NetskopeNTSK +4.26%8 Gross Margin % is 73.54% as of Apr. 2026, which is 14% above its 10-year median of 64.63. GuruFocus rates NTSK with a GF Score™ of 8/100. The stock has 3 warning signs investors should review. Among 2,685 Software companies, Netskope ranks better than 78.92% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Netskope's Gross Profit for the
three
months ended in Apr. 2026 was $148.3 Mil. Netskope's Revenue for the
three
months ended in Apr. 2026 was $201.6 Mil. Therefore, Netskope's Gross Margin % for the quarter that ended in Apr. 2026 was 73.54%.
The historical rank and industry rank for Netskope's Gross Margin % or its related term are showing as below:
NTSK'
s Gross Margin % Range Over the Past 10 Years
Min: 59.78 Med: 64.63 Max: 69.26
Current: 69.26
During the past 3 years, the highestGross Margin % of Netskope was 69.26%. The lowest was 59.78%. And the median was 64.63%.
NTSK's Gross Margin % is ranked better than 78.92% of 2685
companies
in the Software industry
Industry Median: 40.45
vs NTSK: 69.26
Netskope had a gross margin of 73.54% for the quarter that ended in Apr. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Netskope was 0.00% per year.
Netskope (NAS:NTSK) 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
Netskope had a gross margin of 73.54% 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.
Netskope Gross Margin % Related Terms
Netskope Gross Margin % Historical Data
* Premium members only.
The historical data trend for Netskope'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.
NTSK vs WEX, GTLB, BLSH: Gross Margin % Comparison
For the Software - Infrastructure subindustry, Netskope'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.
Netskope Gross Margin % vs Software Industry
For the Software industry and Technology sector, Netskope's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Netskope'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.
Netskope (NTSK) has a Gross Margin % of 73.54% as of Apr. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Netskope and its competitors. This is 14% above median its historical median of 64.63. Over the past decade, Netskope's Gross Margin % has ranged from 59.78 to 69.26. According to the industry distribution chart, Netskope ranks #566 out of 2685 companies in the Software industry, placing it in the top 21.1%.
Is Netskope's Gross Margin % too high?
Netskope's current Gross Margin % of 73.54% is 14% above median its 10-year median of 64.63. Over the past 10 years, this metric has ranged from a low of 59.78 to a high of 69.26. The Software industry median Gross Margin % is 40.45. Netskope's value of 73.54% is 81.8% above this industry median. Based on the distribution chart, Netskope ranks #566 out of 2685 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Netskope has a GF Score™ of 8/100, reflecting its overall financial health beyond just this single metric.
How does Netskope's Gross Margin % compare to WEX and GTLB?
According to the Software industry distribution chart, Netskope ranks #566 out of 2685 companies for Gross Margin %. This places Netskope in the top 21% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.45. Netskope's value of 73.54% is 81.8% above this benchmark. Historically, Netskope's own Gross Margin % has ranged from 59.78 to 69.26 over the past decade. While the company's 10-year median is 64.63 vs. the industry median of 40.45, Netskope 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. Netskope's current Gross Margin % of 73.54% is 81.8% 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 Netskope 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. Netskope's current Gross Margin % is 73.54%, which is 14% above median its own 10-year median of 64.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Netskope stock overvalued right now?
Netskope (NTSK) has a current Gross Margin % of 73.54%. The current Gross Margin % is 73.54%, which is 14% above median its 10-year median of 64.63 and 81.8% above the Software industry median of 40.45. Netskope's overall GF Score™ is 8/100 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 Netskope (NTSK), the current Gross Margin % is 73.54% 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.
Netskope Inc is redefining the security and networking of cloud and AI. The company has formed a cloud-native platform that offers converged security, networking services, and analytics technology stack to enable fast and secure AI, cloud, and web access at the edge. The products of the company include Netskope One SASE, Netskope One SSE, Cloud Access Security Broker (CASB), Next Generation Secure Web Gateway (SWG), Private Access, Cloud Firewall, SD-WAN, SkopeAI, and others.
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