Inspire Medical SystemsSTU:2DR +4.17%59 Gross Margin % is 86.47% as of Mar. 2026, which is 3% above its 10-year median of 84.17. GuruFocus rates STU:2DR with a GF Score™ of 59/100 and a GF Value™ of €190.55 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 806 Medical Devices & Instruments companies, Inspire Medical Systems ranks better than 94.29% on this metric.
STU:2DR's Gross Margin % is ranked better than 94.29% of 806
companies
in the Medical Devices & Instruments industry
Industry Median: 51.985
vs STU:2DR: 85.78
Inspire Medical Systems had a gross margin of 86.47% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Inspire Medical Systems was 0.00% per year.
Inspire Medical Systems (STU:2DR) 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
Inspire Medical Systems had a gross margin of 86.47% 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.
Inspire Medical Systems Gross Margin % Related Terms
Inspire Medical Systems Gross Margin % Historical Data
* 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.
STU:2DR vs ENOV, PRCT, AHCO: Gross Margin % Comparison
For the Medical Devices subindustry, Inspire Medical Systems'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.
Inspire Medical Systems Gross Margin % vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Inspire Medical Systems's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Inspire Medical Systems'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.
Inspire Medical Systems (STU:2DR) has a Gross Margin % of 86.47% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Inspire Medical Systems and its competitors. This is near median its historical median of 84.17. Over the past decade, Inspire Medical Systems' Gross Margin % has ranged from 76.23 to 85.78. According to the industry distribution chart, Inspire Medical Systems ranks #46 out of 806 companies in the Medical Devices & Instruments industry, placing it in the top 5.7%.
Is Inspire Medical Systems' Gross Margin % too high?
Inspire Medical Systems' current Gross Margin % of 86.47% is near median its 10-year median of 84.17. Over the past 10 years, this metric has ranged from a low of 76.23 to a high of 85.78. The Medical Devices & Instruments industry median Gross Margin % is 51.99. Inspire Medical Systems' value of 86.47% is 66.3% above this industry median. Based on the distribution chart, Inspire Medical Systems ranks #46 out of 806 companies in the Medical Devices & Instruments industry, which is in the top quartile — a strong position relative to peers. Overall, Inspire Medical Systems has a GF Score™ of 59/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Inspire Medical Systems' Gross Margin % compare to ENOV and PRCT?
According to the Medical Devices & Instruments industry distribution chart, Inspire Medical Systems ranks #46 out of 806 companies for Gross Margin %. This places Inspire Medical Systems in the top 6% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 51.99. Inspire Medical Systems' value of 86.47% is 66.3% above this benchmark. Historically, Inspire Medical Systems' own Gross Margin % has ranged from 76.23 to 85.78 over the past decade. While the company's 10-year median is 84.17 vs. the industry median of 51.99, Inspire Medical Systems 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 Devices & Instruments company?
The median Gross Margin % among Medical Devices & Instruments companies is 51.99, based on 806 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. Inspire Medical Systems's current Gross Margin % of 86.47% is 66.3% 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 Inspire Medical Systems and its competitors. For the Medical Devices & Instruments industry, the median Gross Margin % is 51.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Inspire Medical Systems's current Gross Margin % is 86.47%, which is near median its own 10-year median of 84.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Inspire Medical Systems stock overvalued right now?
Based on GuruFocus' analysis, Inspire Medical Systems (STU:2DR) is currently considered Possible Value Trap. The stock's GF Value™ is €190.55, compared to a current price of €40.00 — trading 79% below its estimated fair value. The current Gross Margin % is 86.47%, which is near median its 10-year median of 84.17 and 66.3% above the Medical Devices & Instruments industry median of 51.99. Inspire Medical Systems' overall GF Score™ is 59/100 with 7 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 Inspire Medical Systems (STU:2DR), the current Gross Margin % is 86.47% 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 Inspire Medical Systems (STU:2DR) Overvalued in 2026?
Based on GuruFocus' analysis, Inspire Medical Systems stock appears to be undervalued.
The current stock price of €40.00 is trading 79% below its estimated GF Value™ of €190.55.
GuruFocus considers Inspire Medical Systems to be Possible Value Trap.
Key valuation signals for STU:2DR:
Gross Margin %: 86.47% (near median its 10-year median of 84.17)
GF Value™: €190.55 vs. price of €40.00 (79% below fair value)
Industry Position: 66.3% above the Medical Devices & Instruments median (#46 of 806)
No single metric tells the full story. See the STU:2DR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Inspire Medical Systems Inc operates as a medical technology company. It focuses on the development and commercialization of minimally invasive solutions for patients with obstructive sleep apnea (OSA). It offers Inspire system, a neurostimulation technology that provides a safe and effective treatment for moderate to severe obstructive sleep apnea. The firm has operating footprints in the United States and All other countries wherein, it generates a majority of its revenue from the United States. Its segment revenues are derived from the sales of its product, the Inspire system, to hospitals and ambulatory surgery centers in the U.S. and in selected countries in Europe and the Asia Pacific region.
59GF Score
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