Super Micro ComputerFRA:MS50 -11.45%84 Gross Margin % is 9.95% as of Mar. 2026, which is 31% below its 10-year median of 14.51. GuruFocus rates FRA:MS50 with a GF Score™ of 84/100 and a GF Value™ of €16.51 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 2,450 Hardware companies, Super Micro Computer ranks worse than 87.51% on this metric.
Super Micro Computer Inc gross margin has been in long-term decline. The average rate of decline per year is -5.2%.
The historical rank and industry rank for Super Micro Computer's Gross Margin % or its related term are showing as below:
FRA:MS50'
s Gross Margin % Range Over the Past 10 Years
Min: 8.39 Med: 14.51 Max: 18.01
Current: 8.39
During the past 13 years, the highestGross Margin % of Super Micro Computer was 18.01%. The lowest was 8.39%. And the median was 14.51%.
FRA:MS50's Gross Margin % is ranked worse than 87.51% of 2450
companies
in the Hardware industry
Industry Median: 24.53
vs FRA:MS50: 8.39
Super Micro Computer had a gross margin of 9.95% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Super Micro Computer was -5.20% per year.
Super Micro Computer (FRA:MS50) 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
Super Micro Computer had a gross margin of 9.95% for the quarter that ended in Mar. 2026 => No sustainable 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.
Super Micro Computer Gross Margin % Related Terms
Super Micro Computer Gross Margin % Historical Data
* Premium members only.
The historical data trend for Super Micro Computer'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:MS50 vs IONQ, P, HPQ: Gross Margin % Comparison
For the Computer Hardware subindustry, Super Micro Computer'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.
Super Micro Computer Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Super Micro Computer's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Super Micro Computer'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.
Super Micro Computer (FRA:MS50) has a Gross Margin % of 9.95% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Super Micro Computer and its competitors. This is 31% below median its historical median of 14.51. Over the past decade, Super Micro Computer's Gross Margin % has ranged from 8.39 to 18.01. According to the industry distribution chart, Super Micro Computer ranks #2144 out of 2450 companies in the Hardware industry, placing it in the top 87.5%.
Is Super Micro Computer's Gross Margin % too high?
Super Micro Computer's current Gross Margin % of 9.95% is 31% below median its 10-year median of 14.51. Over the past 10 years, this metric has ranged from a low of 8.39 to a high of 18.01. The Hardware industry median Gross Margin % is 24.53. Super Micro Computer's value of 9.95% is 59.4% below this industry median. Based on the distribution chart, Super Micro Computer ranks #2144 out of 2450 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, Super Micro Computer has a GF Score™ of 84/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Super Micro Computer's Gross Margin % compare to IONQ and P?
According to the Hardware industry distribution chart, Super Micro Computer ranks #2144 out of 2450 companies for Gross Margin %. This places Super Micro Computer in the lower half of its industry. The industry median Gross Margin % is 24.53. Super Micro Computer's value of 9.95% is 59.4% below this benchmark. Historically, Super Micro Computer's own Gross Margin % has ranged from 8.39 to 18.01 over the past decade. While the company's 10-year median is 14.51 vs. the industry median of 24.53, Super Micro Computer 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.53, based on 2,450 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. Super Micro Computer's current Gross Margin % of 9.95% is 59.4% 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 Super Micro Computer and its competitors. For the Hardware industry, the median Gross Margin % is 24.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Super Micro Computer's current Gross Margin % is 9.95%, which is 31% below median its own 10-year median of 14.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Super Micro Computer stock overvalued right now?
Based on GuruFocus' analysis, Super Micro Computer (FRA:MS50) is currently considered Possible Value Trap. The stock's GF Value™ is €16.51, compared to a current price of €5.81 — trading 64.8% below its estimated fair value. The current Gross Margin % is 9.95%, which is 31% below median its 10-year median of 14.51 and 59.4% below the Hardware industry median of 24.53. Super Micro Computer'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 Super Micro Computer (FRA:MS50), the current Gross Margin % is 9.95% 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 Super Micro Computer (FRA:MS50) Overvalued in 2026?
Based on GuruFocus' analysis, Super Micro Computer stock appears to be undervalued.
The current stock price of €5.81 is trading 64.8% below its estimated GF Value™ of €16.51.
GuruFocus considers Super Micro Computer to be Possible Value Trap.
Key valuation signals for FRA:MS50:
Gross Margin %: 9.95% (31% below median its 10-year median of 14.51)
GF Value™: €16.51 vs. price of €5.81 (64.8% below fair value)
Industry Position: 59.4% below the Hardware median (#2144 of 2450)
No single metric tells the full story. See the FRA:MS50 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Super Micro Computer Inc provides high-performance server technology services to cloud computing, data centers, high-performance computing, and the Internet of Things embedded markets. Its solutions include servers, storage systems, modular blade servers, workstations, full-rack scale solutions, networking devices, server sub-systems, and server management. These turn-key solutions are designed, developed, validated, and installed for AI datacenters. The company has one operating segment that develops and provides high-performance server solutions based upon a, modular and open-standard architecture. More than half of the firm's revenue is generated in the United States, with the rest coming from Europe, Asia, and other regions.
84GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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