Etihad GO Telecom Co (SAU:7040) Gross Margin %: 25.18% (As of Mar. 2026) — 10% Below Median


SAU:7040 Etihad GO Telecom Co SAU:7040
85 GF Score
Price ﷼88.30
GF Value ﷼134.14
Valuation Significantly Undervalued
! 1 Warning Sign
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What is Etihad GO Telecom Co Gross Margin %?

Etihad GO Telecom Co SAU:7040 -1.23% 85 Gross Margin % is 25.18% as of Mar. 2026, which is 10% below its 10-year median of 28.09. GuruFocus rates SAU:7040 with a GF Score™ of 85/100 and a GF Value™ of ﷼134.14 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 341 Telecommunication Services companies, Etihad GO Telecom Co ranks worse than 77.71% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Etihad GO Telecom Co's Gross Profit for the three months ended in Mar. 2026 was ﷼132 Mil. Etihad GO Telecom Co's Revenue for the three months ended in Mar. 2026 was ﷼523 Mil. Therefore, Etihad GO Telecom Co's Gross Margin % for the quarter that ended in Mar. 2026 was 25.18%.


The historical rank and industry rank for Etihad GO Telecom Co's Gross Margin % or its related term are showing as below:

SAU:7040' s Gross Margin % Range Over the Past 10 Years
Min: 18.64   Med: 28.09   Max: 55.25
Current: 27.2


During the past 13 years, the highest Gross Margin % of Etihad GO Telecom Co was 55.25%. The lowest was 18.64%. And the median was 28.09%.

SAU:7040's Gross Margin % is ranked worse than
77.71% of 341 companies
in the Telecommunication Services industry
Industry Median: 51.52 vs SAU:7040: 27.20

Etihad GO Telecom Co had a gross margin of 25.18% for the quarter that ended in Mar. 2026 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Etihad GO Telecom Co was 6.70% per year.


Etihad GO Telecom Co  (SAU:7040) 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

Etihad GO Telecom Co had a gross margin of 25.18% 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.


Etihad GO Telecom Co Gross Margin % Related Terms


Etihad GO Telecom Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Etihad GO Telecom 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.

Etihad GO Telecom Co Gross Margin % Chart

Etihad GO Telecom Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 24.26 28.98 30.06 29.49 27.20

Etihad GO Telecom Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 30.49 27.67 28.48 27.71 25.18

SAU:7040 vs TMUS, VZ, T: Gross Margin % Comparison

For the Telecom Services subindustry, Etihad GO Telecom 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.


Etihad GO Telecom Co Gross Margin % vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Etihad GO Telecom Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Etihad GO Telecom Co's Gross Margin % falls into.


SAU:7040
85GF Score
Etihad GO Telecom Co SAU:7040
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Etihad GO Telecom Co Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Etihad GO Telecom Co's Gross Margin for the fiscal year that ended in Mar. 2026 is calculated as

Gross Margin % (A: Mar. 2026 )=Gross Profit (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=521.7 / 1917.994
=(Revenue - Cost of Goods Sold) / Revenue
=(1917.994 - 1396.336) / 1917.994
=27.20 %

Etihad GO Telecom Co's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=131.8 / 523.436
=(Revenue - Cost of Goods Sold) / Revenue
=(523.436 - 391.633) / 523.436
=25.18 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 25.18% mean?
Etihad GO Telecom Co (SAU:7040) has a Gross Margin % of 25.18% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Etihad GO Telecom Co and its competitors. This is 10% below median its historical median of 28.09. Over the past decade, Etihad GO Telecom Co's Gross Margin % has ranged from 18.64 to 55.25. According to the industry distribution chart, Etihad GO Telecom Co ranks #265 out of 341 companies in the Telecommunication Services industry, placing it in the top 77.7%.
Is Etihad GO Telecom Co's Gross Margin % too high?
Etihad GO Telecom Co's current Gross Margin % of 25.18% is 10% below median its 10-year median of 28.09. Over the past 10 years, this metric has ranged from a low of 18.64 to a high of 55.25. The Telecommunication Services industry median Gross Margin % is 51.52. Etihad GO Telecom Co's value of 25.18% is 51.1% below this industry median. Based on the distribution chart, Etihad GO Telecom Co ranks #265 out of 341 companies in the Telecommunication Services industry, which is in the bottom quartile relative to peers. Overall, Etihad GO Telecom Co has a GF Score™ of 85/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Etihad GO Telecom Co's Gross Margin % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Etihad GO Telecom Co ranks #265 out of 341 companies for Gross Margin %. This places Etihad GO Telecom Co in the lower half of its industry. The industry median Gross Margin % is 51.52. Etihad GO Telecom Co's value of 25.18% is 51.1% below this benchmark. Historically, Etihad GO Telecom Co's own Gross Margin % has ranged from 18.64 to 55.25 over the past decade. While the company's 10-year median is 28.09 vs. the industry median of 51.52, Etihad GO Telecom 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 Telecommunication Services company?
The median Gross Margin % among Telecommunication Services companies is 51.52, based on 341 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. Etihad GO Telecom Co's current Gross Margin % of 25.18% is 51.1% 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 Etihad GO Telecom Co and its competitors. For the Telecommunication Services industry, the median Gross Margin % is 51.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Etihad GO Telecom Co's current Gross Margin % is 25.18%, which is 10% below median its own 10-year median of 28.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Etihad GO Telecom Co stock overvalued right now?
Based on GuruFocus' analysis, Etihad GO Telecom Co (SAU:7040) is currently considered Significantly Undervalued. The stock's GF Value™ is ﷼134.14, compared to a current price of ﷼88.30 — trading 34.2% below its estimated fair value. The current Gross Margin % is 25.18%, which is 10% below median its 10-year median of 28.09 and 51.1% below the Telecommunication Services industry median of 51.52. Etihad GO Telecom Co's overall GF Score™ is 85/100 with 1 warning sign 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 Etihad GO Telecom Co (SAU:7040), the current Gross Margin % is 25.18% 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 Etihad GO Telecom Co (SAU:7040) Overvalued in 2026?

Based on GuruFocus' analysis, Etihad GO Telecom Co stock appears to be undervalued. The current stock price of ﷼88.30 is trading 34.2% below its estimated GF Value™ of ﷼134.14. GuruFocus considers Etihad GO Telecom Co to be Significantly Undervalued.

Key valuation signals for SAU:7040:

  • Gross Margin %: 25.18% (10% below median its 10-year median of 28.09)
  • GF Value™: ﷼134.14 vs. price of ﷼88.30 (34.2% below fair value)
  • GF Score™: 85/100 with 1 warning sign
  • Industry Position: 51.1% below the Telecommunication Services median (#265 of 341)

No single metric tells the full story. See the SAU:7040 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Etihad GO Telecom Co Business Description

Address 3704 King Abdullah Branch Road, P.O. Box 12482-6488, AlMughrizat district, Riyadh, SAU
Etihad GO Telecom Co offers a variety of fixed and wireless telecommunications services, such as voice services, data services, broadband internet services, internet telephony services, international gateway services, and landline phone services for individuals, households, and businesses. Its segments are Data services, Voice, Unallocated, and Systems Analysis, Application Design and Development Services. The company generates majority of revenue from Data services comprise of internet broadband services provided to business-to-business (B2B) and business-to-consumer (B2C). The company has presence in Kingdom of Saudi Arabia, and Outside Saudi Arabia. It generates majority of revenue from Kingdom of Saudi Arabia.
85GF Score

Get the complete analysis for SAU:7040

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

﷼88.30
Price
﷼134.14
GF Value