TerrAscendTSNDF +2.79%32 Gross Margin % is 52.80% as of Mar. 2026, which is 3% above its 10-year median of 51.50. GuruFocus rates TSNDF with a GF Score™ of 32/100 and a GF Value™ of $0.99 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 938 Drug Manufacturers companies, TerrAscend ranks better than 55.33% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. TerrAscend's Gross Profit for the
three
months ended in Mar. 2026 was $34.6 Mil. TerrAscend's Revenue for the
three
months ended in Mar. 2026 was $65.5 Mil. Therefore, TerrAscend's Gross Margin % for the quarter that ended in Mar. 2026 was 52.80%.
Warning Sign:
TerrAscend Corp gross margin has been in long-term decline. The average rate of decline per year is -3.3%.
The historical rank and industry rank for TerrAscend's Gross Margin % or its related term are showing as below:
TSNDF'
s Gross Margin % Range Over the Past 10 Years
Min: -25.6 Med: 51.5 Max: 64.84
Current: 52.04
During the past 10 years, the highestGross Margin % of TerrAscend was 64.84%. The lowest was -25.60%. And the median was 51.50%.
TSNDF's Gross Margin % is ranked better than 55.33% of 938
companies
in the Drug Manufacturers industry
Industry Median: 48.44
vs TSNDF: 52.04
TerrAscend had a gross margin of 52.80% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for TerrAscend was -3.30% per year.
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
TerrAscend had a gross margin of 52.80% 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.
TerrAscend Gross Margin % Related Terms
TerrAscend Gross Margin % Historical Data
* Premium members only.
The historical data trend for TerrAscend'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 Drug Manufacturers - Specialty & Generic subindustry, TerrAscend'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.
TerrAscend Gross Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, TerrAscend's Gross Margin % distribution charts can be found below:
* The bar in red indicates where TerrAscend'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.
TerrAscend (TSNDF) has a Gross Margin % of 52.80% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on TerrAscend and its competitors. This is near median its historical median of 51.50. According to the industry distribution chart, TerrAscend ranks #419 out of 938 companies in the Drug Manufacturers industry, placing it in the top 44.7%.
Is TerrAscend's Gross Margin % too high?
TerrAscend's current Gross Margin % of 52.80% is near median its 10-year median of 51.50. The Drug Manufacturers industry median Gross Margin % is 48.44. TerrAscend's value of 52.80% is 9% above this industry median. Based on the distribution chart, TerrAscend ranks #419 out of 938 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, TerrAscend has a GF Score™ of 32/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does TerrAscend's Gross Margin % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, TerrAscend ranks #419 out of 938 companies for Gross Margin %. This puts TerrAscend in the upper half of its industry. The industry median Gross Margin % is 48.44. TerrAscend's value of 52.80% is 9% above this benchmark. While the company's 10-year median is 51.50 vs. the industry median of 48.44, TerrAscend 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 Drug Manufacturers company?
The median Gross Margin % among Drug Manufacturers companies is 48.44, based on 938 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. TerrAscend's current Gross Margin % of 52.80% is 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 TerrAscend and its competitors. For the Drug Manufacturers industry, the median Gross Margin % is 48.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TerrAscend's current Gross Margin % is 52.80%, which is near median its own 10-year median of 51.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TerrAscend stock overvalued right now?
Based on GuruFocus' analysis, TerrAscend (TSNDF) is currently considered Possible Value Trap. The stock's GF Value™ is $0.99, compared to a current price of $0.65 — trading 34.8% below its estimated fair value. The current Gross Margin % is 52.80%, which is near median its 10-year median of 51.50 and 9% above the Drug Manufacturers industry median of 48.44. TerrAscend's overall GF Score™ is 32/100 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 TerrAscend (TSNDF), the current Gross Margin % is 52.80% 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 TerrAscend (TSNDF) Overvalued in 2026?
Based on GuruFocus' analysis, TerrAscend stock appears to be undervalued.
The current stock price of $0.65 is trading 34.8% below its estimated GF Value™ of $0.99.
GuruFocus considers TerrAscend to be Possible Value Trap.
Key valuation signals for TSNDF:
Gross Margin %: 52.80% (near median its 10-year median of 51.50)
GF Value™: $0.99 vs. price of $0.65 (34.8% below fair value)
Industry Position: 9% above the Drug Manufacturers median (#419 of 938)
No single metric tells the full story. See the TSNDF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
TerrAscend Corp is a company focused on creating and delivering cannabis products and services that meet the evolving needs of its patients. It also provides education and support programs to physicians and patients through healthcare professionals. In addition, the firm operates in California, Maryland, New Jersey, and Pennsylvania, with retail operations in Ohio and Canada. It operates The Apothecarium and other dispensary retail locations as well as scaled cultivation, processing, and manufacturing facilities in its core markets. The firm has one operating segment, being the cultivation, production, and sale of cannabis products, with subsidiaries located in Canada and the United States. The company generates key revenue from the United States.
32GF Score
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