EchoStarECHO -4.95%48 Gross Margin % is 30.87% as of Mar. 2026, which is 32% below its 10-year median of 45.66. GuruFocus rates ECHO with a GF Score™ of 48/100 and a GF Value™ of $19.76 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 344 Telecommunication Services companies, EchoStar ranks worse than 77.91% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. EchoStar's Gross Profit for the
three
months ended in Mar. 2026 was $1,132 Mil. EchoStar's Revenue for the
three
months ended in Mar. 2026 was $3,667 Mil. Therefore, EchoStar's Gross Margin % for the quarter that ended in Mar. 2026 was 30.87%.
Warning Sign:
EchoStar Corp gross margin has been in long-term decline. The average rate of decline per year is -14.6%.
The historical rank and industry rank for EchoStar's Gross Margin % or its related term are showing as below:
ECHO'
s Gross Margin % Range Over the Past 10 Years
Min: 25.61 Med: 45.66 Max: 60.57
Current: 27.08
During the past 13 years, the highestGross Margin % of EchoStar was 60.57%. The lowest was 25.61%. And the median was 45.66%.
ECHO's Gross Margin % is ranked worse than 77.91% of 344
companies
in the Telecommunication Services industry
Industry Median: 51.415
vs ECHO: 27.08
EchoStar had a gross margin of 30.87% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for EchoStar was -14.60% per year.
EchoStar (NAS:ECHO) 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
EchoStar had a gross margin of 30.87% 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.
EchoStar Gross Margin % Related Terms
EchoStar Gross Margin % Historical Data
* Premium members only.
The historical data trend for EchoStar'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.
ECHO vs CHTR, TIGO, LUMN: Gross Margin % Comparison
For the Telecom Services subindustry, EchoStar'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.
EchoStar Gross Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, EchoStar's Gross Margin % distribution charts can be found below:
* The bar in red indicates where EchoStar'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.
EchoStar (ECHO) has a Gross Margin % of 30.87% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on EchoStar and its competitors. This is 32% below median its historical median of 45.66. Over the past decade, EchoStar's Gross Margin % has ranged from 25.61 to 60.57. According to the industry distribution chart, EchoStar ranks #268 out of 344 companies in the Telecommunication Services industry, placing it in the top 77.9%.
Is EchoStar's Gross Margin % too high?
EchoStar's current Gross Margin % of 30.87% is 32% below median its 10-year median of 45.66. Over the past 10 years, this metric has ranged from a low of 25.61 to a high of 60.57. The Telecommunication Services industry median Gross Margin % is 51.42. EchoStar's value of 30.87% is 40% below this industry median. Based on the distribution chart, EchoStar ranks #268 out of 344 companies in the Telecommunication Services industry, which is in the bottom quartile relative to peers. Overall, EchoStar has a GF Score™ of 48/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does EchoStar's Gross Margin % compare to CHTR and TIGO?
According to the Telecommunication Services industry distribution chart, EchoStar ranks #268 out of 344 companies for Gross Margin %. This places EchoStar in the lower half of its industry. The industry median Gross Margin % is 51.42. EchoStar's value of 30.87% is 40% below this benchmark. Historically, EchoStar's own Gross Margin % has ranged from 25.61 to 60.57 over the past decade. While the company's 10-year median is 45.66 vs. the industry median of 51.42, EchoStar 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 Telecommunication Services company?
The median Gross Margin % among Telecommunication Services companies is 51.42, based on 344 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. EchoStar's current Gross Margin % of 30.87% is 40% 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 EchoStar and its competitors. For the Telecommunication Services industry, the median Gross Margin % is 51.42 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. EchoStar's current Gross Margin % is 30.87%, which is 32% below median its own 10-year median of 45.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is EchoStar stock overvalued right now?
Based on GuruFocus' analysis, EchoStar (ECHO) is currently considered Significantly Overvalued. The stock's GF Value™ is $19.76, compared to a current price of $95.32 — trading 382.4% above its estimated fair value. The current Gross Margin % is 30.87%, which is 32% below median its 10-year median of 45.66 and 40% below the Telecommunication Services industry median of 51.42. EchoStar's overall GF Score™ is 48/100 with 10 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 EchoStar (ECHO), the current Gross Margin % is 30.87% 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 EchoStar (ECHO) Overvalued in 2026?
Based on GuruFocus' analysis, EchoStar stock appears to be overvalued.
The current stock price of $95.32 is trading 382.4% above its estimated GF Value™ of $19.76.
GuruFocus considers EchoStar to be Significantly Overvalued.
Key valuation signals for ECHO:
Gross Margin %: 30.87% (32% below median its 10-year median of 45.66)
GF Value™: $19.76 vs. price of $95.32 (382.4% above fair value)
Industry Position: 40% below the Telecommunication Services median (#268 of 344)
No single metric tells the full story. See the ECHO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Satellite television provides the bulk of EchoStar's revenue. The firm serves about 5 million US satellite customers, about 10% of the traditional television market. It also serves 2 million customers under the Sling brand. EchoStar has also amassed an extensive portfolio of spectrum licenses. It acquired Sprint's prepaid business, serving approximately 7 million customers, primarily under the Boost brand. The firm has agreed to sell a portion of its wireless licenses to AT&T and SpaceX, and will rely heavily on the AT&T network to serve customers. EchoStar's legacy businesses provide satellite telecom services and equipment to businesses and consumers, including about 700,000 internet customers.
48GF Score
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