Deutsche Telekom AGXSWX:DTE 79 Gross Margin % is 62.06% as of Mar. 2026, which is 9% above its 10-year median of 56.78. GuruFocus rates XSWX:DTE with a GF Score™ of 79/100 and a GF Value™ of CHF26.91 (Fairly Valued). The stock has 2 warning signs investors should review. Among 344 Telecommunication Services companies, Deutsche Telekom AG ranks better than 65.7% on this metric.
The historical rank and industry rank for Deutsche Telekom AG's Gross Margin % or its related term are showing as below:
XSWX:DTE'
s Gross Margin % Range Over the Past 10 Years
Min: 52.14 Med: 56.78 Max: 61.13
Current: 60.9
During the past 13 years, the highestGross Margin % of Deutsche Telekom AG was 61.13%. The lowest was 52.14%. And the median was 56.78%.
XSWX:DTE's Gross Margin % is ranked better than 65.7% of 344
companies
in the Telecommunication Services industry
Industry Median: 51.415
vs XSWX:DTE: 60.90
Deutsche Telekom AG had a gross margin of 62.06% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Deutsche Telekom AG was 1.60% per year.
Deutsche Telekom AG (XSWX:DTE) 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
Deutsche Telekom AG had a gross margin of 62.06% 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.
Deutsche Telekom AG Gross Margin % Related Terms
Deutsche Telekom AG Gross Margin % Historical Data
* Premium members only.
The historical data trend for Deutsche Telekom AG'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.
XSWX:DTE vs TMUS, VZ, T: Gross Margin % Comparison
For the Telecom Services subindustry, Deutsche Telekom AG'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.
Deutsche Telekom AG Gross Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Deutsche Telekom AG's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Deutsche Telekom AG'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.
Deutsche Telekom AG (XSWX:DTE) has a Gross Margin % of 62.06% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Deutsche Telekom AG and its competitors. This is near median its historical median of 56.78. Over the past decade, Deutsche Telekom AG's Gross Margin % has ranged from 52.14 to 61.13. According to the industry distribution chart, Deutsche Telekom AG ranks #118 out of 344 companies in the Telecommunication Services industry, placing it in the top 34.3%.
Is Deutsche Telekom AG's Gross Margin % too high?
Deutsche Telekom AG's current Gross Margin % of 62.06% is near median its 10-year median of 56.78. Over the past 10 years, this metric has ranged from a low of 52.14 to a high of 61.13. The Telecommunication Services industry median Gross Margin % is 51.42. Deutsche Telekom AG's value of 62.06% is 20.7% above this industry median. Based on the distribution chart, Deutsche Telekom AG ranks #118 out of 344 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Deutsche Telekom AG has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Deutsche Telekom AG's Gross Margin % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Deutsche Telekom AG ranks #118 out of 344 companies for Gross Margin %. This puts Deutsche Telekom AG in the upper half of its industry. The industry median Gross Margin % is 51.42. Deutsche Telekom AG's value of 62.06% is 20.7% above this benchmark. Historically, Deutsche Telekom AG's own Gross Margin % has ranged from 52.14 to 61.13 over the past decade. While the company's 10-year median is 56.78 vs. the industry median of 51.42, Deutsche Telekom AG 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 Telecommunication Services company?
The median Gross Margin % among Telecommunication Services companies is 51.42, based on 344 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. Deutsche Telekom AG's current Gross Margin % of 62.06% is 20.7% 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 Deutsche Telekom AG and its competitors. For the Telecommunication Services industry, the median Gross Margin % is 51.42 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Deutsche Telekom AG's current Gross Margin % is 62.06%, which is near median its own 10-year median of 56.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Deutsche Telekom AG stock overvalued right now?
Based on GuruFocus' analysis, Deutsche Telekom AG (XSWX:DTE) is currently considered Fairly Valued. The stock's GF Value™ is CHF26.91, compared to a current price of CHF25.12 — trading 6.7% below its estimated fair value. The current Gross Margin % is 62.06%, which is near median its 10-year median of 56.78 and 20.7% above the Telecommunication Services industry median of 51.42. Deutsche Telekom AG's overall GF Score™ is 79/100 with 2 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 Deutsche Telekom AG (XSWX:DTE), the current Gross Margin % is 62.06% 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 Deutsche Telekom AG (XSWX:DTE) Overvalued in 2026?
Based on GuruFocus' analysis, Deutsche Telekom AG stock appears to be undervalued.
The current stock price of CHF25.12 is trading 6.7% below its estimated GF Value™ of CHF26.91.
GuruFocus considers Deutsche Telekom AG to be Fairly Valued.
Key valuation signals for XSWX:DTE:
Gross Margin %: 62.06% (near median its 10-year median of 56.78)
GF Value™: CHF26.91 vs. price of CHF25.12 (6.7% below fair value)
Industry Position: 20.7% above the Telecommunication Services median (#118 of 344)
No single metric tells the full story. See the XSWX:DTE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Deutsche Telekom is Germany's incumbent telecom operator and remains the dominant player in mobile and fixed markets. It also owns a controlling stake in T-Mobile US—one of three primary wireless carriers in the United States—which merged with Sprint in 2020, consolidating the market from four to three operators. Aside from its two core markets, Deutsche Telekom operates in several Central European countries and holds an IT arm (Systems Solutions).
79GF Score
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