Bausch HealthMEX:BHCN 48 Gross Margin % is 70.76% as of Mar. 2026, which is 1% below its 10-year median of 71.36. GuruFocus rates MEX:BHCN with a GF Score™ of 48/100 and a GF Value™ of MXN188.23 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 938 Drug Manufacturers companies, Bausch Health ranks better than 82.73% on this metric.
The historical rank and industry rank for Bausch Health's Gross Margin % or its related term are showing as below:
MEX:BHCN'
s Gross Margin % Range Over the Past 10 Years
Min: 70.65 Med: 71.36 Max: 73.01
Current: 71.04
During the past 13 years, the highestGross Margin % of Bausch Health was 73.01%. The lowest was 70.65%. And the median was 71.36%.
MEX:BHCN's Gross Margin % is ranked better than 82.73% of 938
companies
in the Drug Manufacturers industry
Industry Median: 48.44
vs MEX:BHCN: 71.04
Bausch Health had a gross margin of 70.76% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Bausch Health was -0.30% per year.
Bausch Health (MEX:BHCN) 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
Bausch Health had a gross margin of 70.76% 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.
Bausch Health Gross Margin % Related Terms
Bausch Health Gross Margin % Historical Data
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The historical data trend for Bausch Health'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 Drug Manufacturers - Specialty & Generic subindustry, Bausch Health'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.
Bausch Health Gross Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Bausch Health's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Bausch Health'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.
Bausch Health (MEX:BHCN) has a Gross Margin % of 70.76% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Bausch Health and its competitors. This is near median its historical median of 71.36. Over the past decade, Bausch Health's Gross Margin % has ranged from 70.65 to 73.01. According to the industry distribution chart, Bausch Health ranks #162 out of 938 companies in the Drug Manufacturers industry, placing it in the top 17.3%.
Is Bausch Health's Gross Margin % too high?
Bausch Health's current Gross Margin % of 70.76% is near median its 10-year median of 71.36. Over the past 10 years, this metric has ranged from a low of 70.65 to a high of 73.01. The Drug Manufacturers industry median Gross Margin % is 48.44. Bausch Health's value of 70.76% is 46.1% above this industry median. Based on the distribution chart, Bausch Health ranks #162 out of 938 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Bausch Health has a GF Score™ of 48/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Bausch Health's Gross Margin % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Bausch Health ranks #162 out of 938 companies for Gross Margin %. This places Bausch Health in the top 17% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 48.44. Bausch Health's value of 70.76% is 46.1% above this benchmark. Historically, Bausch Health's own Gross Margin % has ranged from 70.65 to 73.01 over the past decade. While the company's 10-year median is 71.36 vs. the industry median of 48.44, Bausch Health 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 Drug Manufacturers company?
The median Gross Margin % among Drug Manufacturers companies is 48.44, based on 938 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. Bausch Health's current Gross Margin % of 70.76% is 46.1% 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 Bausch Health and its competitors. For the Drug Manufacturers industry, the median Gross Margin % is 48.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bausch Health's current Gross Margin % is 70.76%, which is near median its own 10-year median of 71.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bausch Health stock overvalued right now?
Based on GuruFocus' analysis, Bausch Health (MEX:BHCN) is currently considered Possible Value Trap. The stock's GF Value™ is MXN188.23, compared to a current price of MXN85.44 — trading 54.6% below its estimated fair value. The current Gross Margin % is 70.76%, which is near median its 10-year median of 71.36 and 46.1% above the Drug Manufacturers industry median of 48.44. Bausch Health's overall GF Score™ is 48/100 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 Bausch Health (MEX:BHCN), the current Gross Margin % is 70.76% 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 Bausch Health (MEX:BHCN) Overvalued in 2026?
Based on GuruFocus' analysis, Bausch Health stock appears to be undervalued.
The current stock price of MXN85.44 is trading 54.6% below its estimated GF Value™ of MXN188.23.
GuruFocus considers Bausch Health to be Possible Value Trap.
Key valuation signals for MEX:BHCN:
Gross Margin %: 70.76% (near median its 10-year median of 71.36)
GF Value™: MXN188.23 vs. price of MXN85.44 (54.6% below fair value)
Industry Position: 46.1% above the Drug Manufacturers median (#162 of 938)
No single metric tells the full story. See the MEX:BHCN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bausch Health Companies Inc is a world-wide specialty pharmaceutical, consumer health, and medical device company with a focus on branded products for the gastroenterology, hepatology, neurology and dermatology markets. The company reports revenue in five segments: Salix; International; Solta Medical; Diversified Products and Bausch + Lomb. It generates maximum of its revenue from the Bausch + Lomb segment.
48GF Score
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