GracoFRA:GA8 +0.60%93 Gross Margin % is 51.96% as of Mar. 2026, which is 1% below its 10-year median of 52.67. GuruFocus rates FRA:GA8 with a GF Score™ of 93/100 and a GF Value™ of €79.10 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 2,997 Industrial Products companies, Graco ranks better than 91.26% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Graco's Gross Profit for the
three
months ended in Mar. 2026 was €243 Mil. Graco's Revenue for the
three
months ended in Mar. 2026 was €467 Mil. Therefore, Graco's Gross Margin % for the quarter that ended in Mar. 2026 was 51.96%.
The historical rank and industry rank for Graco's Gross Margin % or its related term are showing as below:
FRA:GA8'
s Gross Margin % Range Over the Past 10 Years
Min: 49.33 Med: 52.67 Max: 53.92
Current: 52.31
During the past 13 years, the highestGross Margin % of Graco was 53.92%. The lowest was 49.33%. And the median was 52.67%.
FRA:GA8's Gross Margin % is ranked better than 91.26% of 2997
companies
in the Industrial Products industry
Industry Median: 26.81
vs FRA:GA8: 52.31
Graco had a gross margin of 51.96% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Graco was 0.60% per year.
Graco (FRA:GA8) 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
Graco had a gross margin of 51.96% 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.
Graco Gross Margin % Related Terms
Graco Gross Margin % Historical Data
* Premium members only.
The historical data trend for Graco'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.
FRA:GA8 vs CR, PNR, WTS: Gross Margin % Comparison
For the Specialty Industrial Machinery subindustry, Graco'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.
Graco Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Graco's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Graco'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.
Graco (FRA:GA8) has a Gross Margin % of 51.96% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Graco and its competitors. This is near median its historical median of 52.67. Over the past decade, Graco's Gross Margin % has ranged from 49.33 to 53.92. According to the industry distribution chart, Graco ranks #262 out of 2997 companies in the Industrial Products industry, placing it in the top 8.7%.
Is Graco's Gross Margin % too high?
Graco's current Gross Margin % of 51.96% is near median its 10-year median of 52.67. Over the past 10 years, this metric has ranged from a low of 49.33 to a high of 53.92. The Industrial Products industry median Gross Margin % is 26.81. Graco's value of 51.96% is 93.8% above this industry median. Based on the distribution chart, Graco ranks #262 out of 2997 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Graco has a GF Score™ of 93/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Graco's Gross Margin % compare to CR and PNR?
According to the Industrial Products industry distribution chart, Graco ranks #262 out of 2997 companies for Gross Margin %. This places Graco in the top 9% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 26.81. Graco's value of 51.96% is 93.8% above this benchmark. Historically, Graco's own Gross Margin % has ranged from 49.33 to 53.92 over the past decade. While the company's 10-year median is 52.67 vs. the industry median of 26.81, Graco 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 Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.81, based on 2,997 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. Graco's current Gross Margin % of 51.96% is 93.8% 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 Graco and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Graco's current Gross Margin % is 51.96%, which is near median its own 10-year median of 52.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Graco stock overvalued right now?
Based on GuruFocus' analysis, Graco (FRA:GA8) is currently considered Modestly Undervalued. The stock's GF Value™ is €79.10, compared to a current price of €66.90 — trading 15.4% below its estimated fair value. The current Gross Margin % is 51.96%, which is near median its 10-year median of 52.67 and 93.8% above the Industrial Products industry median of 26.81. Graco's overall GF Score™ is 93/100 with 1 warning sign 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 Graco (FRA:GA8), the current Gross Margin % is 51.96% 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 Graco (FRA:GA8) Overvalued in 2026?
Based on GuruFocus' analysis, Graco stock appears to be undervalued.
The current stock price of €66.90 is trading 15.4% below its estimated GF Value™ of €79.10.
GuruFocus considers Graco to be Modestly Undervalued.
Key valuation signals for FRA:GA8:
Gross Margin %: 51.96% (near median its 10-year median of 52.67)
GF Value™: €79.10 vs. price of €66.90 (15.4% below fair value)
Industry Position: 93.8% above the Industrial Products median (#262 of 2997)
No single metric tells the full story. See the FRA:GA8 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Graco manufactures equipment used for managing fluids, coatings, and adhesives, specializing in difficult-to-handle materials. Graco's business is organized into three segments: industrial, process, and contractor. The Minnesota-based firm serves a wide range of end markets, including industrial, automotive, and construction, and its broad array of products include pumps, valves, meters, sprayers, and equipment used to apply coatings, sealants, and adhesives. The firm generated roughly $2.2 billion in sales in 2025.
93GF Score
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