HELLA GmbH KGaAXSWX:HLE 77 Gross Margin % is 20.88% as of Mar. 2026, which is 12% below its 10-year median of 23.77. GuruFocus rates XSWX:HLE with a GF Score™ of 77/100 and a GF Value™ of CHF73.40 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 1,313 Vehicles & Parts companies, HELLA GmbH KGaA ranks better than 54.84% on this metric.
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
HELLA GmbH KGaA had a gross margin of 20.88% 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.
HELLA GmbH KGaA Gross Margin % Related Terms
HELLA GmbH KGaA Gross Margin % Historical Data
* Premium members only.
The historical data trend for HELLA GmbH KGaA'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 Auto Parts subindustry, HELLA GmbH KGaA'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.
HELLA GmbH KGaA Gross Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, HELLA GmbH KGaA's Gross Margin % distribution charts can be found below:
* The bar in red indicates where HELLA GmbH KGaA'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.
HELLA GmbH KGaA (XSWX:HLE) has a Gross Margin % of 20.88% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on HELLA GmbH KGaA and its competitors. This is 12% below median its historical median of 23.77. Over the past decade, HELLA GmbH KGaA's Gross Margin % has ranged from 21.29 to 27.52. According to the industry distribution chart, HELLA GmbH KGaA ranks #593 out of 1313 companies in the Vehicles & Parts industry, placing it in the top 45.2%.
Is HELLA GmbH KGaA's Gross Margin % too high?
HELLA GmbH KGaA's current Gross Margin % of 20.88% is 12% below median its 10-year median of 23.77. Over the past 10 years, this metric has ranged from a low of 21.29 to a high of 27.52. The Vehicles & Parts industry median Gross Margin % is 19.84. HELLA GmbH KGaA's value of 20.88% is 5.2% above this industry median. Based on the distribution chart, HELLA GmbH KGaA ranks #593 out of 1313 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, HELLA GmbH KGaA has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does HELLA GmbH KGaA's Gross Margin % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, HELLA GmbH KGaA ranks #593 out of 1313 companies for Gross Margin %. This puts HELLA GmbH KGaA in the upper half of its industry. The industry median Gross Margin % is 19.84. HELLA GmbH KGaA's value of 20.88% is 5.2% above this benchmark. Historically, HELLA GmbH KGaA's own Gross Margin % has ranged from 21.29 to 27.52 over the past decade. While the company's 10-year median is 23.77 vs. the industry median of 19.84, HELLA GmbH KGaA 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 Vehicles & Parts company?
The median Gross Margin % among Vehicles & Parts companies is 19.84, based on 1,313 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. HELLA GmbH KGaA's current Gross Margin % of 20.88% is 5.2% 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 HELLA GmbH KGaA and its competitors. For the Vehicles & Parts industry, the median Gross Margin % is 19.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. HELLA GmbH KGaA's current Gross Margin % is 20.88%, which is 12% below median its own 10-year median of 23.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HELLA GmbH KGaA stock overvalued right now?
Based on GuruFocus' analysis, HELLA GmbH KGaA (XSWX:HLE) is currently considered Modestly Undervalued. The stock's GF Value™ is CHF73.40, compared to a current price of CHF65.70 — trading 10.5% below its estimated fair value. The current Gross Margin % is 20.88%, which is 12% below median its 10-year median of 23.77 and 5.2% above the Vehicles & Parts industry median of 19.84. HELLA GmbH KGaA's overall GF Score™ is 77/100 with 7 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 HELLA GmbH KGaA (XSWX:HLE), the current Gross Margin % is 20.88% 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 HELLA GmbH KGaA (XSWX:HLE) Overvalued in 2026?
Based on GuruFocus' analysis, HELLA GmbH KGaA stock appears to be undervalued.
The current stock price of CHF65.70 is trading 10.5% below its estimated GF Value™ of CHF73.40.
GuruFocus considers HELLA GmbH KGaA to be Modestly Undervalued.
Key valuation signals for XSWX:HLE:
Gross Margin %: 20.88% (12% below median its 10-year median of 23.77)
GF Value™: CHF73.40 vs. price of CHF65.70 (10.5% below fair value)
Industry Position: 5.2% above the Vehicles & Parts median (#593 of 1313)
No single metric tells the full story. See the XSWX:HLE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
HELLA GmbH & Co KGaA is a manufacturer of lighting and electronic components and systems for the automotive industry. The company also produces complete vehicle modules, air-conditioning systems, and vehicle electrical systems in its joint-venture companies, as well as products for specialist vehicles. Further, Hella operates a trade organisation for automotive parts, accessories, diagnosis, and services in Europe. The company is controlled through a pooled family majority shareholding in the group. The company has three reportable segments, which are Lighting, Electronics, and Lifecycle Solutions. The company generates the majority of its revenue from the Lighting segment.
77GF Score
Get the complete analysis for XSWX:HLE
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
XSWX:HLE has been successfully added to your 
