On The Beach GroupLSE:OTB -0.56%81 Gross Margin % is 93.68% as of Mar. 2026, which is 20% above its 10-year median of 78.35. GuruFocus rates LSE:OTB with a GF Score™ of 81/100 and a GF Value™ of £1.92 (Fairly Valued). The stock has 2 warning signs investors should review. Among 790 Travel & Leisure companies, On The Beach Group ranks better than 98.1% on this metric.
The historical rank and industry rank for On The Beach Group's Gross Margin % or its related term are showing as below:
LSE:OTB'
s Gross Margin % Range Over the Past 10 Years
Min: 47.48 Med: 78.35 Max: 98.57
Current: 96.59
During the past 13 years, the highestGross Margin % of On The Beach Group was 98.57%. The lowest was 47.48%. And the median was 78.35%.
LSE:OTB's Gross Margin % is ranked better than 98.1% of 790
companies
in the Travel & Leisure industry
Industry Median: 44.09
vs LSE:OTB: 96.59
On The Beach Group had a gross margin of 93.68% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for On The Beach Group was 15.70% per year.
On The Beach Group (LSE:OTB) 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
On The Beach Group had a gross margin of 93.68% 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.
On The Beach Group Gross Margin % Related Terms
On The Beach Group Gross Margin % Historical Data
* Premium members only.
The historical data trend for On The Beach Group'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.
LSE:OTB vs BKNG, ABNB, RCL: Gross Margin % Comparison
For the Travel Services subindustry, On The Beach Group'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.
On The Beach Group Gross Margin % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, On The Beach Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where On The Beach Group'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.
On The Beach Group (LSE:OTB) has a Gross Margin % of 93.68% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on On The Beach Group and its competitors. This is 20% above median its historical median of 78.35. Over the past decade, On The Beach Group's Gross Margin % has ranged from 47.48 to 98.57. According to the industry distribution chart, On The Beach Group ranks #15 out of 790 companies in the Travel & Leisure industry, placing it in the top 1.9%.
Is On The Beach Group's Gross Margin % too high?
On The Beach Group's current Gross Margin % of 93.68% is 20% above median its 10-year median of 78.35. Over the past 10 years, this metric has ranged from a low of 47.48 to a high of 98.57. The Travel & Leisure industry median Gross Margin % is 44.09. On The Beach Group's value of 93.68% is 112.5% above this industry median. Based on the distribution chart, On The Beach Group ranks #15 out of 790 companies in the Travel & Leisure industry, which is in the top quartile — a strong position relative to peers. Overall, On The Beach Group has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does On The Beach Group's Gross Margin % compare to BKNG and ABNB?
According to the Travel & Leisure industry distribution chart, On The Beach Group ranks #15 out of 790 companies for Gross Margin %. This places On The Beach Group in the top 2% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 44.09. On The Beach Group's value of 93.68% is 112.5% above this benchmark. Historically, On The Beach Group's own Gross Margin % has ranged from 47.48 to 98.57 over the past decade. While the company's 10-year median is 78.35 vs. the industry median of 44.09, On The Beach Group 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 Travel & Leisure company?
The median Gross Margin % among Travel & Leisure companies is 44.09, based on 790 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. On The Beach Group's current Gross Margin % of 93.68% is 112.5% 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 On The Beach Group and its competitors. For the Travel & Leisure industry, the median Gross Margin % is 44.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. On The Beach Group's current Gross Margin % is 93.68%, which is 20% above median its own 10-year median of 78.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is On The Beach Group stock overvalued right now?
Based on GuruFocus' analysis, On The Beach Group (LSE:OTB) is currently considered Fairly Valued. The stock's GF Value™ is £1.92, compared to a current price of £1.78 — trading 7.4% below its estimated fair value. The current Gross Margin % is 93.68%, which is 20% above median its 10-year median of 78.35 and 112.5% above the Travel & Leisure industry median of 44.09. On The Beach Group's overall GF Score™ is 81/100 with 2 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 On The Beach Group (LSE:OTB), the current Gross Margin % is 93.68% 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 On The Beach Group (LSE:OTB) Overvalued in 2026?
Based on GuruFocus' analysis, On The Beach Group stock appears to be undervalued.
The current stock price of £1.78 is trading 7.4% below its estimated GF Value™ of £1.92.
GuruFocus considers On The Beach Group to be Fairly Valued.
Key valuation signals for LSE:OTB:
Gross Margin %: 93.68% (20% above median its 10-year median of 78.35)
GF Value™: £1.92 vs. price of £1.78 (7.4% below fair value)
Industry Position: 112.5% above the Travel & Leisure median (#15 of 790)
No single metric tells the full story. See the LSE:OTB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
On The Beach Group PLC is one of the UK's online retailers of beach holiday packages. It facilitates the customers to reach out to the suppliers of accommodation and airline tickets through its websites and telephone. The group organizes its operations into single opearting segment: OTB: activity via UK websites as B2C trader. The Group operates in two geographic locations United Kingdom and Republic of Ireland.
81GF Score
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