Cebu AirCEBUF -76.33%65 Gross Margin % is 15.04% as of Mar. 2026, which is 8% below its 10-year median of 16.39. GuruFocus rates CEBUF with a GF Score™ of 65/100 and a GF Value™ of $2.89 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 985 Transportation companies, Cebu Air ranks worse than 58.38% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Cebu Air's Gross Profit for the
three
months ended in Mar. 2026 was $82 Mil. Cebu Air's Revenue for the
three
months ended in Mar. 2026 was $545 Mil. Therefore, Cebu Air's Gross Margin % for the quarter that ended in Mar. 2026 was 15.04%.
The historical rank and industry rank for Cebu Air's Gross Margin % or its related term are showing as below:
CEBUF'
s Gross Margin % Range Over the Past 10 Years
Min: -126.31 Med: 16.39 Max: 26.73
Current: 17.46
During the past 13 years, the highestGross Margin % of Cebu Air was 26.73%. The lowest was -126.31%. And the median was 16.39%.
CEBUF's Gross Margin % is ranked worse than 58.38% of 985
companies
in the Transportation industry
Industry Median: 20.42
vs CEBUF: 17.46
Cebu Air had a gross margin of 15.04% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Cebu Air was 0.00% per year.
Cebu Air (OTCPK:CEBUF) 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
Cebu Air had a gross margin of 15.04% for the quarter that ended in Mar. 2026 => 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.
Cebu Air Gross Margin % Related Terms
Cebu Air Gross Margin % Historical Data
* Premium members only.
The historical data trend for Cebu Air'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 Airlines subindustry, Cebu Air'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.
Cebu Air Gross Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, Cebu Air's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Cebu Air'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.
Cebu Air (CEBUF) has a Gross Margin % of 15.04% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Cebu Air and its competitors. This is near median its historical median of 16.39. According to the industry distribution chart, Cebu Air ranks #575 out of 985 companies in the Transportation industry, placing it in the top 58.4%.
Is Cebu Air's Gross Margin % too high?
Cebu Air's current Gross Margin % of 15.04% is near median its 10-year median of 16.39. The Transportation industry median Gross Margin % is 20.42. Cebu Air's value of 15.04% is 26.3% below this industry median. Based on the distribution chart, Cebu Air ranks #575 out of 985 companies in the Transportation industry, which is below the industry midpoint. Overall, Cebu Air has a GF Score™ of 65/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Cebu Air's Gross Margin % compare to DAL and UAL?
According to the Transportation industry distribution chart, Cebu Air ranks #575 out of 985 companies for Gross Margin %. This places Cebu Air in the lower half of its industry. The industry median Gross Margin % is 20.42. Cebu Air's value of 15.04% is 26.3% below this benchmark. While the company's 10-year median is 16.39 vs. the industry median of 20.42, Cebu Air 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 Transportation company?
The median Gross Margin % among Transportation companies is 20.42, based on 985 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. Cebu Air's current Gross Margin % of 15.04% is 26.3% 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 Cebu Air and its competitors. For the Transportation industry, the median Gross Margin % is 20.42 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cebu Air's current Gross Margin % is 15.04%, which is near median its own 10-year median of 16.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cebu Air stock overvalued right now?
Based on GuruFocus' analysis, Cebu Air (CEBUF) is currently considered Possible Value Trap. The stock's GF Value™ is $2.89, compared to a current price of $0.40 — trading 86.2% below its estimated fair value. The current Gross Margin % is 15.04%, which is near median its 10-year median of 16.39 and 26.3% below the Transportation industry median of 20.42. Cebu Air's overall GF Score™ is 65/100 with 7 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 Cebu Air (CEBUF), the current Gross Margin % is 15.04% 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 Cebu Air (CEBUF) Overvalued in 2026?
Based on GuruFocus' analysis, Cebu Air stock appears to be undervalued.
The current stock price of $0.40 is trading 86.2% below its estimated GF Value™ of $2.89.
GuruFocus considers Cebu Air to be Possible Value Trap.
Key valuation signals for CEBUF:
Gross Margin %: 15.04% (near median its 10-year median of 16.39)
GF Value™: $2.89 vs. price of $0.40 (86.2% below fair value)
Industry Position: 26.3% below the Transportation median (#575 of 985)
No single metric tells the full story. See the CEBUF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cebu Air Inc is a carrier in the Philippine air transportation industry. It has two reportable operating segments, has three reportable operating segments, which is the airline business (Parent Company, CEBGO and AirSWIFT), line, light and base maintenance business (A-Plus) and ground handling business (1Aviation). The revenue of the company was mainly derived from rendering transportation services, line, light and base maintenance services and ground handling services.
65GF Score
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