Hilton Grand VacationsFRA:HIE -0.88%80 Gross Margin % is 25.53% as of Mar. 2026, which is 24% below its 10-year median of 33.76. GuruFocus rates FRA:HIE with a GF Score™ of 80/100 and a GF Value™ of €49.96 (Modestly Undervalued). The stock has 8 warning signs investors should review. Among 790 Travel & Leisure companies, Hilton Grand Vacations ranks better than 75.44% on this metric.
FRA:HIE's Gross Margin % is ranked better than 75.44% of 790
companies
in the Travel & Leisure industry
Industry Median: 44.09
vs FRA:HIE: 63.74
Hilton Grand Vacations had a gross margin of 25.53% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Hilton Grand Vacations was 29.20% per year.
Hilton Grand Vacations (FRA:HIE) 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
Hilton Grand Vacations had a gross margin of 25.53% 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.
Hilton Grand Vacations Gross Margin % Related Terms
Hilton Grand Vacations Gross Margin % Historical Data
* Premium members only.
The historical data trend for Hilton Grand Vacations'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:HIE vs RRR, MTN, VAC: Gross Margin % Comparison
For the Resorts & Casinos subindustry, Hilton Grand Vacations'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.
Hilton Grand Vacations Gross Margin % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Hilton Grand Vacations's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Hilton Grand Vacations'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.
Hilton Grand Vacations (FRA:HIE) has a Gross Margin % of 25.53% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Hilton Grand Vacations and its competitors. This is 24% below median its historical median of 33.76. Over the past decade, Hilton Grand Vacations' Gross Margin % has ranged from 17.00 to 64.38. According to the industry distribution chart, Hilton Grand Vacations ranks #194 out of 790 companies in the Travel & Leisure industry, placing it in the top 24.6%.
Is Hilton Grand Vacations' Gross Margin % too high?
Hilton Grand Vacations' current Gross Margin % of 25.53% is 24% below median its 10-year median of 33.76. Over the past 10 years, this metric has ranged from a low of 17.00 to a high of 64.38. The Travel & Leisure industry median Gross Margin % is 44.09. Hilton Grand Vacations' value of 25.53% is 42.1% below this industry median. Based on the distribution chart, Hilton Grand Vacations ranks #194 out of 790 companies in the Travel & Leisure industry, which is in the top quartile — a strong position relative to peers. Overall, Hilton Grand Vacations has a GF Score™ of 80/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hilton Grand Vacations' Gross Margin % compare to RRR and MTN?
According to the Travel & Leisure industry distribution chart, Hilton Grand Vacations ranks #194 out of 790 companies for Gross Margin %. This places Hilton Grand Vacations in the top 25% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 44.09. Hilton Grand Vacations' value of 25.53% is 42.1% below this benchmark. Historically, Hilton Grand Vacations' own Gross Margin % has ranged from 17.00 to 64.38 over the past decade. While the company's 10-year median is 33.76 vs. the industry median of 44.09, Hilton Grand Vacations 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 Travel & Leisure company?
The median Gross Margin % among Travel & Leisure companies is 44.09, based on 790 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. Hilton Grand Vacations's current Gross Margin % of 25.53% is 42.1% 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 Hilton Grand Vacations and its competitors. For the Travel & Leisure industry, the median Gross Margin % is 44.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hilton Grand Vacations's current Gross Margin % is 25.53%, which is 24% below median its own 10-year median of 33.76. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hilton Grand Vacations stock overvalued right now?
Based on GuruFocus' analysis, Hilton Grand Vacations (FRA:HIE) is currently considered Modestly Undervalued. The stock's GF Value™ is €49.96, compared to a current price of €45.20 — trading 9.5% below its estimated fair value. The current Gross Margin % is 25.53%, which is 24% below median its 10-year median of 33.76 and 42.1% below the Travel & Leisure industry median of 44.09. Hilton Grand Vacations' overall GF Score™ is 80/100 with 8 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 Hilton Grand Vacations (FRA:HIE), the current Gross Margin % is 25.53% 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 Hilton Grand Vacations (FRA:HIE) Overvalued in 2026?
Based on GuruFocus' analysis, Hilton Grand Vacations stock appears to be undervalued.
The current stock price of €45.20 is trading 9.5% below its estimated GF Value™ of €49.96.
GuruFocus considers Hilton Grand Vacations to be Modestly Undervalued.
Key valuation signals for FRA:HIE:
Gross Margin %: 25.53% (24% below median its 10-year median of 33.76)
GF Value™: €49.96 vs. price of €45.20 (9.5% below fair value)
Industry Position: 42.1% below the Travel & Leisure median (#194 of 790)
No single metric tells the full story. See the FRA:HIE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hilton Grand Vacations Inc is a timeshare company engaged in developing, marketing, selling, managing, and operating timeshare resorts and timeshare plans under the Hilton Grand Vacations brand. The company operates in two segments: Real estate sales and financing, and Resort operations and club management. The Real estate sales and financing segment generates revenue from VOI sales and consumer financing, including interest income from loans to members. The Resort operations and club management segment generates revenue from resort management services, club membership fees, and rental of available inventory. The majority of the company's revenue is earned through the Real estate sales and financing segment.
80GF Score
Get the complete analysis for FRA:HIE
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:HIE has been successfully added to your 
