Hexagon ABFRA:HXG +0.34%84 Gross Margin % is 62.85% as of Mar. 2026, which is 1% below its 10-year median of 63.75. GuruFocus rates FRA:HXG with a GF Score™ of 84/100 and a GF Value™ of €6.91 (Fairly Valued). The stock has 5 warning signs investors should review. Among 2,454 Hardware companies, Hexagon AB ranks better than 95.84% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Hexagon AB's Gross Profit for the
three
months ended in Mar. 2026 was €606 Mil. Hexagon AB's Revenue for the
three
months ended in Mar. 2026 was €964 Mil. Therefore, Hexagon AB's Gross Margin % for the quarter that ended in Mar. 2026 was 62.85%.
The historical rank and industry rank for Hexagon AB's Gross Margin % or its related term are showing as below:
FRA:HXG'
s Gross Margin % Range Over the Past 10 Years
Min: 60.4 Med: 63.75 Max: 66.83
Current: 65.42
During the past 13 years, the highestGross Margin % of Hexagon AB was 66.83%. The lowest was 60.40%. And the median was 63.75%.
FRA:HXG's Gross Margin % is ranked better than 95.84% of 2454
companies
in the Hardware industry
Industry Median: 24.565
vs FRA:HXG: 65.42
Hexagon AB had a gross margin of 62.85% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Hexagon AB was 1.00% per year.
Hexagon AB (FRA:HXG) 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
Hexagon AB had a gross margin of 62.85% 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.
Hexagon AB Gross Margin % Related Terms
Hexagon AB Gross Margin % Historical Data
* Premium members only.
The historical data trend for Hexagon AB'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:HXG vs COHR, KEYS, GRMN: Gross Margin % Comparison
For the Scientific & Technical Instruments subindustry, Hexagon AB'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.
Hexagon AB Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Hexagon AB's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Hexagon AB'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.
Hexagon AB (FRA:HXG) has a Gross Margin % of 62.85% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Hexagon AB and its competitors. This is near median its historical median of 63.75. Over the past decade, Hexagon AB's Gross Margin % has ranged from 60.40 to 66.83. According to the industry distribution chart, Hexagon AB ranks #102 out of 2454 companies in the Hardware industry, placing it in the top 4.2%.
Is Hexagon AB's Gross Margin % too high?
Hexagon AB's current Gross Margin % of 62.85% is near median its 10-year median of 63.75. Over the past 10 years, this metric has ranged from a low of 60.40 to a high of 66.83. The Hardware industry median Gross Margin % is 24.57. Hexagon AB's value of 62.85% is 155.9% above this industry median. Based on the distribution chart, Hexagon AB ranks #102 out of 2454 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Hexagon AB has a GF Score™ of 84/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hexagon AB's Gross Margin % compare to COHR and KEYS?
According to the Hardware industry distribution chart, Hexagon AB ranks #102 out of 2454 companies for Gross Margin %. This places Hexagon AB in the top 4% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 24.57. Hexagon AB's value of 62.85% is 155.9% above this benchmark. Historically, Hexagon AB's own Gross Margin % has ranged from 60.40 to 66.83 over the past decade. While the company's 10-year median is 63.75 vs. the industry median of 24.57, Hexagon AB 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.57, based on 2,454 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. Hexagon AB's current Gross Margin % of 62.85% is 155.9% 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 Hexagon AB and its competitors. For the Hardware industry, the median Gross Margin % is 24.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hexagon AB's current Gross Margin % is 62.85%, which is near median its own 10-year median of 63.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hexagon AB stock overvalued right now?
Based on GuruFocus' analysis, Hexagon AB (FRA:HXG) is currently considered Fairly Valued. The stock's GF Value™ is €6.91, compared to a current price of €7.15 — trading 3.4% above its estimated fair value. The current Gross Margin % is 62.85%, which is near median its 10-year median of 63.75 and 155.9% above the Hardware industry median of 24.57. Hexagon AB's overall GF Score™ is 84/100 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 Hexagon AB (FRA:HXG), the current Gross Margin % is 62.85% 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 Hexagon AB (FRA:HXG) Overvalued in 2026?
Based on GuruFocus' analysis, Hexagon AB stock appears to be overvalued.
The current stock price of €7.15 is trading 3.4% above its estimated GF Value™ of €6.91.
GuruFocus considers Hexagon AB to be Fairly Valued.
Key valuation signals for FRA:HXG:
Gross Margin %: 62.85% (near median its 10-year median of 63.75)
GF Value™: €6.91 vs. price of €7.15 (3.4% above fair value)
Industry Position: 155.9% above the Hardware median (#102 of 2454)
No single metric tells the full story. See the FRA:HXG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hexagon is the global leader in digital reality solutions, combining hardware such as sensors and measuring devices, software, and services. Customers are mainly in heavy industry, such as oil and gas, mining, construction, manufacturing, chemicals, and agriculture. Major products include measuring technology, mapping tools, and software. Around 40% of revenue is generated in the Americas, 35% in Europe, the Middle East, and Africa, and the rest in Asia.
84GF Score
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