Gawk (GAWK) Gross Margin %: 22.88% (As of Oct. 2017)


What is Gawk Gross Margin %?

Gawk GAWK Gross Margin % is 22.88% as of Oct. 2017.

Gross Margin % is calculated as gross profit divided by its revenue. Gawk's Gross Profit for the three months ended in Oct. 2017 was $0.31 Mil. Gawk's Revenue for the three months ended in Oct. 2017 was $1.34 Mil. Therefore, Gawk's Gross Margin % for the quarter that ended in Oct. 2017 was 22.88%.


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


GAWK's Gross Margin % is not ranked *
in the Software industry.
Industry Median: 40.455
* Ranked among companies with meaningful Gross Margin % only.

Gawk had a gross margin of 22.88% for the quarter that ended in Oct. 2017 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Gawk was 0.00% per year.


Gawk  (OTCPK:GAWK) 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

Gawk had a gross margin of 22.88% for the quarter that ended in Oct. 2017 => 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.


Gawk Gross Margin % Related Terms


Gawk Gross Margin % Historical Data

* Premium members only.

The historical data trend for Gawk'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.

Gawk Gross Margin % Chart

Gawk Annual Data
Trend Jan12 Jan13 Jan14 Jan15 Jan16 Jan17
Gross Margin %
Get a 7-Day Free Trial 0.00 0.00 0.00 14.09 22.10

Gawk Quarterly Data
Jan13 Apr13 Jul13 Oct13 Jan14 Apr14 Jul14 Oct14 Jan15 Apr15 Jul15 Oct15 Jan16 Apr16 Jul16 Oct16 Jan17 Apr17 Jul17 Oct17
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 30.09 7.00 28.95 19.29 22.88

GAWK vs AVRN, VEII, BLGI: Gross Margin % Comparison

For the Software - Infrastructure subindustry, Gawk'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.


Gawk Gross Margin % vs Software Industry

For the Software industry and Technology sector, Gawk's Gross Margin % distribution charts can be found below:

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



Gawk Gross Margin % Calculation

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

Gawk's Gross Margin for the fiscal year that ended in Jan. 2017 is calculated as

Gross Margin % (A: Jan. 2017 )=Gross Profit (A: Jan. 2017 ) / Revenue (A: Jan. 2017 )
=1.2 / 5.638
=(Revenue - Cost of Goods Sold) / Revenue
=(5.638 - 4.392) / 5.638
=22.10 %

Gawk's Gross Margin for the quarter that ended in Oct. 2017 is calculated as


Gross Margin % (Q: Oct. 2017 )=Gross Profit (Q: Oct. 2017 ) / Revenue (Q: Oct. 2017 )
=0.3 / 1.342
=(Revenue - Cost of Goods Sold) / Revenue
=(1.342 - 1.035) / 1.342
=22.88 %

* 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 22.88% mean?
Gawk (GAWK) has a Gross Margin % of 22.88% as of Oct. 2017. Gross margin is the ratio of total gross profit to net sales. View historical data on Gawk and its competitors.
Is Gawk's Gross Margin % too high?
Gawk's current Gross Margin % is 22.88%. The Software industry median Gross Margin % is 40.46. Gawk's value of 22.88% is 43.4% below this industry median.
How does Gawk's Gross Margin % compare to AVRN and VEII?
Gawk's Gross Margin % of 22.88% can be compared against companies in the Software industry. The industry median Gross Margin % is 40.46. Gawk's value of 22.88% is 43.4% 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 a Software company?
The median Gross Margin % among Software companies is 40.46, based on 2,678 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. Gawk's current Gross Margin % of 22.88% is 43.4% 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 Gawk and its competitors. For the Software industry, the median Gross Margin % is 40.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gawk's current Gross Margin % is 22.88%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gawk stock overvalued right now?
Gawk (GAWK) has a current Gross Margin % of 22.88%. The current Gross Margin % is 22.88% and 43.4% below the Software industry median of 40.46. 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 Gawk (GAWK), the current Gross Margin % is 22.88% as of Oct. 2017. 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.

Gawk Business Description

Address 5300 Melrose Avenue, Suite 42, Los Angeles, CA, USA, 90038
Gawk Inc offers cloud communications, cloud connectivity, cloud computing, and managed cloud-based applications solutions to businesses; and offers domestic and international voice services to communications carriers worldwide. It also offers advanced data center and cloud-based services, including fault-tolerant, high availability cloud servers, which comprise a platform as a service, infrastructure as a service, and a content delivery network; managed network services that converge voice and data applications, structured cabling, wireless, and security services, as well as include Internet access via Ethernet or fiber at speeds ranging from 10 Mbps to 10 Gbps; and data center solutions, including cloud services, colocation services, and business continuity services.