CES Energy SolutionsTSX:CEU +2.02%71 Gross Margin % is 23.72% as of Mar. 2026, which is 8% above its 10-year median of 21.99. GuruFocus rates TSX:CEU with a GF Score™ of 71/100 and a GF Value™ of C$9.26 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 867 Oil & Gas companies, CES Energy Solutions ranks worse than 52.71% on this metric.
The historical rank and industry rank for CES Energy Solutions's Gross Margin % or its related term are showing as below:
TSX:CEU'
s Gross Margin % Range Over the Past 10 Years
Min: 18.65 Med: 21.99 Max: 24.69
Current: 23.84
During the past 13 years, the highestGross Margin % of CES Energy Solutions was 24.69%. The lowest was 18.65%. And the median was 21.99%.
TSX:CEU's Gross Margin % is ranked worse than 52.71% of 867
companies
in the Oil & Gas industry
Industry Median: 25.7
vs TSX:CEU: 23.84
CES Energy Solutions had a gross margin of 23.72% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for CES Energy Solutions was 4.80% per year.
CES Energy Solutions (TSX:CEU) 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
CES Energy Solutions had a gross margin of 23.72% 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.
CES Energy Solutions Gross Margin % Related Terms
CES Energy Solutions Gross Margin % Historical Data
* Premium members only.
The historical data trend for CES Energy Solutions'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.
TSX:CEU vs SLB, BKR, HAL: Gross Margin % Comparison
For the Oil & Gas Equipment & Services subindustry, CES Energy Solutions'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.
CES Energy Solutions Gross Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, CES Energy Solutions's Gross Margin % distribution charts can be found below:
* The bar in red indicates where CES Energy Solutions'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.
CES Energy Solutions (TSX:CEU) has a Gross Margin % of 23.72% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on CES Energy Solutions and its competitors. This is near median its historical median of 21.99. Over the past decade, CES Energy Solutions' Gross Margin % has ranged from 18.65 to 24.69. According to the industry distribution chart, CES Energy Solutions ranks #457 out of 867 companies in the Oil & Gas industry, placing it in the top 52.7%.
Is CES Energy Solutions' Gross Margin % too high?
CES Energy Solutions' current Gross Margin % of 23.72% is near median its 10-year median of 21.99. Over the past 10 years, this metric has ranged from a low of 18.65 to a high of 24.69. The Oil & Gas industry median Gross Margin % is 25.70. CES Energy Solutions' value of 23.72% is 7.7% below this industry median. Based on the distribution chart, CES Energy Solutions ranks #457 out of 867 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, CES Energy Solutions has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does CES Energy Solutions' Gross Margin % compare to SLB and BKR?
According to the Oil & Gas industry distribution chart, CES Energy Solutions ranks #457 out of 867 companies for Gross Margin %. This places CES Energy Solutions in the lower half of its industry. The industry median Gross Margin % is 25.70. CES Energy Solutions' value of 23.72% is 7.7% below this benchmark. Historically, CES Energy Solutions' own Gross Margin % has ranged from 18.65 to 24.69 over the past decade. While the company's 10-year median is 21.99 vs. the industry median of 25.70, CES Energy Solutions has consistently been below 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 Oil & Gas company?
The median Gross Margin % among Oil & Gas companies is 25.70, based on 867 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. CES Energy Solutions's current Gross Margin % of 23.72% is 7.7% below 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 CES Energy Solutions and its competitors. For the Oil & Gas industry, the median Gross Margin % is 25.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CES Energy Solutions's current Gross Margin % is 23.72%, which is near median its own 10-year median of 21.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CES Energy Solutions stock overvalued right now?
Based on GuruFocus' analysis, CES Energy Solutions (TSX:CEU) is currently considered Significantly Overvalued. The stock's GF Value™ is C$9.26, compared to a current price of C$16.65 — trading 79.8% above its estimated fair value. The current Gross Margin % is 23.72%, which is near median its 10-year median of 21.99 and 7.7% below the Oil & Gas industry median of 25.70. CES Energy Solutions' overall GF Score™ is 71/100 with 1 warning sign 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 CES Energy Solutions (TSX:CEU), the current Gross Margin % is 23.72% 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 CES Energy Solutions (TSX:CEU) Overvalued in 2026?
Based on GuruFocus' analysis, CES Energy Solutions stock appears to be overvalued.
The current stock price of C$16.65 is trading 79.8% above its estimated GF Value™ of C$9.26.
GuruFocus considers CES Energy Solutions to be Significantly Overvalued.
Key valuation signals for TSX:CEU:
Gross Margin %: 23.72% (near median its 10-year median of 21.99)
GF Value™: C$9.26 vs. price of C$16.65 (79.8% above fair value)
Industry Position: 7.7% below the Oil & Gas median (#457 of 867)
No single metric tells the full story. See the TSX:CEU stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
CES Energy Solutions Corp business is to design, implement, and manufacture consumable fluids and specialty chemicals for the North American oil and gas industry. This includes solutions at drill-bit, at point of completion and stimulation, at wellhead and pump-jack and to the pipeline and midstream market. Its geographical segments are the United States and Canada, of which the majority of its revenue comes from the United States.
71GF Score
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