United States Oil and Gas (FRA:NG5B) Gross Margin %: 1.40% (As of Sep. 2011)


What is United States Oil and Gas Gross Margin %?

United States Oil and Gas FRA:NG5B Gross Margin % is 1.40% as of Sep. 2011.

Gross Margin % is calculated as gross profit divided by its revenue. United States Oil and Gas's Gross Profit for the three months ended in Sep. 2011 was €0.02 Mil. United States Oil and Gas's Revenue for the three months ended in Sep. 2011 was €1.21 Mil. Therefore, United States Oil and Gas's Gross Margin % for the quarter that ended in Sep. 2011 was 1.40%.


The historical rank and industry rank for United States Oil and Gas's Gross Margin % or its related term are showing as below:


FRA:NG5B's Gross Margin % is not ranked *
in the Oil & Gas industry.
Industry Median: 25.7
* Ranked among companies with meaningful Gross Margin % only.

United States Oil and Gas had a gross margin of 1.40% for the quarter that ended in Sep. 2011 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for United States Oil and Gas was 0.00% per year.


United States Oil and Gas  (FRA:NG5B) 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

United States Oil and Gas had a gross margin of 1.40% for the quarter that ended in Sep. 2011 => 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.


United States Oil and Gas Gross Margin % Related Terms


United States Oil and Gas Gross Margin % Historical Data

* Premium members only.

The historical data trend for United States Oil and Gas'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.

United States Oil and Gas Gross Margin % Chart

United States Oil and Gas Annual Data
Trend Dec09 Dec10
Gross Margin %
10.64 6.88

United States Oil and Gas Quarterly Data
Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.33 6.41 7.66 4.62 1.40

United States Oil and Gas Gross Margin % Competitor Comparison

For the Oil & Gas Refining & Marketing subindustry, United States Oil and Gas'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.


United States Oil and Gas Gross Margin % vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, United States Oil and Gas's Gross Margin % distribution charts can be found below:

* The bar in red indicates where United States Oil and Gas's Gross Margin % falls into.



United States Oil and Gas Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

United States Oil and Gas's Gross Margin for the fiscal year that ended in Dec. 2010 is calculated as

Gross Margin % (A: Dec. 2010 )=Gross Profit (A: Dec. 2010 ) / Revenue (A: Dec. 2010 )
=1.3 / 18.661
=(Revenue - Cost of Goods Sold) / Revenue
=(18.661 - 17.377) / 18.661
=6.88 %

United States Oil and Gas's Gross Margin for the quarter that ended in Sep. 2011 is calculated as


Gross Margin % (Q: Sep. 2011 )=Gross Profit (Q: Sep. 2011 ) / Revenue (Q: Sep. 2011 )
=0 / 1.21
=(Revenue - Cost of Goods Sold) / Revenue
=(1.21 - 1.193) / 1.21
=1.40 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 1.40% mean?
United States Oil and Gas (FRA:NG5B) has a Gross Margin % of 1.40% as of Sep. 2011. Gross margin is the ratio of total gross profit to net sales. View historical data on United States Oil and Gas and its competitors.
Is United States Oil and Gas' Gross Margin % too high?
United States Oil and Gas' current Gross Margin % is 1.40%. The Oil & Gas industry median Gross Margin % is 25.70. United States Oil and Gas' value of 1.40% is 94.6% below this industry median.
How does United States Oil and Gas' Gross Margin % compare to competitors?
United States Oil and Gas' Gross Margin % of 1.40% can be compared against companies in the Oil & Gas industry. The industry median Gross Margin % is 25.70. United States Oil and Gas' value of 1.40% is 94.6% below this benchmark. 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 Oil & Gas company?
The median Gross Margin % among Oil & Gas companies is 25.70, based on 869 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. United States Oil and Gas's current Gross Margin % of 1.40% is 94.6% 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 United States Oil and Gas and its competitors. For the Oil & Gas industry, the median Gross Margin % is 25.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. United States Oil and Gas's current Gross Margin % is 1.40%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is United States Oil and Gas stock overvalued right now?
United States Oil and Gas (FRA:NG5B) has a current Gross Margin % of 1.40%. The current Gross Margin % is 1.40% and 94.6% below the Oil & Gas industry median of 25.70. 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 United States Oil and Gas (FRA:NG5B), the current Gross Margin % is 1.40% as of Sep. 2011. 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.

United States Oil and Gas Business Description

Industry EnergyOil & Gas
United States Oil And Gas Corp was founded in April 2007. The Company identifies and attempts to acquire domestic oil and gas service companies that market and distribute refined fuels, distillates (which are liquid petroleum products that are burned in a furnace or boiler for the generation of heat or used in an engine for the generation of power) and propane to retail and wholesale customers and oversee the operations of the businesses it acquires. Its acquisition targets are small to mid-sized family-run companies. Oil and gas service companies typically purchase bulk fuel and propane from regional suppliers, then store, sell, and deliver the fuel and propane to local businesses, drillers, farms, wholesalers, and individuals.