Gross Margin % is calculated as gross profit divided by its revenue. Canoo's Gross Profit for the
three
months ended in Sep. 2024 was $0.72 Mil. Canoo's Revenue for the
three
months ended in Sep. 2024 was $0.89 Mil. Therefore, Canoo's Gross Margin % for the quarter that ended in Sep. 2024 was 80.92%.
The historical rank and industry rank for Canoo's Gross Margin % or its related term are showing as below:
GOEV's Gross Margin % is not ranked *
in the Vehicles & Parts industry.
Industry Median: 19.84 * Ranked among companies with meaningful Gross Margin % only.
Canoo had a gross margin of 80.92% for the quarter that ended in Sep. 2024 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Canoo was 0.00% per year.
Canoo (OTCPK:GOEV) 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
Canoo had a gross margin of 80.92% for the quarter that ended in Sep. 2024 => Durable 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.
Canoo Gross Margin % Related Terms
Canoo Gross Margin % Historical Data
* Premium members only.
The historical data trend for Canoo'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.
GOEV vs DMN, EVTV, ZAPP: Gross Margin % Comparison
For the Auto Manufacturers subindustry, Canoo'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.
Canoo Gross Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Canoo's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Canoo'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.
Canoo (GOEV) has a Gross Margin % of 80.92% as of Sep. 2024. Gross margin is the ratio of total gross profit to net sales. View historical data on Canoo and its competitors.
Is Canoo's Gross Margin % too high?
Canoo's current Gross Margin % is 80.92%. The Vehicles & Parts industry median Gross Margin % is 19.84. Canoo's value of 80.92% is 307.9% above this industry median. Overall, Canoo has a GF Score™ of 23/100, reflecting its overall financial health beyond just this single metric.
How does Canoo's Gross Margin % compare to DMN and EVTV?
Canoo's Gross Margin % of 80.92% can be compared against companies in the Vehicles & Parts industry. The industry median Gross Margin % is 19.84. Canoo's value of 80.92% is 307.9% above 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 Vehicles & Parts company?
The median Gross Margin % among Vehicles & Parts companies is 19.84, based on 1,313 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. Canoo's current Gross Margin % of 80.92% is 307.9% 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 Canoo and its competitors. For the Vehicles & Parts industry, the median Gross Margin % is 19.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Canoo's current Gross Margin % is 80.92%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Canoo stock overvalued right now?
Canoo (GOEV) has a current Gross Margin % of 80.92%. The current Gross Margin % is 80.92% and 307.9% above the Vehicles & Parts industry median of 19.84. Canoo's overall GF Score™ is 23/100. 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 Canoo (GOEV), the current Gross Margin % is 80.92% as of Sep. 2024. 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.
Canoo Inc is a mobility technology company providing with a proprietary modular electric vehicle platform and connected services initially focused on commercial fleet, government and military customers. The Company has developed a breakthrough EV platform that it believes will enable it to rapidly iterate and bring new products, addressing multiple use cases, to market faster than competition and at lower cost.
23GF Score
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