United Internet AGFRA:UTDI -2.12%74 Gross Margin % is 31.91% as of Mar. 2026, which is 6% below its 10-year median of 33.99. GuruFocus rates FRA:UTDI with a GF Score™ of 74/100 and a GF Value™ of €22.14 (Fairly Valued). The stock has 6 warning signs investors should review. Among 344 Telecommunication Services companies, United Internet AG ranks worse than 72.38% on this metric.
The historical rank and industry rank for United Internet AG's Gross Margin % or its related term are showing as below:
FRA:UTDI'
s Gross Margin % Range Over the Past 10 Years
Min: 29.77 Med: 33.99 Max: 36.02
Current: 31.02
During the past 13 years, the highestGross Margin % of United Internet AG was 36.02%. The lowest was 29.77%. And the median was 33.99%.
FRA:UTDI's Gross Margin % is ranked worse than 72.38% of 344
companies
in the Telecommunication Services industry
Industry Median: 51.415
vs FRA:UTDI: 31.02
United Internet AG had a gross margin of 31.91% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for United Internet AG was 0.10% per year.
United Internet AG (FRA:UTDI) 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 Internet AG had a gross margin of 31.91% 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.
United Internet AG Gross Margin % Related Terms
United Internet AG Gross Margin % Historical Data
* Premium members only.
The historical data trend for United Internet AG'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:UTDI vs TMUS, VZ, T: Gross Margin % Comparison
For the Telecom Services subindustry, United Internet AG'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 Internet AG Gross Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, United Internet AG's Gross Margin % distribution charts can be found below:
* The bar in red indicates where United Internet AG'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.
United Internet AG (FRA:UTDI) has a Gross Margin % of 31.91% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on United Internet AG and its competitors. This is near median its historical median of 33.99. Over the past decade, United Internet AG's Gross Margin % has ranged from 29.77 to 36.02. According to the industry distribution chart, United Internet AG ranks #249 out of 344 companies in the Telecommunication Services industry, placing it in the top 72.4%.
Is United Internet AG's Gross Margin % too high?
United Internet AG's current Gross Margin % of 31.91% is near median its 10-year median of 33.99. Over the past 10 years, this metric has ranged from a low of 29.77 to a high of 36.02. The Telecommunication Services industry median Gross Margin % is 51.42. United Internet AG's value of 31.91% is 37.9% below this industry median. Based on the distribution chart, United Internet AG ranks #249 out of 344 companies in the Telecommunication Services industry, which is below the industry midpoint. Overall, United Internet AG has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does United Internet AG's Gross Margin % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, United Internet AG ranks #249 out of 344 companies for Gross Margin %. This places United Internet AG in the lower half of its industry. The industry median Gross Margin % is 51.42. United Internet AG's value of 31.91% is 37.9% below this benchmark. Historically, United Internet AG's own Gross Margin % has ranged from 29.77 to 36.02 over the past decade. While the company's 10-year median is 33.99 vs. the industry median of 51.42, United Internet AG 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 Telecommunication Services company?
The median Gross Margin % among Telecommunication Services companies is 51.42, based on 344 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 Internet AG's current Gross Margin % of 31.91% is 37.9% 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 Internet AG and its competitors. For the Telecommunication Services industry, the median Gross Margin % is 51.42 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. United Internet AG's current Gross Margin % is 31.91%, which is near median its own 10-year median of 33.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is United Internet AG stock overvalued right now?
Based on GuruFocus' analysis, United Internet AG (FRA:UTDI) is currently considered Fairly Valued. The stock's GF Value™ is €22.14, compared to a current price of €23.98 — trading 8.3% above its estimated fair value. The current Gross Margin % is 31.91%, which is near median its 10-year median of 33.99 and 37.9% below the Telecommunication Services industry median of 51.42. United Internet AG's overall GF Score™ is 74/100 with 6 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 United Internet AG (FRA:UTDI), the current Gross Margin % is 31.91% 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 United Internet AG (FRA:UTDI) Overvalued in 2026?
Based on GuruFocus' analysis, United Internet AG stock appears to be overvalued.
The current stock price of €23.98 is trading 8.3% above its estimated GF Value™ of €22.14.
GuruFocus considers United Internet AG to be Fairly Valued.
Key valuation signals for FRA:UTDI:
Gross Margin %: 31.91% (near median its 10-year median of 33.99)
GF Value™: €22.14 vs. price of €23.98 (8.3% above fair value)
Industry Position: 37.9% below the Telecommunication Services median (#249 of 344)
No single metric tells the full story. See the FRA:UTDI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
United Internet AG is a telecommunications provider that operates through two business divisions: Access and Applications, which in turn are divided into the segments Consumer Access and Business Access and Consumer Applications and Business Applications. The Consumer Access segment which generates the majority of the revenue for the company comprises mobile internet products as well as landline-based broadband products (including the respective applications, such as home networks, online storage, telephony, Smart Home, IPTV, and video-on-demand) and mobile internet products. The company also provides a wide range of telecommunication products and services to companies and local authorities.
74GF Score
Get the complete analysis for FRA:UTDI
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:UTDI has been successfully added to your 
