Elastic NVMEX:ESTCN 72 Gross Margin % is 75.36% as of Apr. 2026, which is 2% above its 10-year median of 73.74. GuruFocus rates MEX:ESTCN with a GF Score™ of 72/100 and a GF Value™ of MXN1,970.78 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 2,685 Software companies, Elastic NV ranks better than 85.29% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Elastic NV's Gross Profit for the
three
months ended in Apr. 2026 was MXN5,949 Mil. Elastic NV's Revenue for the
three
months ended in Apr. 2026 was MXN7,894 Mil. Therefore, Elastic NV's Gross Margin % for the quarter that ended in Apr. 2026 was 75.36%.
The historical rank and industry rank for Elastic NV's Gross Margin % or its related term are showing as below:
MEX:ESTCN'
s Gross Margin % Range Over the Past 10 Years
Min: 71.28 Med: 73.74 Max: 77.49
Current: 76.07
During the past 10 years, the highestGross Margin % of Elastic NV was 77.49%. The lowest was 71.28%. And the median was 73.74%.
MEX:ESTCN's Gross Margin % is ranked better than 85.29% of 2685
companies
in the Software industry
Industry Median: 40.45
vs MEX:ESTCN: 76.07
Elastic NV had a gross margin of 75.36% for the quarter that ended in Apr. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Elastic NV was 0.70% per year.
Elastic NV (MEX:ESTCN) 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
Elastic NV had a gross margin of 75.36% for the quarter that ended in Apr. 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.
Elastic NV Gross Margin % Related Terms
Elastic NV Gross Margin % Historical Data
* Premium members only.
The historical data trend for Elastic NV'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.
MEX:ESTCN vs TTAN, IDCC, PAYC: Gross Margin % Comparison
For the Software - Application subindustry, Elastic NV'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.
Elastic NV Gross Margin % vs Software Industry
For the Software industry and Technology sector, Elastic NV's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Elastic NV'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.
Elastic NV (MEX:ESTCN) has a Gross Margin % of 75.36% as of Apr. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Elastic NV and its competitors. This is near median its historical median of 73.74. Over the past decade, Elastic NV's Gross Margin % has ranged from 71.28 to 77.49. According to the industry distribution chart, Elastic NV ranks #395 out of 2685 companies in the Software industry, placing it in the top 14.7%.
Is Elastic NV's Gross Margin % too high?
Elastic NV's current Gross Margin % of 75.36% is near median its 10-year median of 73.74. Over the past 10 years, this metric has ranged from a low of 71.28 to a high of 77.49. The Software industry median Gross Margin % is 40.45. Elastic NV's value of 75.36% is 86.3% above this industry median. Based on the distribution chart, Elastic NV ranks #395 out of 2685 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Elastic NV has a GF Score™ of 72/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Elastic NV's Gross Margin % compare to TTAN and IDCC?
According to the Software industry distribution chart, Elastic NV ranks #395 out of 2685 companies for Gross Margin %. This places Elastic NV in the top 15% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.45. Elastic NV's value of 75.36% is 86.3% above this benchmark. Historically, Elastic NV's own Gross Margin % has ranged from 71.28 to 77.49 over the past decade. While the company's 10-year median is 73.74 vs. the industry median of 40.45, Elastic NV 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 Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,685 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. Elastic NV's current Gross Margin % of 75.36% is 86.3% 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 Elastic NV and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elastic NV's current Gross Margin % is 75.36%, which is near median its own 10-year median of 73.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elastic NV stock overvalued right now?
Based on GuruFocus' analysis, Elastic NV (MEX:ESTCN) is currently considered Significantly Undervalued. The stock's GF Value™ is MXN1,970.78, compared to a current price of MXN1,021.21 — trading 48.2% below its estimated fair value. The current Gross Margin % is 75.36%, which is near median its 10-year median of 73.74 and 86.3% above the Software industry median of 40.45. Elastic NV's overall GF Score™ is 72/100 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 Elastic NV (MEX:ESTCN), the current Gross Margin % is 75.36% as of Apr. 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 Elastic NV (MEX:ESTCN) Overvalued in 2026?
Based on GuruFocus' analysis, Elastic NV stock appears to be undervalued.
The current stock price of MXN1,021.21 is trading 48.2% below its estimated GF Value™ of MXN1,970.78.
GuruFocus considers Elastic NV to be Significantly Undervalued.
Key valuation signals for MEX:ESTCN:
Gross Margin %: 75.36% (near median its 10-year median of 73.74)
GF Value™: MXN1,970.78 vs. price of MXN1,021.21 (48.2% below fair value)
Industry Position: 86.3% above the Software median (#395 of 2685)
No single metric tells the full story. See the MEX:ESTCN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Elastic is a software company that specializes in AI-search, observability, and security deployments. Its search division offers both traditional keyword search and vector search methods to enable more context-aware querying. The software has open-source origins but generates revenue through valuable add-ons, including simplified data orchestration and server scaling techniques.
72GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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