The Marzetti CoMZTI -1.59%77 Gross Margin % is 23.65% as of Mar. 2026, which is 5% below its 10-year median of 24.88. GuruFocus rates MZTI with a GF Score™ of 77/100 and a GF Value™ of $182.63 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 1,900 Consumer Packaged Goods companies, The Marzetti Co ranks worse than 55.42% on this metric.
The Marzetti Co gross margin has been in long-term decline. The average rate of decline per year is -2.8%.
The historical rank and industry rank for The Marzetti Co's Gross Margin % or its related term are showing as below:
MZTI'
s Gross Margin % Range Over the Past 10 Years
Min: 21.22 Med: 24.88 Max: 26.83
Current: 24.19
During the past 13 years, the highestGross Margin % of The Marzetti Co was 26.83%. The lowest was 21.22%. And the median was 24.88%.
MZTI's Gross Margin % is ranked worse than 55.42% of 1900
companies
in the Consumer Packaged Goods industry
Industry Median: 26.37
vs MZTI: 24.19
The Marzetti Co had a gross margin of 23.65% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for The Marzetti Co was -2.80% per year.
The Marzetti Co (NAS:MZTI) 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
The Marzetti Co had a gross margin of 23.65% for the quarter that ended in Mar. 2026 => Competition eroding margins
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.
The Marzetti Co Gross Margin % Related Terms
The Marzetti Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for The Marzetti Co'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.
MZTI vs FRPT, CENT, POST: Gross Margin % Comparison
For the Packaged Foods subindustry, The Marzetti Co'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.
The Marzetti Co Gross Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, The Marzetti Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where The Marzetti Co'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.
The Marzetti Co (MZTI) has a Gross Margin % of 23.65% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on The Marzetti Co and its competitors. This is near median its historical median of 24.88. Over the past decade, The Marzetti Co's Gross Margin % has ranged from 21.22 to 26.83. According to the industry distribution chart, The Marzetti Co ranks #1053 out of 1900 companies in the Consumer Packaged Goods industry, placing it in the top 55.4%.
Is The Marzetti Co's Gross Margin % too high?
The Marzetti Co's current Gross Margin % of 23.65% is near median its 10-year median of 24.88. Over the past 10 years, this metric has ranged from a low of 21.22 to a high of 26.83. The Consumer Packaged Goods industry median Gross Margin % is 26.37. The Marzetti Co's value of 23.65% is 10.3% below this industry median. Based on the distribution chart, The Marzetti Co ranks #1053 out of 1900 companies in the Consumer Packaged Goods industry, which is below the industry midpoint. Overall, The Marzetti Co has a GF Score™ of 77/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does The Marzetti Co's Gross Margin % compare to FRPT and CENT?
According to the Consumer Packaged Goods industry distribution chart, The Marzetti Co ranks #1053 out of 1900 companies for Gross Margin %. This places The Marzetti Co in the lower half of its industry. The industry median Gross Margin % is 26.37. The Marzetti Co's value of 23.65% is 10.3% below this benchmark. Historically, The Marzetti Co's own Gross Margin % has ranged from 21.22 to 26.83 over the past decade. While the company's 10-year median is 24.88 vs. the industry median of 26.37, The Marzetti Co 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 Consumer Packaged Goods company?
The median Gross Margin % among Consumer Packaged Goods companies is 26.37, based on 1,900 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. The Marzetti Co's current Gross Margin % of 23.65% is 10.3% 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 The Marzetti Co and its competitors. For the Consumer Packaged Goods industry, the median Gross Margin % is 26.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Marzetti Co's current Gross Margin % is 23.65%, which is near median its own 10-year median of 24.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Marzetti Co stock overvalued right now?
Based on GuruFocus' analysis, The Marzetti Co (MZTI) is currently considered Significantly Undervalued. The stock's GF Value™ is $182.63, compared to a current price of $114.06 — trading 37.5% below its estimated fair value. The current Gross Margin % is 23.65%, which is near median its 10-year median of 24.88 and 10.3% below the Consumer Packaged Goods industry median of 26.37. The Marzetti Co's overall GF Score™ is 77/100 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 The Marzetti Co (MZTI), the current Gross Margin % is 23.65% 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 The Marzetti Co (MZTI) Overvalued in 2026?
Based on GuruFocus' analysis, The Marzetti Co stock appears to be undervalued.
The current stock price of $114.06 is trading 37.5% below its estimated GF Value™ of $182.63.
GuruFocus considers The Marzetti Co to be Significantly Undervalued.
Key valuation signals for MZTI:
Gross Margin %: 23.65% (near median its 10-year median of 24.88)
GF Value™: $182.63 vs. price of $114.06 (37.5% below fair value)
Industry Position: 10.3% below the Consumer Packaged Goods median (#1053 of 1900)
No single metric tells the full story. See the MZTI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Marzetti Co manufactures and sells specialty food products. Its retail brands include Marzetti, New York Bakery and Sister Schubert's, in addition to exclusive license agreements for Olive Garden dressings, Chick-fil-A sauces and dressings, Buffalo Wild Wings sauces, Arby's sauces, Subway sauces, and Texas Roadhouse steak sauces and frozen rolls. Its foodservice business supplies many of the top restaurant chains in the United States with dressings, sauces, breads and frozen pastas. The company has two reportable segments: Retail and Foodservice, of which it derives maximum revenue from Retail segment.
77GF Score
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