Establishment Labs HoldingsESTA -1.86%75 Gross Margin % is 70.70% as of Mar. 2026, which is 12% above its 10-year median of 63.39. GuruFocus rates ESTA with a GF Score™ of 75/100 and a GF Value™ of $61.51 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 805 Medical Devices & Instruments companies, Establishment Labs Holdings ranks better than 80% 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
Establishment Labs Holdings had a gross margin of 70.70% 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.
Establishment Labs Holdings Gross Margin % Related Terms
Establishment Labs Holdings Gross Margin % Historical Data
* 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.
ESTA vs AXGN, TMDX, BFLY: Gross Margin % Comparison
For the Medical Devices subindustry, Establishment Labs Holdings'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.
Establishment Labs Holdings Gross Margin % vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Establishment Labs Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Establishment Labs Holdings'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.
Establishment Labs Holdings (ESTA) has a Gross Margin % of 70.70% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Establishment Labs Holdings and its competitors. This is 12% above median its historical median of 63.39. Over the past decade, Establishment Labs Holdings' Gross Margin % has ranged from 50.99 to 70.06. According to the industry distribution chart, Establishment Labs Holdings ranks #161 out of 805 companies in the Medical Devices & Instruments industry, placing it in the top 20%.
Is Establishment Labs Holdings' Gross Margin % too high?
Establishment Labs Holdings' current Gross Margin % of 70.70% is 12% above median its 10-year median of 63.39. Over the past 10 years, this metric has ranged from a low of 50.99 to a high of 70.06. The Medical Devices & Instruments industry median Gross Margin % is 51.94. Establishment Labs Holdings' value of 70.70% is 36.1% above this industry median. Based on the distribution chart, Establishment Labs Holdings ranks #161 out of 805 companies in the Medical Devices & Instruments industry, which is in the top quartile — a strong position relative to peers. Overall, Establishment Labs Holdings has a GF Score™ of 75/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Establishment Labs Holdings' Gross Margin % compare to AXGN and TMDX?
According to the Medical Devices & Instruments industry distribution chart, Establishment Labs Holdings ranks #161 out of 805 companies for Gross Margin %. This places Establishment Labs Holdings in the top 20% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 51.94. Establishment Labs Holdings' value of 70.70% is 36.1% above this benchmark. Historically, Establishment Labs Holdings' own Gross Margin % has ranged from 50.99 to 70.06 over the past decade. While the company's 10-year median is 63.39 vs. the industry median of 51.94, Establishment Labs Holdings 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 Medical Devices & Instruments company?
The median Gross Margin % among Medical Devices & Instruments companies is 51.94, based on 805 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. Establishment Labs Holdings's current Gross Margin % of 70.70% is 36.1% 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 Establishment Labs Holdings and its competitors. For the Medical Devices & Instruments industry, the median Gross Margin % is 51.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Establishment Labs Holdings's current Gross Margin % is 70.70%, which is 12% above median its own 10-year median of 63.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Establishment Labs Holdings stock overvalued right now?
Based on GuruFocus' analysis, Establishment Labs Holdings (ESTA) is currently considered Significantly Overvalued. The stock's GF Value™ is $61.51, compared to a current price of $85.81 — trading 39.5% above its estimated fair value. The current Gross Margin % is 70.70%, which is 12% above median its 10-year median of 63.39 and 36.1% above the Medical Devices & Instruments industry median of 51.94. Establishment Labs Holdings' overall GF Score™ is 75/100 with 5 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 Establishment Labs Holdings (ESTA), the current Gross Margin % is 70.70% 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 Establishment Labs Holdings (ESTA) Overvalued in 2026?
Based on GuruFocus' analysis, Establishment Labs Holdings stock appears to be overvalued.
The current stock price of $85.81 is trading 39.5% above its estimated GF Value™ of $61.51.
GuruFocus considers Establishment Labs Holdings to be Significantly Overvalued.
Key valuation signals for ESTA:
Gross Margin %: 70.70% (12% above median its 10-year median of 63.39)
GF Value™: $61.51 vs. price of $85.81 (39.5% above fair value)
Industry Position: 36.1% above the Medical Devices & Instruments median (#161 of 805)
No single metric tells the full story. See the ESTA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Establishment Labs Holdings Inc is a medical technology company engaged in offering medical devices and aesthetic products. It is involved in the designing, manufacturing, and marketing of silicone-filled breast and body-shaping implants. The company markets its products under Motiva implants Brand. It distributes its products to medical distributors; and physicians, hospitals, and clinics in the form of direct sales. Its geographical segments are Europe, Latin America, Asia-Pacific/Middle East, and Others.
75GF Score
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