Health CatalystHCAT -1.71%49 Gross Margin % is 50.12% as of Mar. 2026, which is 4% above its 10-year median of 48.06. GuruFocus rates HCAT with a GF Score™ of 49/100 and a GF Value™ of $5.07 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 631 Healthcare Providers & Services companies, Health Catalyst ranks better than 61.01% on this metric.
The historical rank and industry rank for Health Catalyst's Gross Margin % or its related term are showing as below:
HCAT'
s Gross Margin % Range Over the Past 10 Years
Min: 40.28 Med: 48.06 Max: 51.37
Current: 49.89
During the past 9 years, the highestGross Margin % of Health Catalyst was 51.37%. The lowest was 40.28%. And the median was 48.06%.
HCAT's Gross Margin % is ranked better than 61.01% of 631
companies
in the Healthcare Providers & Services industry
Industry Median: 40.09
vs HCAT: 49.89
Health Catalyst had a gross margin of 50.12% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Health Catalyst was -0.50% per year.
Health Catalyst (NAS:HCAT) 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
Health Catalyst had a gross margin of 50.12% for the quarter that ended in Mar. 2026 => 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.
Health Catalyst Gross Margin % Related Terms
Health Catalyst Gross Margin % Historical Data
* Premium members only.
The historical data trend for Health Catalyst'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.
For the Health Information Services subindustry, Health Catalyst'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.
Health Catalyst Gross Margin % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Health Catalyst's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Health Catalyst'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.
Health Catalyst (HCAT) has a Gross Margin % of 50.12% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Health Catalyst and its competitors. This is near median its historical median of 48.06. Over the past decade, Health Catalyst's Gross Margin % has ranged from 40.28 to 51.37. According to the industry distribution chart, Health Catalyst ranks #246 out of 631 companies in the Healthcare Providers & Services industry, placing it in the top 39%.
Is Health Catalyst's Gross Margin % too high?
Health Catalyst's current Gross Margin % of 50.12% is near median its 10-year median of 48.06. Over the past 10 years, this metric has ranged from a low of 40.28 to a high of 51.37. The Healthcare Providers & Services industry median Gross Margin % is 40.09. Health Catalyst's value of 50.12% is 25% above this industry median. Based on the distribution chart, Health Catalyst ranks #246 out of 631 companies in the Healthcare Providers & Services industry, which is above the industry midpoint. Overall, Health Catalyst has a GF Score™ of 49/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Health Catalyst's Gross Margin % compare to CCLD and DH?
According to the Healthcare Providers & Services industry distribution chart, Health Catalyst ranks #246 out of 631 companies for Gross Margin %. This puts Health Catalyst in the upper half of its industry. The industry median Gross Margin % is 40.09. Health Catalyst's value of 50.12% is 25% above this benchmark. Historically, Health Catalyst's own Gross Margin % has ranged from 40.28 to 51.37 over the past decade. While the company's 10-year median is 48.06 vs. the industry median of 40.09, Health Catalyst 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 Healthcare Providers & Services company?
The median Gross Margin % among Healthcare Providers & Services companies is 40.09, based on 631 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. Health Catalyst's current Gross Margin % of 50.12% is 25% 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 Health Catalyst and its competitors. For the Healthcare Providers & Services industry, the median Gross Margin % is 40.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Health Catalyst's current Gross Margin % is 50.12%, which is near median its own 10-year median of 48.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Health Catalyst stock overvalued right now?
Based on GuruFocus' analysis, Health Catalyst (HCAT) is currently considered Possible Value Trap. The stock's GF Value™ is $5.07, compared to a current price of $1.72 — trading 66.1% below its estimated fair value. The current Gross Margin % is 50.12%, which is near median its 10-year median of 48.06 and 25% above the Healthcare Providers & Services industry median of 40.09. Health Catalyst's overall GF Score™ is 49/100 with 5 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 Health Catalyst (HCAT), the current Gross Margin % is 50.12% 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 Health Catalyst (HCAT) Overvalued in 2026?
Based on GuruFocus' analysis, Health Catalyst stock appears to be undervalued.
The current stock price of $1.72 is trading 66.1% below its estimated GF Value™ of $5.07.
GuruFocus considers Health Catalyst to be Possible Value Trap.
Key valuation signals for HCAT:
Gross Margin %: 50.12% (near median its 10-year median of 48.06)
GF Value™: $5.07 vs. price of $1.72 (66.1% below fair value)
Industry Position: 25% above the Healthcare Providers & Services median (#246 of 631)
No single metric tells the full story. See the HCAT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Health Catalyst Inc provides data and analytics technology and services to healthcare organizations. It has two operating segments. The Technology segment, the key revenue driver, includes data platform, analytics applications and support services and generates revenues mainly from contracts that are cloud-based subscription arrangements, time-based license arrangements, and maintenance and support fees; the Professional Services segment is generally the combination of analytics, implementation, strategic advisory, outsourcing, and improvement services to deliver expertise to its customers to more fully configure and utilize the benefits of the technology offerings.
49GF Score
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