European Wax CenterEWCZ 53 Gross Margin % is 73.60% as of Dec. 2025, which is 0% above its 10-year median of 73.48. GuruFocus rates EWCZ with a GF Score™ of 53/100 and a GF Value™ of $7.72 (Modestly Undervalued). The stock has 10 warning signs investors should review. Among 1,902 Consumer Packaged Goods companies, European Wax Center ranks better than 95.85% on this metric.
The historical rank and industry rank for European Wax Center's Gross Margin % or its related term are showing as below:
EWCZ'
s Gross Margin % Range Over the Past 10 Years
Min: 65.66 Med: 73.48 Max: 73.95
Current: 73.95
During the past 7 years, the highestGross Margin % of European Wax Center was 73.95%. The lowest was 65.66%. And the median was 73.48%.
EWCZ's Gross Margin % is ranked better than 95.85% of 1902
companies
in the Consumer Packaged Goods industry
Industry Median: 26.37
vs EWCZ: 73.95
European Wax Center had a gross margin of 73.60% for the quarter that ended in Dec. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for European Wax Center was 1.70% per year.
European Wax Center (NAS:EWCZ) 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
European Wax Center had a gross margin of 73.60% for the quarter that ended in Dec. 2025 => 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.
European Wax Center Gross Margin % Related Terms
European Wax Center Gross Margin % Historical Data
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The historical data trend for European Wax Center'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 Household & Personal Products subindustry, European Wax Center'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.
European Wax Center Gross Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, European Wax Center's Gross Margin % distribution charts can be found below:
* The bar in red indicates where European Wax Center'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.
European Wax Center (EWCZ) has a Gross Margin % of 73.60% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on European Wax Center and its competitors. This is near median its historical median of 73.48. Over the past decade, European Wax Center's Gross Margin % has ranged from 65.66 to 73.95. According to the industry distribution chart, European Wax Center ranks #79 out of 1902 companies in the Consumer Packaged Goods industry, placing it in the top 4.2%.
Is European Wax Center's Gross Margin % too high?
European Wax Center's current Gross Margin % of 73.60% is near median its 10-year median of 73.48. Over the past 10 years, this metric has ranged from a low of 65.66 to a high of 73.95. The Consumer Packaged Goods industry median Gross Margin % is 26.37. European Wax Center's value of 73.60% is 179.1% above this industry median. Based on the distribution chart, European Wax Center ranks #79 out of 1902 companies in the Consumer Packaged Goods industry, which is in the top quartile — a strong position relative to peers. Overall, European Wax Center has a GF Score™ of 53/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does European Wax Center's Gross Margin % compare to NUS and WALD?
According to the Consumer Packaged Goods industry distribution chart, European Wax Center ranks #79 out of 1902 companies for Gross Margin %. This places European Wax Center in the top 4% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 26.37. European Wax Center's value of 73.60% is 179.1% above this benchmark. Historically, European Wax Center's own Gross Margin % has ranged from 65.66 to 73.95 over the past decade. While the company's 10-year median is 73.48 vs. the industry median of 26.37, European Wax Center 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 Consumer Packaged Goods company?
The median Gross Margin % among Consumer Packaged Goods companies is 26.37, based on 1,902 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. European Wax Center's current Gross Margin % of 73.60% is 179.1% 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 European Wax Center and its competitors. For the Consumer Packaged Goods industry, the median Gross Margin % is 26.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. European Wax Center's current Gross Margin % is 73.60%, which is near median its own 10-year median of 73.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is European Wax Center stock overvalued right now?
Based on GuruFocus' analysis, European Wax Center (EWCZ) is currently considered Modestly Undervalued. The stock's GF Value™ is $7.72, compared to a current price of $5.82 — trading 24.6% below its estimated fair value. The current Gross Margin % is 73.60%, which is near median its 10-year median of 73.48 and 179.1% above the Consumer Packaged Goods industry median of 26.37. European Wax Center's overall GF Score™ is 53/100 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 European Wax Center (EWCZ), the current Gross Margin % is 73.60% as of Dec. 2025. 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 European Wax Center (EWCZ) Overvalued in 2026?
Based on GuruFocus' analysis, European Wax Center stock appears to be undervalued.
The current stock price of $5.82 is trading 24.6% below its estimated GF Value™ of $7.72.
GuruFocus considers European Wax Center to be Modestly Undervalued.
Key valuation signals for EWCZ:
Gross Margin %: 73.60% (near median its 10-year median of 73.48)
GF Value™: $7.72 vs. price of $5.82 (24.6% below fair value)
Industry Position: 179.1% above the Consumer Packaged Goods median (#79 of 1902)
No single metric tells the full story. See the EWCZ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
European Wax Center Inc is a franchisor and operator of OOH waxing services. Its product sales consist of revenue earned from sales of proprietary wax. Its services include Brazilian Waxing, Brow Waxing, Body Waxing, Facial Waxing, All Waxing Services, Eyebrow Tinting, Laser Hair Removal, Men's Waxing Services, and others.
53GF Score
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