Arlo TechnologiesSTU:2VI +2.41%61 Gross Margin % is 48.32% as of Mar. 2026, which is 95% above its 10-year median of 24.72. GuruFocus rates STU:2VI with a GF Score™ of 61/100 and a GF Value™ of €9.86. The stock has 5 warning signs investors should review. Among 1,718 Construction companies, Arlo Technologies ranks better than 86.44% on this metric.
The historical rank and industry rank for Arlo Technologies's Gross Margin % or its related term are showing as below:
STU:2VI'
s Gross Margin % Range Over the Past 10 Years
Min: 9.68 Med: 24.72 Max: 45.09
Current: 45.09
During the past 10 years, the highestGross Margin % of Arlo Technologies was 45.09%. The lowest was 9.68%. And the median was 24.72%.
STU:2VI's Gross Margin % is ranked better than 86.44% of 1718
companies
in the Construction industry
Industry Median: 20.75
vs STU:2VI: 45.09
Arlo Technologies had a gross margin of 48.32% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Arlo Technologies was 20.70% per year.
Arlo Technologies (STU:2VI) 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
Arlo Technologies had a gross margin of 48.32% 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.
Arlo Technologies Gross Margin % Related Terms
Arlo Technologies Gross Margin % Historical Data
* Premium members only.
The historical data trend for Arlo Technologies'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.
STU:2VI vs NPKI, ROCK, APOG: Gross Margin % Comparison
For the Building Products & Equipment subindustry, Arlo Technologies'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.
Arlo Technologies Gross Margin % vs Construction Industry
For the Construction industry and Industrials sector, Arlo Technologies's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Arlo Technologies'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.
Arlo Technologies (STU:2VI) has a Gross Margin % of 48.32% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Arlo Technologies and its competitors. This is 95% above median its historical median of 24.72. Over the past decade, Arlo Technologies' Gross Margin % has ranged from 9.68 to 45.09. According to the industry distribution chart, Arlo Technologies ranks #233 out of 1718 companies in the Construction industry, placing it in the top 13.6%.
Is Arlo Technologies' Gross Margin % too high?
Arlo Technologies' current Gross Margin % of 48.32% is 95% above median its 10-year median of 24.72. Over the past 10 years, this metric has ranged from a low of 9.68 to a high of 45.09. The Construction industry median Gross Margin % is 20.75. Arlo Technologies' value of 48.32% is 132.9% above this industry median. Based on the distribution chart, Arlo Technologies ranks #233 out of 1718 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Arlo Technologies has a GF Score™ of 61/100, reflecting its overall financial health beyond just this single metric.
How does Arlo Technologies' Gross Margin % compare to NPKI and ROCK?
According to the Construction industry distribution chart, Arlo Technologies ranks #233 out of 1718 companies for Gross Margin %. This places Arlo Technologies in the top 14% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 20.75. Arlo Technologies' value of 48.32% is 132.9% above this benchmark. Historically, Arlo Technologies' own Gross Margin % has ranged from 9.68 to 45.09 over the past decade. While the company's 10-year median is 24.72 vs. the industry median of 20.75, Arlo Technologies 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 Construction company?
The median Gross Margin % among Construction companies is 20.75, based on 1,718 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. Arlo Technologies's current Gross Margin % of 48.32% is 132.9% 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 Arlo Technologies and its competitors. For the Construction industry, the median Gross Margin % is 20.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arlo Technologies's current Gross Margin % is 48.32%, which is 95% above median its own 10-year median of 24.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arlo Technologies stock overvalued right now?
Arlo Technologies (STU:2VI) has a current Gross Margin % of 48.32%. The stock's GF Value™ is €9.86, compared to a current price of €11.48 — trading 16.4% above its estimated fair value. The current Gross Margin % is 48.32%, which is 95% above median its 10-year median of 24.72 and 132.9% above the Construction industry median of 20.75. Arlo Technologies' overall GF Score™ is 61/100 with 5 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 Arlo Technologies (STU:2VI), the current Gross Margin % is 48.32% 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 Arlo Technologies (STU:2VI) Overvalued in 2026?
Based on GuruFocus' analysis, Arlo Technologies stock appears to be overvalued.
The current stock price of €11.48 is trading 16.4% above its estimated GF Value™ of €9.86.
Key valuation signals for STU:2VI:
Gross Margin %: 48.32% (95% above median its 10-year median of 24.72)
GF Value™: €9.86 vs. price of €11.48 (16.4% above fair value)
Industry Position: 132.9% above the Construction median (#233 of 1718)
No single metric tells the full story. See the STU:2VI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arlo Technologies Inc is engaged in the provision of security and video monitoring solutions for homes and businesses. Its cloud-based platform provides users with visibility, insight, and a powerful means to help protect and connect in real-time with the people and things that matter, from any location with a Wi-Fi or cellular connection. The company offers subscription services such as Arlo Secure, Arlo Total Security, and Arlo Safe, and several categories of smart security devices, including smart Wi-Fi and LTE-enabled cameras, video doorbells, floodlight cameras, and home security systems. Geographically, the company generates a majority of its revenue from the United States, followed by Spain, Sweden, and other countries.
61GF Score
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