Element Solutions (FRA:PLQ) Gross Margin %: 38.42% (As of Mar. 2026) — Near Median


FRA:PLQ Element Solutions Inc FRA:PLQ
77 GF Score
Price €40.00
GF Value €27.07
Valuation Significantly Overvalued
! 7 Warning Signs
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What is Element Solutions Gross Margin %?

Element Solutions FRA:PLQ -3.85% 77 Gross Margin % is 38.42% as of Mar. 2026, which is 9% below its 10-year median of 42.28. GuruFocus rates FRA:PLQ with a GF Score™ of 77/100 and a GF Value™ of €27.07 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 1,565 Chemicals companies, Element Solutions ranks better than 83.13% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Element Solutions's Gross Profit for the three months ended in Mar. 2026 was €279 Mil. Element Solutions's Revenue for the three months ended in Mar. 2026 was €727 Mil. Therefore, Element Solutions's Gross Margin % for the quarter that ended in Mar. 2026 was 38.42%.


The historical rank and industry rank for Element Solutions's Gross Margin % or its related term are showing as below:

FRA:PLQ' s Gross Margin % Range Over the Past 10 Years
Min: 37.37   Med: 42.28   Max: 43.91
Current: 40.85


During the past 13 years, the highest Gross Margin % of Element Solutions was 43.91%. The lowest was 37.37%. And the median was 42.28%.

FRA:PLQ's Gross Margin % is ranked better than
83.13% of 1565 companies
in the Chemicals industry
Industry Median: 23.38 vs FRA:PLQ: 40.85

Element Solutions had a gross margin of 38.42% for the quarter that ended in Mar. 2026 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Element Solutions was 0.40% per year.


Element Solutions  (FRA:PLQ) 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

Element Solutions had a gross margin of 38.42% 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.


Element Solutions Gross Margin % Related Terms


Element Solutions Gross Margin % Historical Data

* Premium members only.

The historical data trend for Element Solutions'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.

Element Solutions Gross Margin % Chart

Element Solutions Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 40.04 37.37 39.37 42.15 41.96

Element Solutions Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 42.19 42.61 42.22 40.90 38.42

FRA:PLQ vs WLK, EMN, SOLS: Gross Margin % Comparison

For the Specialty Chemicals subindustry, Element Solutions'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.


Element Solutions Gross Margin % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Element Solutions's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Element Solutions's Gross Margin % falls into.


FRA:PLQ
77GF Score
Element Solutions Inc FRA:PLQ
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Element Solutions Gross Margin % Calculation

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

Element Solutions's Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=914.2 / 2178.725
=(Revenue - Cost of Goods Sold) / Revenue
=(2178.725 - 1264.518) / 2178.725
=41.96 %

Element Solutions's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=279.1 / 726.6
=(Revenue - Cost of Goods Sold) / Revenue
=(726.6 - 447.465) / 726.6
=38.42 %

* 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 38.42% mean?
Element Solutions (FRA:PLQ) has a Gross Margin % of 38.42% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Element Solutions and its competitors. This is near median its historical median of 42.28. Over the past decade, Element Solutions' Gross Margin % has ranged from 37.37 to 43.91. According to the industry distribution chart, Element Solutions ranks #264 out of 1565 companies in the Chemicals industry, placing it in the top 16.9%.
Is Element Solutions' Gross Margin % too high?
Element Solutions' current Gross Margin % of 38.42% is near median its 10-year median of 42.28. Over the past 10 years, this metric has ranged from a low of 37.37 to a high of 43.91. The Chemicals industry median Gross Margin % is 23.38. Element Solutions' value of 38.42% is 64.3% above this industry median. Based on the distribution chart, Element Solutions ranks #264 out of 1565 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Element Solutions has a GF Score™ of 77/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Element Solutions' Gross Margin % compare to WLK and EMN?
According to the Chemicals industry distribution chart, Element Solutions ranks #264 out of 1565 companies for Gross Margin %. This places Element Solutions in the top 17% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 23.38. Element Solutions' value of 38.42% is 64.3% above this benchmark. Historically, Element Solutions' own Gross Margin % has ranged from 37.37 to 43.91 over the past decade. While the company's 10-year median is 42.28 vs. the industry median of 23.38, Element Solutions 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 Chemicals company?
The median Gross Margin % among Chemicals companies is 23.38, based on 1,565 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. Element Solutions's current Gross Margin % of 38.42% is 64.3% 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 Element Solutions and its competitors. For the Chemicals industry, the median Gross Margin % is 23.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Element Solutions's current Gross Margin % is 38.42%, which is near median its own 10-year median of 42.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Element Solutions stock overvalued right now?
Based on GuruFocus' analysis, Element Solutions (FRA:PLQ) is currently considered Significantly Overvalued. The stock's GF Value™ is €27.07, compared to a current price of €40.00 — trading 47.8% above its estimated fair value. The current Gross Margin % is 38.42%, which is near median its 10-year median of 42.28 and 64.3% above the Chemicals industry median of 23.38. Element Solutions' overall GF Score™ is 77/100 with 7 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 Element Solutions (FRA:PLQ), the current Gross Margin % is 38.42% 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 Element Solutions (FRA:PLQ) Overvalued in 2026?

Based on GuruFocus' analysis, Element Solutions stock appears to be overvalued. The current stock price of €40.00 is trading 47.8% above its estimated GF Value™ of €27.07. GuruFocus considers Element Solutions to be Significantly Overvalued.

Key valuation signals for FRA:PLQ:

  • Gross Margin %: 38.42% (near median its 10-year median of 42.28)
  • GF Value™: €27.07 vs. price of €40.00 (47.8% above fair value)
  • GF Score™: 77/100 with 7 warning signs
  • Industry Position: 64.3% above the Chemicals median (#264 of 1565)

No single metric tells the full story. See the FRA:PLQ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Element Solutions Business Description

Other Exchanges ESI:USAPLQ:Germany
Address 500 South Pointe Drive, Suite 200, Fort Lauderdale, FL, USA, 33394
Element Solutions Inc is a specialty chemicals company whose businesses supply a broad range of solutions that enhance the performance of products people use every day. The company's reportable segments are Electronics and Industrial & Specialty. The Electronics segment, which generates maximum revenue, researches, formulates, and sells specialty chemicals and process technologies for all types of electronics hardware, from complex printed circuit board designs to semiconductor packaging. This segment's wet chemicals for metallization, surface treatments, and solderable finishes form the physical circuitry pathways, and its assembly materials, such as solder, pastes, fluxes, and adhesives, join those pathways together.
77GF Score

Get the complete analysis for FRA:PLQ

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€40.00
Price
€27.07
GF Value