StantecTSX:STN +1.98%86 Gross Margin % is 44.21% as of Mar. 2026, which is 4% above its 10-year median of 42.48. GuruFocus rates TSX:STN with a GF Score™ of 86/100 and a GF Value™ of C$128.52 (Modestly Undervalued). Among 1,719 Construction companies, Stantec ranks better than 85.34% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Stantec's Gross Profit for the
three
months ended in Mar. 2026 was C$914 Mil. Stantec's Revenue for the
three
months ended in Mar. 2026 was C$2,068 Mil. Therefore, Stantec's Gross Margin % for the quarter that ended in Mar. 2026 was 44.21%.
The historical rank and industry rank for Stantec's Gross Margin % or its related term are showing as below:
TSX:STN'
s Gross Margin % Range Over the Past 10 Years
Min: 38.98 Med: 42.48 Max: 43.73
Current: 43.43
During the past 13 years, the highestGross Margin % of Stantec was 43.73%. The lowest was 38.98%. And the median was 42.48%.
TSX:STN's Gross Margin % is ranked better than 85.34% of 1719
companies
in the Construction industry
Industry Median: 20.71
vs TSX:STN: 43.43
Stantec had a gross margin of 44.21% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Stantec was 0.80% per year.
Stantec (TSX:STN) 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
Stantec had a gross margin of 44.21% 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.
Stantec Gross Margin % Related Terms
Stantec Gross Margin % Historical Data
* Premium members only.
The historical data trend for Stantec'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:STN vs PWR, FIX, EME: Gross Margin % Comparison
For the Engineering & Construction subindustry, Stantec'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.
Stantec Gross Margin % vs Construction Industry
For the Construction industry and Industrials sector, Stantec's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Stantec'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.
Stantec (TSX:STN) has a Gross Margin % of 44.21% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Stantec and its competitors. This is near median its historical median of 42.48. Over the past decade, Stantec's Gross Margin % has ranged from 38.98 to 43.73. According to the industry distribution chart, Stantec ranks #252 out of 1719 companies in the Construction industry, placing it in the top 14.7%.
Is Stantec's Gross Margin % too high?
Stantec's current Gross Margin % of 44.21% is near median its 10-year median of 42.48. Over the past 10 years, this metric has ranged from a low of 38.98 to a high of 43.73. The Construction industry median Gross Margin % is 20.71. Stantec's value of 44.21% is 113.5% above this industry median. Based on the distribution chart, Stantec ranks #252 out of 1719 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Stantec has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Stantec's Gross Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, Stantec ranks #252 out of 1719 companies for Gross Margin %. This places Stantec in the top 15% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 20.71. Stantec's value of 44.21% is 113.5% above this benchmark. Historically, Stantec's own Gross Margin % has ranged from 38.98 to 43.73 over the past decade. While the company's 10-year median is 42.48 vs. the industry median of 20.71, Stantec 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 20.71, based on 1,719 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. Stantec's current Gross Margin % of 44.21% is 113.5% 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 Stantec and its competitors. For the Construction industry, the median Gross Margin % is 20.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Stantec's current Gross Margin % is 44.21%, which is near median its own 10-year median of 42.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Stantec stock overvalued right now?
Based on GuruFocus' analysis, Stantec (TSX:STN) is currently considered Modestly Undervalued. The stock's GF Value™ is C$128.52, compared to a current price of C$98.23 — trading 23.6% below its estimated fair value. The current Gross Margin % is 44.21%, which is near median its 10-year median of 42.48 and 113.5% above the Construction industry median of 20.71. Stantec's overall GF Score™ is 86/100. 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 Stantec (TSX:STN), the current Gross Margin % is 44.21% 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 Stantec (TSX:STN) Overvalued in 2026?
Based on GuruFocus' analysis, Stantec stock appears to be undervalued.
The current stock price of C$98.23 is trading 23.6% below its estimated GF Value™ of C$128.52.
GuruFocus considers Stantec to be Modestly Undervalued.
Key valuation signals for TSX:STN:
Gross Margin %: 44.21% (near median its 10-year median of 42.48)
GF Value™: C$128.52 vs. price of C$98.23 (23.6% below fair value)
Industry Position: 113.5% above the Construction median (#252 of 1719)
No single metric tells the full story. See the TSX:STN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Stantec Inc is a sustainable engineering, architecture, and environmental consulting company. It offers services through the following business operating units; Environmental Services, Infrastructure, Water, Buildings, and Energy & Resources. Maximum revenue is derived from its Infrastructure business unit, which is engaged in evaluating, planning, and designing infrastructure solutions for transportation, community development, and urban spaces. The company's reportable segments are the United States, which derives maximum revenue, Canada, and Global. These segments provide consulting in engineering, architecture, interior design, landscape architecture, surveying, environmental sciences, project management, and project economics services in the area of infrastructure and facilities.
86GF Score
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