Sotera Health CoSHC +2.43%74 Gross Margin % is 52.52% as of Mar. 2026, which is 4% below its 10-year median of 54.87. GuruFocus rates SHC with a GF Score™ of 74/100 and a GF Value™ of $16.31 (Fairly Valued). The stock has 3 warning signs investors should review. Among 195 Medical Diagnostics & Research companies, Sotera Health Co ranks better than 54.36% on this metric.
The historical rank and industry rank for Sotera Health Co's Gross Margin % or its related term are showing as below:
SHC'
s Gross Margin % Range Over the Past 10 Years
Min: 47.88 Med: 54.87 Max: 55.68
Current: 55.26
During the past 8 years, the highestGross Margin % of Sotera Health Co was 55.68%. The lowest was 47.88%. And the median was 54.87%.
SHC's Gross Margin % is ranked better than 54.36% of 195
companies
in the Medical Diagnostics & Research industry
Industry Median: 50.97
vs SHC: 55.26
Sotera Health Co had a gross margin of 52.52% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Sotera Health Co was 0.20% per year.
Sotera Health Co (NAS:SHC) 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
Sotera Health Co had a gross margin of 52.52% for the quarter that ended in Mar. 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.
Sotera Health Co Gross Margin % Related Terms
Sotera Health Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Sotera Health 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.
SHC vs BLLN, RDNT, TWST: Gross Margin % Comparison
For the Diagnostics & Research subindustry, Sotera Health 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.
Sotera Health Co Gross Margin % vs Medical Diagnostics & Research Industry
For the Medical Diagnostics & Research industry and Healthcare sector, Sotera Health Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Sotera Health 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.
Sotera Health Co (SHC) has a Gross Margin % of 52.52% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Sotera Health Co and its competitors. This is near median its historical median of 54.87. Over the past decade, Sotera Health Co's Gross Margin % has ranged from 47.88 to 55.68. According to the industry distribution chart, Sotera Health Co ranks #89 out of 195 companies in the Medical Diagnostics & Research industry, placing it in the top 45.6%.
Is Sotera Health Co's Gross Margin % too high?
Sotera Health Co's current Gross Margin % of 52.52% is near median its 10-year median of 54.87. Over the past 10 years, this metric has ranged from a low of 47.88 to a high of 55.68. The Medical Diagnostics & Research industry median Gross Margin % is 50.97. Sotera Health Co's value of 52.52% is 3% above this industry median. Based on the distribution chart, Sotera Health Co ranks #89 out of 195 companies in the Medical Diagnostics & Research industry, which is above the industry midpoint. Overall, Sotera Health Co has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Sotera Health Co's Gross Margin % compare to BLLN and RDNT?
According to the Medical Diagnostics & Research industry distribution chart, Sotera Health Co ranks #89 out of 195 companies for Gross Margin %. This puts Sotera Health Co in the upper half of its industry. The industry median Gross Margin % is 50.97. Sotera Health Co's value of 52.52% is 3% above this benchmark. Historically, Sotera Health Co's own Gross Margin % has ranged from 47.88 to 55.68 over the past decade. While the company's 10-year median is 54.87 vs. the industry median of 50.97, Sotera Health Co 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 Medical Diagnostics & Research company?
The median Gross Margin % among Medical Diagnostics & Research companies is 50.97, based on 195 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. Sotera Health Co's current Gross Margin % of 52.52% is 3% 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 Sotera Health Co and its competitors. For the Medical Diagnostics & Research industry, the median Gross Margin % is 50.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sotera Health Co's current Gross Margin % is 52.52%, which is near median its own 10-year median of 54.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sotera Health Co stock overvalued right now?
Based on GuruFocus' analysis, Sotera Health Co (SHC) is currently considered Fairly Valued. The stock's GF Value™ is $16.31, compared to a current price of $17.10 — trading 4.8% above its estimated fair value. The current Gross Margin % is 52.52%, which is near median its 10-year median of 54.87 and 3% above the Medical Diagnostics & Research industry median of 50.97. Sotera Health Co's overall GF Score™ is 74/100 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 Sotera Health Co (SHC), the current Gross Margin % is 52.52% 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 Sotera Health Co (SHC) Overvalued in 2026?
Based on GuruFocus' analysis, Sotera Health Co stock appears to be overvalued.
The current stock price of $17.10 is trading 4.8% above its estimated GF Value™ of $16.31.
GuruFocus considers Sotera Health Co to be Fairly Valued.
Key valuation signals for SHC:
Gross Margin %: 52.52% (near median its 10-year median of 54.87)
GF Value™: $16.31 vs. price of $17.10 (4.8% above fair value)
Industry Position: 3% above the Medical Diagnostics & Research median (#89 of 195)
No single metric tells the full story. See the SHC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sotera Health Co provides sterilization, analytical lab testing, and advisory services to help ensure that medical, pharmaceutical, and food products are safe for healthcare practitioners, patients, and consumers. The company operates in three reportable segments: Sterigenics, Nordion, and Nelson Labs. The Sterigenics segment, which generates maximum revenue, provides outsourced terminal sterilization and irradiation services for medical devices, pharmaceuticals, food safety, and other application markets using three core technologies: gamma irradiation, EO processing, and E-beam irradiation. Geographically, the company generates maximum revenue from the United States, followed by Canada, Europe, and other regions.
74GF Score
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