Ormat TechnologiesWBO:ORAT +0.10%58 Gross Margin % is 29.80% as of Mar. 2026, which is 20% below its 10-year median of 37.11. GuruFocus rates WBO:ORAT with a GF Score™ of 58/100 and a GF Value™ of €89.63 (Fairly Valued). The stock has 8 warning signs investors should review. Among 403 Utilities - Independent Power Producers companies, Ormat Technologies ranks worse than 58.06% on this metric.
Ormat Technologies Inc gross margin has been in long-term decline. The average rate of decline per year is -7.3%.
The historical rank and industry rank for Ormat Technologies's Gross Margin % or its related term are showing as below:
WBO:ORAT'
s Gross Margin % Range Over the Past 10 Years
Min: 27.51 Med: 37.11 Max: 40.87
Current: 27.51
During the past 13 years, the highestGross Margin % of Ormat Technologies was 40.87%. The lowest was 27.51%. And the median was 37.11%.
WBO:ORAT's Gross Margin % is ranked worse than 58.06% of 403
companies
in the Utilities - Independent Power Producers industry
Industry Median: 31.35
vs WBO:ORAT: 27.51
Ormat Technologies had a gross margin of 29.80% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Ormat Technologies was -7.30% 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
Ormat Technologies had a gross margin of 29.80% 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.
Ormat Technologies Gross Margin % Related Terms
Ormat Technologies Gross Margin % Historical Data
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The historical data trend for Ormat 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.
WBO:ORAT vs MWH, CWEN, FRVO: Gross Margin % Comparison
For the Utilities - Renewable subindustry, Ormat 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.
Ormat Technologies Gross Margin % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Ormat Technologies's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Ormat 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.
Ormat Technologies (WBO:ORAT) has a Gross Margin % of 29.80% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Ormat Technologies and its competitors. This is 20% below median its historical median of 37.11. Over the past decade, Ormat Technologies' Gross Margin % has ranged from 27.51 to 40.87. According to the industry distribution chart, Ormat Technologies ranks #234 out of 403 companies in the Utilities - Independent Power Producers industry, placing it in the top 58.1%.
Is Ormat Technologies' Gross Margin % too high?
Ormat Technologies' current Gross Margin % of 29.80% is 20% below median its 10-year median of 37.11. Over the past 10 years, this metric has ranged from a low of 27.51 to a high of 40.87. The Utilities - Independent Power Producers industry median Gross Margin % is 31.35. Ormat Technologies' value of 29.80% is 4.9% below this industry median. Based on the distribution chart, Ormat Technologies ranks #234 out of 403 companies in the Utilities - Independent Power Producers industry, which is below the industry midpoint. Overall, Ormat Technologies has a GF Score™ of 58/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Ormat Technologies' Gross Margin % compare to MWH and CWEN?
According to the Utilities - Independent Power Producers industry distribution chart, Ormat Technologies ranks #234 out of 403 companies for Gross Margin %. This places Ormat Technologies in the lower half of its industry. The industry median Gross Margin % is 31.35. Ormat Technologies' value of 29.80% is 4.9% below this benchmark. Historically, Ormat Technologies' own Gross Margin % has ranged from 27.51 to 40.87 over the past decade. While the company's 10-year median is 37.11 vs. the industry median of 31.35, Ormat Technologies 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 Utilities - Independent Power Producers company?
The median Gross Margin % among Utilities - Independent Power Producers companies is 31.35, based on 403 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. Ormat Technologies's current Gross Margin % of 29.80% is 4.9% 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 Ormat Technologies and its competitors. For the Utilities - Independent Power Producers industry, the median Gross Margin % is 31.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ormat Technologies's current Gross Margin % is 29.80%, which is 20% below median its own 10-year median of 37.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ormat Technologies stock overvalued right now?
Based on GuruFocus' analysis, Ormat Technologies (WBO:ORAT) is currently considered Fairly Valued. The stock's GF Value™ is €89.63, compared to a current price of €96.10 — trading 7.2% above its estimated fair value. The current Gross Margin % is 29.80%, which is 20% below median its 10-year median of 37.11 and 4.9% below the Utilities - Independent Power Producers industry median of 31.35. Ormat Technologies' overall GF Score™ is 58/100 with 8 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 Ormat Technologies (WBO:ORAT), the current Gross Margin % is 29.80% 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 Ormat Technologies (WBO:ORAT) Overvalued in 2026?
Based on GuruFocus' analysis, Ormat Technologies stock appears to be overvalued.
The current stock price of €96.10 is trading 7.2% above its estimated GF Value™ of €89.63.
GuruFocus considers Ormat Technologies to be Fairly Valued.
Key valuation signals for WBO:ORAT:
Gross Margin %: 29.80% (20% below median its 10-year median of 37.11)
GF Value™: €89.63 vs. price of €96.10 (7.2% above fair value)
Industry Position: 4.9% below the Utilities - Independent Power Producers median (#234 of 403)
No single metric tells the full story. See the WBO:ORAT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ormat Technologies Inc is engaged in the geothermal and recovered energy power business. It is engaged in three business segments: the Electricity Segment. where the company develops, builds, owns, and operates geothermal, solar PV, and recovered energy-based power plants in the United States and geothermal power plants in other countries and sells the electricity generated. Product Segment includes designing, manufacturing, and selling equipment for geothermal and recovered energy-based electricity generation and providing services relating to the engineering, procurement, and construction of geothermal & recovered energy-based power plants. Energy Storage Segment includes owning & operating grid-connected which provide capacity, energy, & ancillary services directly to the electric grid.
58GF Score
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