BW LPGBWLP -3.72%77 Gross Margin % is 28.60% as of Mar. 2026, which is 67% above its 10-year median of 17.17. GuruFocus rates BWLP with a GF Score™ of 77/100 and a GF Value™ of $11.10 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 867 Oil & Gas companies, BW LPG ranks worse than 67.47% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. BW LPG's Gross Profit for the
three
months ended in Mar. 2026 was $240 Mil. BW LPG's Revenue for the
three
months ended in Mar. 2026 was $839 Mil. Therefore, BW LPG's Gross Margin % for the quarter that ended in Mar. 2026 was 28.60%.
Warning Sign:
BW LPG Ltd gross margin has been in long-term decline. The average rate of decline per year is -16.7%.
The historical rank and industry rank for BW LPG's Gross Margin % or its related term are showing as below:
BWLP'
s Gross Margin % Range Over the Past 10 Years
Min: 3.7 Med: 17.17 Max: 38.94
Current: 15.22
During the past 13 years, the highestGross Margin % of BW LPG was 38.94%. The lowest was 3.70%. And the median was 17.17%.
BWLP's Gross Margin % is ranked worse than 67.47% of 867
companies
in the Oil & Gas industry
Industry Median: 25.7
vs BWLP: 15.22
BW LPG had a gross margin of 28.60% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for BW LPG was -16.70% per year.
BW LPG (NYSE:BWLP) 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
BW LPG had a gross margin of 28.60% for the quarter that ended in Mar. 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.
BW LPG Gross Margin % Related Terms
BW LPG Gross Margin % Historical Data
* Premium members only.
The historical data trend for BW LPG'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 Oil & Gas Midstream subindustry, BW LPG'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.
BW LPG Gross Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, BW LPG's Gross Margin % distribution charts can be found below:
* The bar in red indicates where BW LPG'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.
BW LPG (BWLP) has a Gross Margin % of 28.60% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on BW LPG and its competitors. This is 67% above median its historical median of 17.17. Over the past decade, BW LPG's Gross Margin % has ranged from 3.70 to 38.94. According to the industry distribution chart, BW LPG ranks #585 out of 867 companies in the Oil & Gas industry, placing it in the top 67.5%.
Is BW LPG's Gross Margin % too high?
BW LPG's current Gross Margin % of 28.60% is 67% above median its 10-year median of 17.17. Over the past 10 years, this metric has ranged from a low of 3.70 to a high of 38.94. The Oil & Gas industry median Gross Margin % is 25.70. BW LPG's value of 28.60% is 11.3% above this industry median. Based on the distribution chart, BW LPG ranks #585 out of 867 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, BW LPG has a GF Score™ of 77/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does BW LPG's Gross Margin % compare to WMB and EPD?
According to the Oil & Gas industry distribution chart, BW LPG ranks #585 out of 867 companies for Gross Margin %. This places BW LPG in the lower half of its industry. The industry median Gross Margin % is 25.70. BW LPG's value of 28.60% is 11.3% above this benchmark. Historically, BW LPG's own Gross Margin % has ranged from 3.70 to 38.94 over the past decade. While the company's 10-year median is 17.17 vs. the industry median of 25.70, BW LPG 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 an Oil & Gas company?
The median Gross Margin % among Oil & Gas companies is 25.70, based on 867 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. BW LPG's current Gross Margin % of 28.60% is 11.3% 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 BW LPG and its competitors. For the Oil & Gas industry, the median Gross Margin % is 25.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. BW LPG's current Gross Margin % is 28.60%, which is 67% above median its own 10-year median of 17.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BW LPG stock overvalued right now?
Based on GuruFocus' analysis, BW LPG (BWLP) is currently considered Significantly Overvalued. The stock's GF Value™ is $11.10, compared to a current price of $18.37 — trading 65.5% above its estimated fair value. The current Gross Margin % is 28.60%, which is 67% above median its 10-year median of 17.17 and 11.3% above the Oil & Gas industry median of 25.70. BW LPG's overall GF Score™ is 77/100 with 6 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 BW LPG (BWLP), the current Gross Margin % is 28.60% 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 BW LPG (BWLP) Overvalued in 2026?
Based on GuruFocus' analysis, BW LPG stock appears to be overvalued.
The current stock price of $18.37 is trading 65.5% above its estimated GF Value™ of $11.10.
GuruFocus considers BW LPG to be Significantly Overvalued.
Key valuation signals for BWLP:
Gross Margin %: 28.60% (67% above median its 10-year median of 17.17)
GF Value™: $11.10 vs. price of $18.37 (65.5% above fair value)
Industry Position: 11.3% above the Oil & Gas median (#585 of 867)
No single metric tells the full story. See the BWLP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
BW LPG Ltd is an owner and operator of very large gas carriers. It operates in two segments: the Shipping segment, which includes LPG shipping and the Product Services segment, which includes the core shipping business. The Product Services segment derives the majority of the revenue.
77GF Score
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