Stanley Black & DeckerSWK +6.98%73 Gross Margin % is 30.09% as of Mar. 2026, which is 9% below its 10-year median of 33.05. GuruFocus rates SWK with a GF Score™ of 73/100 and a GF Value™ of $82.16 (Fairly Valued). The stock has 10 warning signs investors should review. Among 3,003 Industrial Products companies, Stanley Black & Decker ranks better than 59.37% on this metric.
SWK's Gross Margin % is ranked better than 59.37% of 3003
companies
in the Industrial Products industry
Industry Median: 26.79
vs SWK: 30.36
Stanley Black & Decker had a gross margin of 30.09% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Stanley Black & Decker was -2.60% per year.
Stanley Black & Decker (NYSE:SWK) 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
Stanley Black & Decker had a gross margin of 30.09% 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.
Stanley Black & Decker Gross Margin % Related Terms
Stanley Black & Decker Gross Margin % Historical Data
* Premium members only.
The historical data trend for Stanley Black & Decker'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.
For the Tools & Accessories subindustry, Stanley Black & Decker'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.
Stanley Black & Decker Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Stanley Black & Decker's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Stanley Black & Decker'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.
Stanley Black & Decker (SWK) has a Gross Margin % of 30.09% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Stanley Black & Decker and its competitors. This is near median its historical median of 33.05. Over the past decade, Stanley Black & Decker's Gross Margin % has ranged from 24.92 to 36.85. According to the industry distribution chart, Stanley Black & Decker ranks #1220 out of 3003 companies in the Industrial Products industry, placing it in the top 40.6%.
Is Stanley Black & Decker's Gross Margin % too high?
Stanley Black & Decker's current Gross Margin % of 30.09% is near median its 10-year median of 33.05. Over the past 10 years, this metric has ranged from a low of 24.92 to a high of 36.85. The Industrial Products industry median Gross Margin % is 26.79. Stanley Black & Decker's value of 30.09% is 12.3% above this industry median. Based on the distribution chart, Stanley Black & Decker ranks #1220 out of 3003 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Stanley Black & Decker has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Stanley Black & Decker's Gross Margin % compare to LECO and TKR?
According to the Industrial Products industry distribution chart, Stanley Black & Decker ranks #1220 out of 3003 companies for Gross Margin %. This puts Stanley Black & Decker in the upper half of its industry. The industry median Gross Margin % is 26.79. Stanley Black & Decker's value of 30.09% is 12.3% above this benchmark. Historically, Stanley Black & Decker's own Gross Margin % has ranged from 24.92 to 36.85 over the past decade. While the company's 10-year median is 33.05 vs. the industry median of 26.79, Stanley Black & Decker 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 an Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.79, based on 3,003 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. Stanley Black & Decker's current Gross Margin % of 30.09% is 12.3% 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 Stanley Black & Decker and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Stanley Black & Decker's current Gross Margin % is 30.09%, which is near median its own 10-year median of 33.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Stanley Black & Decker stock overvalued right now?
Based on GuruFocus' analysis, Stanley Black & Decker (SWK) is currently considered Fairly Valued. The stock's GF Value™ is $82.16, compared to a current price of $89.66 — trading 9.1% above its estimated fair value. The current Gross Margin % is 30.09%, which is near median its 10-year median of 33.05 and 12.3% above the Industrial Products industry median of 26.79. Stanley Black & Decker's overall GF Score™ is 73/100 with 10 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 Stanley Black & Decker (SWK), the current Gross Margin % is 30.09% 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 Stanley Black & Decker (SWK) Overvalued in 2026?
Based on GuruFocus' analysis, Stanley Black & Decker stock appears to be overvalued.
The current stock price of $89.66 is trading 9.1% above its estimated GF Value™ of $82.16.
GuruFocus considers Stanley Black & Decker to be Fairly Valued.
Key valuation signals for SWK:
Gross Margin %: 30.09% (near median its 10-year median of 33.05)
GF Value™: $82.16 vs. price of $89.66 (9.1% above fair value)
Industry Position: 12.3% above the Industrial Products median (#1220 of 3003)
No single metric tells the full story. See the SWK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Stanley Black & Decker Inc offers hand tools, power tools, outdoor products, engineered fastening solutions, and related accessories. The company operates in two reportable business segments: Tools & Outdoor and Engineered Fastening. The majority of its revenue is generated from the Tools & Outdoor segment, which is comprised of the Power Tools Group (PTG), Hand Tools, Accessories and Storage (HTAS), and Outdoor Power Equipment (Outdoor) product lines. This segment's product offerings include drills, impact wrenches and drivers, grinders, saws, hammers, demolition tools, clamps, vises, knives, edge trimmers, lawn mowers, etc., which are offered through brands like Hustler, Dewalt, Craftsman, Stanley, and others. Geographically, the firm derives maximum revenue from the United States.
73GF Score
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