Knowles (LTS:0JRJ) Gross Margin %: 43.83% (As of Mar. 2026) — Near Median


LTS:0JRJ Knowles Corp LTS:0JRJ
66 GF Score
Price $37.28
GF Value $23.90
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Knowles Gross Margin %?

Knowles LTS:0JRJ 66 Gross Margin % is 43.83% as of Mar. 2026, which is 9% above its 10-year median of 40.27. GuruFocus rates LTS:0JRJ with a GF Score™ of 66/100 and a GF Value™ of $23.90 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 2,453 Hardware companies, Knowles ranks better than 81.53% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Knowles's Gross Profit for the three months ended in Mar. 2026 was $67.1 Mil. Knowles's Revenue for the three months ended in Mar. 2026 was $153.1 Mil. Therefore, Knowles's Gross Margin % for the quarter that ended in Mar. 2026 was 43.83%.


The historical rank and industry rank for Knowles's Gross Margin % or its related term are showing as below:

LTS:0JRJ' s Gross Margin % Range Over the Past 10 Years
Min: 35.48   Med: 40.27   Max: 47.41
Current: 43.98


During the past 13 years, the highest Gross Margin % of Knowles was 47.41%. The lowest was 35.48%. And the median was 40.27%.

LTS:0JRJ's Gross Margin % is ranked better than
81.53% of 2453 companies
in the Hardware industry
Industry Median: 24.52 vs LTS:0JRJ: 43.98

Knowles had a gross margin of 43.83% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Knowles was 2.90% per year.


Knowles  (LTS:0JRJ) 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

Knowles had a gross margin of 43.83% 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.


Knowles Gross Margin % Related Terms


Knowles Gross Margin % Historical Data

* Premium members only.

The historical data trend for Knowles'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.

Knowles Gross Margin % Chart

Knowles Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 41.41 47.41 44.61 42.42 43.21

Knowles Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 40.32 41.54 45.72 44.70 43.83

LTS:0JRJ vs BHE, OSIS, ROG: Gross Margin % Comparison

For the Electronic Components subindustry, Knowles'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.


Knowles Gross Margin % vs Hardware Industry

For the Hardware industry and Technology sector, Knowles's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Knowles's Gross Margin % falls into.


LTS:0JRJ
66GF Score
Knowles Corp LTS:0JRJ
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Knowles Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Knowles's Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=256.3 / 593.2
=(Revenue - Cost of Goods Sold) / Revenue
=(593.2 - 336.9) / 593.2
=43.21 %

Knowles's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=67.1 / 153.1
=(Revenue - Cost of Goods Sold) / Revenue
=(153.1 - 86) / 153.1
=43.83 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 43.83% mean?
Knowles (LTS:0JRJ) has a Gross Margin % of 43.83% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Knowles and its competitors. This is near median its historical median of 40.27. Over the past decade, Knowles' Gross Margin % has ranged from 35.48 to 47.41. According to the industry distribution chart, Knowles ranks #453 out of 2453 companies in the Hardware industry, placing it in the top 18.5%.
Is Knowles' Gross Margin % too high?
Knowles' current Gross Margin % of 43.83% is near median its 10-year median of 40.27. Over the past 10 years, this metric has ranged from a low of 35.48 to a high of 47.41. The Hardware industry median Gross Margin % is 24.52. Knowles' value of 43.83% is 78.8% above this industry median. Based on the distribution chart, Knowles ranks #453 out of 2453 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Knowles has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Knowles' Gross Margin % compare to BHE and OSIS?
According to the Hardware industry distribution chart, Knowles ranks #453 out of 2453 companies for Gross Margin %. This places Knowles in the top 19% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 24.52. Knowles' value of 43.83% is 78.8% above this benchmark. Historically, Knowles' own Gross Margin % has ranged from 35.48 to 47.41 over the past decade. While the company's 10-year median is 40.27 vs. the industry median of 24.52, Knowles 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.52, based on 2,453 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. Knowles's current Gross Margin % of 43.83% is 78.8% 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 Knowles and its competitors. For the Hardware industry, the median Gross Margin % is 24.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Knowles's current Gross Margin % is 43.83%, which is near median its own 10-year median of 40.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Knowles stock overvalued right now?
Based on GuruFocus' analysis, Knowles (LTS:0JRJ) is currently considered Significantly Overvalued. The stock's GF Value™ is $23.90, compared to a current price of $37.28 — trading 56% above its estimated fair value. The current Gross Margin % is 43.83%, which is near median its 10-year median of 40.27 and 78.8% above the Hardware industry median of 24.52. Knowles' overall GF Score™ is 66/100 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 Knowles (LTS:0JRJ), the current Gross Margin % is 43.83% 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 Knowles (LTS:0JRJ) Overvalued in 2026?

Based on GuruFocus' analysis, Knowles stock appears to be overvalued. The current stock price of $37.28 is trading 56% above its estimated GF Value™ of $23.90. GuruFocus considers Knowles to be Significantly Overvalued.

Key valuation signals for LTS:0JRJ:

  • Gross Margin %: 43.83% (near median its 10-year median of 40.27)
  • GF Value™: $23.90 vs. price of $37.28 (56% above fair value)
  • GF Score™: 66/100 with 3 warning signs
  • Industry Position: 78.8% above the Hardware median (#453 of 2453)

No single metric tells the full story. See the LTS:0JRJ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Knowles Business Description

Other Exchanges KN:USA1K3:Germany
Address 1151 Maplewood Drive, Itasca, IL, USA, 60143
Knowles Corp is engaged in the manufacturing of micro-acoustic microphones and balanced armature speakers, audio solutions, high-performance capacitors, and radio frequency filtering products. It operates in two segments; the Precision Devices segment specializes in the design and delivery of high-performance capacitor products and RF solutions; and Medtech & Specialty Audio segment designs and manufactures microphones and balanced armature speakers used in applications. The majority of its revenue comes from the Precision Devices. Geographically, it operates in United States, Asia, Other Americas, Europe and Others, out of which United States generates maximum revenue.
66GF Score

Get the complete analysis for LTS:0JRJ

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$37.28
Price
$23.90
GF Value