Amentum HoldingsHAM:ZI7 -0.68%16 Gross Margin % is 9.92% as of Mar. 2026, which is 1% below its 10-year median of 10.04. GuruFocus rates HAM:ZI7 with a GF Score™ of 16/100. The stock has 3 warning signs investors should review. Among 1,007 Business Services companies, Amentum Holdings ranks worse than 91.36% on this metric.
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
Amentum Holdings had a gross margin of 9.92% for the quarter that ended in Mar. 2026 => 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.
Amentum Holdings Gross Margin % Related Terms
Amentum Holdings Gross Margin % Historical Data
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The historical data trend for Amentum Holdings'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.
HAM:ZI7 vs DLB, UNF, AZZ: Gross Margin % Comparison
For the Specialty Business Services subindustry, Amentum Holdings'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.
Amentum Holdings Gross Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Amentum Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Amentum Holdings'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.
Amentum Holdings (HAM:ZI7) has a Gross Margin % of 9.92% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Amentum Holdings and its competitors. This is near median its historical median of 10.04. Over the past decade, Amentum Holdings' Gross Margin % has ranged from 9.51 to 15.46. According to the industry distribution chart, Amentum Holdings ranks #920 out of 1007 companies in the Business Services industry, placing it in the top 91.4%.
Is Amentum Holdings' Gross Margin % too high?
Amentum Holdings' current Gross Margin % of 9.92% is near median its 10-year median of 10.04. Over the past 10 years, this metric has ranged from a low of 9.51 to a high of 15.46. The Business Services industry median Gross Margin % is 34.50. Amentum Holdings' value of 9.92% is 71.2% below this industry median. Based on the distribution chart, Amentum Holdings ranks #920 out of 1007 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, Amentum Holdings has a GF Score™ of 16/100, reflecting its overall financial health beyond just this single metric.
How does Amentum Holdings' Gross Margin % compare to DLB and UNF?
According to the Business Services industry distribution chart, Amentum Holdings ranks #920 out of 1007 companies for Gross Margin %. This places Amentum Holdings in the lower half of its industry. The industry median Gross Margin % is 34.50. Amentum Holdings' value of 9.92% is 71.2% below this benchmark. Historically, Amentum Holdings' own Gross Margin % has ranged from 9.51 to 15.46 over the past decade. While the company's 10-year median is 10.04 vs. the industry median of 34.50, Amentum Holdings 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 Business Services company?
The median Gross Margin % among Business Services companies is 34.50, based on 1,007 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. Amentum Holdings's current Gross Margin % of 9.92% is 71.2% 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 Amentum Holdings and its competitors. For the Business Services industry, the median Gross Margin % is 34.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Amentum Holdings's current Gross Margin % is 9.92%, which is near median its own 10-year median of 10.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Amentum Holdings stock overvalued right now?
Amentum Holdings (HAM:ZI7) has a current Gross Margin % of 9.92%. The current Gross Margin % is 9.92%, which is near median its 10-year median of 10.04 and 71.2% below the Business Services industry median of 34.50. Amentum Holdings' overall GF Score™ is 16/100 with 3 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 Amentum Holdings (HAM:ZI7), the current Gross Margin % is 9.92% 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.
Amentum Holdings Inc is an engineering and technology solutions provider serving U.S. and allied government agencies, as well as international and commercial customers across energy and environmental, intelligence, space, defense, civilian and commercial markets. It provides environmental remediation, intelligence and counter-threat solutions, data analytics, engineering and integration, testing, training and citizen services. The company operates through two segments: Digital Solutions, offering digital and data-driven services, and Global Engineering Solutions, providing environmental remediation, nuclear power solutions, platform engineering, sustainment, and supply chain management. majority of its revenue comes from the Global Engineering Solutions segment and from the United States.
16GF Score
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