Esterline Technologies (Esterline Technologies) Gross Margin % : 34.25% (As of Dec. 2018)

Esterline Technologies Gross Margin % Chart

Esterline Technologies Annual Data
	Trend	Oct09	Oct10	Oct11	Oct12	Oct13	Oct14	Sep15	Sep16	Sep17	Sep18
Gross Margin %		Get a 7-Day Free Trial					35.22	33.22	33.20	33.00	32.74

Esterline Technologies Quarterly Data
	Jan14	Apr14	Jul14	Oct14	Jan15	Apr15	Jul15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17	Sep17	Dec17	Mar18	Jun18	Sep18	Dec18
Gross Margin %	Get a 7-Day Free Trial															30.65	31.63	33.99	34.43	34.25

Competitive Comparison of Esterline Technologies's Gross Margin %

For the Aerospace & Defense subindustry, Esterline 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.

Esterline Technologies's Gross Margin % Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Esterline Technologies's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Esterline Technologies's Gross Margin % falls into.

Esterline Technologies Gross Margin % Calculation

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

Esterline Technologies's Gross Margin for the fiscal year that ended in Sep. 2018 is calculated as

Esterline Technologies's Gross Margin for the quarter that ended in Dec. 2018 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.

Esterline Technologies  (NYSE:ESL) 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

Esterline Technologies had a gross margin of 34.25% for the quarter that ended in Dec. 2018 => 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.

Esterline Technologies Gross Margin % Related Terms

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Esterline Technologies (Esterline Technologies) Business Description