PSAVPSAV Gross Margin % is 17.13% as of Mar. 2016.
Gross Margin % is calculated as gross profit divided by its revenue. PSAV's Gross Profit for the
three
months ended in Mar. 2016 was $67.97 Mil. PSAV's Revenue for the
three
months ended in Mar. 2016 was $396.88 Mil. Therefore, PSAV's Gross Margin % for the quarter that ended in Mar. 2016 was 17.13%.
The historical rank and industry rank for PSAV's Gross Margin % or its related term are showing as below:
PSAV's Gross Margin % is not ranked *
in the Media - Diversified industry.
Industry Median: 38.9 * Ranked among companies with meaningful Gross Margin % only.
PSAV had a gross margin of 17.13% for the quarter that ended in Mar. 2016 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for PSAV was 0.00% per year.
PSAV (NYSE:PSAV) 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
PSAV had a gross margin of 17.13% for the quarter that ended in Mar. 2016 => 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.
PSAV Gross Margin % Related Terms
PSAV Gross Margin % Historical Data
* Premium members only.
The historical data trend for PSAV'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.
PSAV vs CRCO, ASKH, PTSX: Gross Margin % Comparison
For the Broadcasting subindustry, PSAV'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.
PSAV Gross Margin % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, PSAV's Gross Margin % distribution charts can be found below:
* The bar in red indicates where PSAV'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.
PSAV (PSAV) has a Gross Margin % of 17.13% as of Mar. 2016. Gross margin is the ratio of total gross profit to net sales. View historical data on PSAV and its competitors.
Is PSAV's Gross Margin % too high?
PSAV's current Gross Margin % is 17.13%. The Media - Diversified industry median Gross Margin % is 38.90. PSAV's value of 17.13% is 56% below this industry median.
How does PSAV's Gross Margin % compare to CRCO and ASKH?
PSAV's Gross Margin % of 17.13% can be compared against companies in the Media - Diversified industry. The industry median Gross Margin % is 38.90. PSAV's value of 17.13% is 56% below this benchmark. 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 Media - Diversified company?
The median Gross Margin % among Media - Diversified companies is 38.90, based on 953 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. PSAV's current Gross Margin % of 17.13% is 56% 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 PSAV and its competitors. For the Media - Diversified industry, the median Gross Margin % is 38.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PSAV's current Gross Margin % is 17.13%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PSAV stock overvalued right now?
PSAV (PSAV) has a current Gross Margin % of 17.13%. The current Gross Margin % is 17.13% and 56% below the Media - Diversified industry median of 38.90. 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 PSAV (PSAV), the current Gross Margin % is 17.13% as of Mar. 2016. 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.
PSAV Inc was incorporated in Delaware on August 11, 2015. The Company along with its subsidiaries provides event technology services. The Company provides services including audiovisual services, equipment rental, staging and meeting services, communication systems, and related technical support to its customers in various venues, including hotels and convention centers. The Company's Video technology includes front and rear projection from large format HD high lumen projection to boardroom-style projectors, playback systems, image magnification, digital capture, cameras and display systems, including LED displays and video walls; Rigging Solutions include design and installation of permanently installed rig points in meeting venues, day-to-day deployment of rigging systems to safely transform meeting and event spaces for larger and more sophisticated set and lighting designs and certified trainers and inspectors; Wi-Fi Solutions include managing venues' entire network to provide customers secure and reliable wired and wireless solutions; Staging includes collections of custom screens and the ability to provide concert sound, broadcast quality projection, seasoned stage producers, and CAD drawing; Creative Services including Thematic creation, PowerPoint display, video creation, & stage sets; Mobile Device Applications tailored to the specific events that provide the schedule of events, maps, sponsors and detailed information on the host customer; Video Mapping / Simultaneous Translation; Virtual Meetings and Events; Event Consultation and Support, Power Distribution Solutions including streamlining of special event power distribution for event and production power across events, meeting rooms and trade shows; Audio including microphone and sound solutions with digital mixers, wireless microphones, networked audio and proprietary software to control live sound systems; and Lighting including speaker and stage lighting, intelligent lighting and decorative and theatrical lighting through gel lights and LED lights. The Company operates in two segments including Domestic and International. The Domestic segment provides services to customers throughout the United States and Puerto Rico; and is provider of event technology services at approximately over 1,000 hotel properties and other event venues. The International segment provides services to its customers in Canada, Mexico, the Caribbean, Europe and the Middle East, in addition to providing non-venue based services in Asia; and provides event technology services at approximately over 300 international hotel properties and other event venues. The Company's customers include corporations, event organizers, trade associations and meeting planners. The Company faces competition from Freeman Company.
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