TerexMEX:TEX 89 Gross Margin % is 11.88% as of Mar. 2026, which is 41% below its 10-year median of 19.97. GuruFocus rates MEX:TEX with a GF Score™ of 89/100 and a GF Value™ of MXN671.65. The stock has 8 warning signs investors should review. Among 210 Farm & Heavy Construction Machinery companies, Terex ranks worse than 79.52% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Terex's Gross Profit for the
three
months ended in Mar. 2026 was MXN3,715 Mil. Terex's Revenue for the
three
months ended in Mar. 2026 was MXN31,269 Mil. Therefore, Terex's Gross Margin % for the quarter that ended in Mar. 2026 was 11.88%.
The historical rank and industry rank for Terex's Gross Margin % or its related term are showing as below:
MEX:TEX'
s Gross Margin % Range Over the Past 10 Years
Min: 16.03 Med: 19.97 Max: 22.85
Current: 17.33
During the past 13 years, the highestGross Margin % of Terex was 22.85%. The lowest was 16.03%. And the median was 19.97%.
MEX:TEX's Gross Margin % is ranked worse than 79.52% of 210
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 25.595
vs MEX:TEX: 17.33
Terex had a gross margin of 11.88% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Terex was 2.50% per year.
Terex (MEX:TEX) 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
Terex had a gross margin of 11.88% for the quarter that ended in Mar. 2026 => No sustainable 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.
Terex Gross Margin % Related Terms
Terex Gross Margin % Historical Data
* Premium members only.
The historical data trend for Terex'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:TEX vs FSS, OSK, AGCO: Gross Margin % Comparison
For the Farm & Heavy Construction Machinery subindustry, Terex'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.
Terex Gross Margin % vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Terex's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Terex'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.
Terex (MEX:TEX) has a Gross Margin % of 11.88% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Terex and its competitors. This is 41% below median its historical median of 19.97. Over the past decade, Terex's Gross Margin % has ranged from 16.03 to 22.85. According to the industry distribution chart, Terex ranks #167 out of 210 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 79.5%.
Is Terex's Gross Margin % too high?
Terex's current Gross Margin % of 11.88% is 41% below median its 10-year median of 19.97. Over the past 10 years, this metric has ranged from a low of 16.03 to a high of 22.85. The Farm & Heavy Construction Machinery industry median Gross Margin % is 25.60. Terex's value of 11.88% is 53.6% below this industry median. Based on the distribution chart, Terex ranks #167 out of 210 companies in the Farm & Heavy Construction Machinery industry, which is in the bottom quartile relative to peers. Overall, Terex has a GF Score™ of 89/100, reflecting its overall financial health beyond just this single metric.
How does Terex's Gross Margin % compare to FSS and OSK?
According to the Farm & Heavy Construction Machinery industry distribution chart, Terex ranks #167 out of 210 companies for Gross Margin %. This places Terex in the lower half of its industry. The industry median Gross Margin % is 25.60. Terex's value of 11.88% is 53.6% below this benchmark. Historically, Terex's own Gross Margin % has ranged from 16.03 to 22.85 over the past decade. While the company's 10-year median is 19.97 vs. the industry median of 25.60, Terex has consistently been below 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 Farm & Heavy Construction Machinery company?
The median Gross Margin % among Farm & Heavy Construction Machinery companies is 25.60, based on 210 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. Terex's current Gross Margin % of 11.88% is 53.6% below 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 Terex and its competitors. For the Farm & Heavy Construction Machinery industry, the median Gross Margin % is 25.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Terex's current Gross Margin % is 11.88%, which is 41% below median its own 10-year median of 19.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Terex stock overvalued right now?
Terex (MEX:TEX) has a current Gross Margin % of 11.88%. The stock's GF Value™ is MXN671.65, compared to a current price of MXN862.61 — trading 28.4% above its estimated fair value. The current Gross Margin % is 11.88%, which is 41% below median its 10-year median of 19.97 and 53.6% below the Farm & Heavy Construction Machinery industry median of 25.60. Terex's overall GF Score™ is 89/100 with 8 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 Terex (MEX:TEX), the current Gross Margin % is 11.88% 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 Terex (MEX:TEX) Overvalued in 2026?
Based on GuruFocus' analysis, Terex stock appears to be overvalued.
The current stock price of MXN862.61 is trading 28.4% above its estimated GF Value™ of MXN671.65.
Key valuation signals for MEX:TEX:
Gross Margin %: 11.88% (41% below median its 10-year median of 19.97)
GF Value™: MXN671.65 vs. price of MXN862.61 (28.4% above fair value)
Industry Position: 53.6% below the Farm & Heavy Construction Machinery median (#167 of 210)
No single metric tells the full story. See the MEX:TEX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Terex is a global manufacturer of aerial work platforms, materials processing equipment, and specialty equipment for the waste, recycling, and utility industries. Its current composition is a result of numerous acquisitions over several decades to focus on a smaller group of light construction and other vocational equipment, having divested a handful of underperforming businesses, particularly in cranes and other lifting equipment. These remaining segments see heavy demand in nonresidential construction (aerial work platforms—40% sales), aggregates/mining (materials processing—30% sales), environmental, waste/recycling and utilities (environmental solutions group—30% sales).
89GF Score
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