The Bon-Ton Stores (The Bon-Ton Stores) Gross Margin %

The Bon-Ton Stores Annual Data
	Trend	Jan08	Jan09	Jan10	Jan11	Jan12	Jan13	Jan14	Jan15	Jan16	Jan17
Gross Margin %							35.81	36.15	35.67	34.66	35.49

The Bon-Ton Stores Quarterly Data
	Jan13	Apr13	Jul13	Oct13	Jan14	Apr14	Jul14	Oct14	Jan15	Apr15	Jul15	Oct15	Jan16	Apr16	Jul16	Oct16	Jan17	Apr17	Jul17	Oct17
Gross Margin %																35.10	36.21	32.19	35.53	33.05

For the Department Stores subindustry, The Bon-Ton Stores'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.

For the Retail - Cyclical industry and Consumer Cyclical sector, The Bon-Ton Stores's Gross Margin % distribution charts can be found below:

* The bar in red indicates where The Bon-Ton Stores's Gross Margin % falls into.

The Bon-Ton Stores Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

The Bon-Ton Stores's Gross Margin for the fiscal year that ended in Jan. 2017 is calculated as

The Bon-Ton Stores's Gross Margin for the quarter that ended in Oct. 2017 is calculated as

* 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.

The Bon-Ton Stores  (OTCPK:BONTQ) 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

The Bon-Ton Stores had a gross margin of 33.05% for the quarter that ended in Oct. 2017 => 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.

The Bon-Ton Stores Gross Margin % Related Terms

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The Bon-Ton Stores (The Bon-Ton Stores) Business Description