Kinetik HoldingsKNTK +3.60%79 Gross Margin % is 29.13% as of Mar. 2026, which is 8% below its 10-year median of 31.68. GuruFocus rates KNTK with a GF Score™ of 79/100 and a GF Value™ of $45.79 (Fairly Valued). The stock has 14 warning signs investors should review. Among 872 Oil & Gas companies, Kinetik Holdings ranks better than 61.93% 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
Kinetik Holdings had a gross margin of 29.13% 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.
Kinetik Holdings Gross Margin % Related Terms
Kinetik Holdings Gross Margin % Historical Data
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The historical data trend for Kinetik 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.
KNTK vs STNG, SUNC, INSW: Gross Margin % Comparison
For the Oil & Gas Midstream subindustry, Kinetik 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.
Kinetik Holdings Gross Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Kinetik Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Kinetik 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.
Kinetik Holdings (KNTK) has a Gross Margin % of 29.13% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Kinetik Holdings and its competitors. This is near median its historical median of 31.68. Over the past decade, Kinetik Holdings' Gross Margin % has ranged from 6.78 to 36.59. According to the industry distribution chart, Kinetik Holdings ranks #332 out of 872 companies in the Oil & Gas industry, placing it in the top 38.1%.
Is Kinetik Holdings' Gross Margin % too high?
Kinetik Holdings' current Gross Margin % of 29.13% is near median its 10-year median of 31.68. Over the past 10 years, this metric has ranged from a low of 6.78 to a high of 36.59. The Oil & Gas industry median Gross Margin % is 25.54. Kinetik Holdings' value of 29.13% is 14.1% above this industry median. Based on the distribution chart, Kinetik Holdings ranks #332 out of 872 companies in the Oil & Gas industry, which is above the industry midpoint. Overall, Kinetik Holdings has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kinetik Holdings' Gross Margin % compare to STNG and SUNC?
According to the Oil & Gas industry distribution chart, Kinetik Holdings ranks #332 out of 872 companies for Gross Margin %. This puts Kinetik Holdings in the upper half of its industry. The industry median Gross Margin % is 25.54. Kinetik Holdings' value of 29.13% is 14.1% above this benchmark. Historically, Kinetik Holdings' own Gross Margin % has ranged from 6.78 to 36.59 over the past decade. While the company's 10-year median is 31.68 vs. the industry median of 25.54, Kinetik Holdings 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 an Oil & Gas company?
The median Gross Margin % among Oil & Gas companies is 25.54, based on 872 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. Kinetik Holdings's current Gross Margin % of 29.13% is 14.1% 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 Kinetik Holdings and its competitors. For the Oil & Gas industry, the median Gross Margin % is 25.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kinetik Holdings's current Gross Margin % is 29.13%, which is near median its own 10-year median of 31.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kinetik Holdings stock overvalued right now?
Based on GuruFocus' analysis, Kinetik Holdings (KNTK) is currently considered Fairly Valued. The stock's GF Value™ is $45.79, compared to a current price of $49.75 — trading 8.6% above its estimated fair value. The current Gross Margin % is 29.13%, which is near median its 10-year median of 31.68 and 14.1% above the Oil & Gas industry median of 25.54. Kinetik Holdings' overall GF Score™ is 79/100 with 14 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 Kinetik Holdings (KNTK), the current Gross Margin % is 29.13% 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 Kinetik Holdings (KNTK) Overvalued in 2026?
Based on GuruFocus' analysis, Kinetik Holdings stock appears to be overvalued.
The current stock price of $49.75 is trading 8.6% above its estimated GF Value™ of $45.79.
GuruFocus considers Kinetik Holdings to be Fairly Valued.
Key valuation signals for KNTK:
Gross Margin %: 29.13% (near median its 10-year median of 31.68)
GF Value™: $45.79 vs. price of $49.75 (8.6% above fair value)
Industry Position: 14.1% above the Oil & Gas median (#332 of 872)
No single metric tells the full story. See the KNTK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kinetik Holdings Inc is a midstream operator that provides comprehensive gathering, transportation, compression, processing and treating services. Its activities also include NGL stabilization and transportation, produced water gathering and disposal, and crude oil gathering, stabilization, storage, and transportation. The company operates in two reportable segments: i) The Midstream Logistics segment operates under three service offerings: 1) gas gathering and processing, 2) crude oil gathering, stabilization, and storage services, and 3) produced water gathering and disposal. ii) The Pipeline Transportation segment consists of two EMI Pipelines originating in the Permian Basin with various access points to the U.S. Gulf Coast, Kinetik NGL Pipelines, and Delaware Link Pipeline.
79GF Score
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