate of decline per year is -3.5%.
The historical rank and industry rank for Strategy's Gross Margin % or its related term are showing as below:
BSP:M2ST34'
s Gross Margin % Range Over the Past 10 Years
Min: 68.11 Med: 79.73 Max: 82.01
Current: 68.11
During the past 13 years, the highestGross Margin % of Strategy was 82.01%. The lowest was 68.11%. And the median was 79.73%.
BSP:M2ST34's Gross Margin % is ranked better than 77.97% of 2683
companies
in the Software industry
Industry Median: 40.45
vs BSP:M2ST34: 68.11
Strategy had a gross margin of 67.06% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Strategy was -3.50% per year.
Strategy (BSP:M2ST34) 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
Strategy had a gross margin of 67.06% 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.
Strategy Gross Margin % Related Terms
Strategy Gross Margin % Historical Data
* Premium members only.
The historical data trend for Strategy'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.
BSP:M2ST34 vs ADSK, WDAY, PAYX: Gross Margin % Comparison
For the Software - Application subindustry, Strategy'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.
Strategy Gross Margin % vs Software Industry
For the Software industry and Technology sector, Strategy's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Strategy'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.
Strategy (BSP:M2ST34) has a Gross Margin % of 67.06% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Strategy and its competitors. This is 16% below median its historical median of 79.73. Over the past decade, Strategy's Gross Margin % has ranged from 68.11 to 82.01. According to the industry distribution chart, Strategy ranks #591 out of 2683 companies in the Software industry, placing it in the top 22%.
Is Strategy's Gross Margin % too high?
Strategy's current Gross Margin % of 67.06% is 16% below median its 10-year median of 79.73. Over the past 10 years, this metric has ranged from a low of 68.11 to a high of 82.01. The Software industry median Gross Margin % is 40.45. Strategy's value of 67.06% is 65.8% above this industry median. Based on the distribution chart, Strategy ranks #591 out of 2683 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Strategy has a GF Score™ of 37/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Strategy's Gross Margin % compare to ADSK and WDAY?
According to the Software industry distribution chart, Strategy ranks #591 out of 2683 companies for Gross Margin %. This places Strategy in the top 22% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.45. Strategy's value of 67.06% is 65.8% above this benchmark. Historically, Strategy's own Gross Margin % has ranged from 68.11 to 82.01 over the past decade. While the company's 10-year median is 79.73 vs. the industry median of 40.45, Strategy 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. Strategy's current Gross Margin % of 67.06% is 65.8% 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 Strategy 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. Strategy's current Gross Margin % is 67.06%, which is 16% below median its own 10-year median of 79.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Strategy stock overvalued right now?
Based on GuruFocus' analysis, Strategy (BSP:M2ST34) is currently considered Modestly Undervalued. The stock's GF Value™ is R$8.90, compared to a current price of R$7.81 — trading 12.2% below its estimated fair value. The current Gross Margin % is 67.06%, which is 16% below median its 10-year median of 79.73 and 65.8% above the Software industry median of 40.45. Strategy's overall GF Score™ is 37/100 with 8 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 Strategy (BSP:M2ST34), the current Gross Margin % is 67.06% 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 Strategy (BSP:M2ST34) Overvalued in 2026?
Based on GuruFocus' analysis, Strategy stock appears to be undervalued.
The current stock price of R$7.81 is trading 12.2% below its estimated GF Value™ of R$8.90.
GuruFocus considers Strategy to be Modestly Undervalued.
Key valuation signals for BSP:M2ST34:
Gross Margin %: 67.06% (16% below median its 10-year median of 79.73)
GF Value™: R$8.90 vs. price of R$7.81 (12.2% below fair value)
Industry Position: 65.8% above the Software median (#591 of 2683)
No single metric tells the full story. See the BSP:M2ST34 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Strategy Inc is a bitcoin treasury company and a provider of business intelligence services. It is designed to provide investors varying degrees of economic exposure to Bitcoin by offering a range of securities, including equity and fixed-income instruments. The company also provides industry AI-powered enterprise analytics software. It has one reportable operating segment: the Software Business, which is engaged in the design, development, marketing, and sales of the company's enterprise analytics software platform through cloud subscriptions and licensing arrangements and related services (i.e., product support, consulting, and education). Geographically, the company operates in EMEA, U.S. and Other Regions, of which maximum revenue is derived from U.S..
37GF Score
Get the complete analysis for BSP:M2ST34
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BSP:M2ST34 has been successfully added to your 
