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Sensata Technologies Holding (Sensata Technologies Holding) Gross Margin % : 31.53% (As of Mar. 2024)


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What is Sensata Technologies Holding Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Sensata Technologies Holding's Gross Profit for the three months ended in Mar. 2024 was $317 Mil. Sensata Technologies Holding's Revenue for the three months ended in Mar. 2024 was $1,007 Mil. Therefore, Sensata Technologies Holding's Gross Margin % for the quarter that ended in Mar. 2024 was 31.53%.

Warning Sign:

Sensata Technologies Holding PLC gross margin has been in long-term decline. The average rate of decline per year is -2.1%.


The historical rank and industry rank for Sensata Technologies Holding's Gross Margin % or its related term are showing as below:

ST' s Gross Margin % Range Over the Past 10 Years
Min: 30.42   Med: 33.91   Max: 35.63
Current: 30.79


During the past 13 years, the highest Gross Margin % of Sensata Technologies Holding was 35.63%. The lowest was 30.42%. And the median was 33.91%.

ST's Gross Margin % is ranked better than
63.35% of 2439 companies
in the Hardware industry
Industry Median: 24.34 vs ST: 30.79

Sensata Technologies Holding had a gross margin of 31.53% for the quarter that ended in Mar. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Sensata Technologies Holding was -2.10% per year.


Sensata Technologies Holding Gross Margin % Historical Data

The historical data trend for Sensata Technologies Holding'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.

* Premium members only.

Sensata Technologies Holding Gross Margin % Chart

Sensata Technologies Holding Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 34.29 30.42 33.46 32.69 31.11

Sensata Technologies Holding Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 32.83 31.07 31.29 29.24 31.53

Competitive Comparison of Sensata Technologies Holding's Gross Margin %

For the Scientific & Technical Instruments subindustry, Sensata Technologies Holding'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.


Sensata Technologies Holding's Gross Margin % Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Sensata Technologies Holding's Gross Margin % distribution charts can be found below:

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



Sensata Technologies Holding Gross Margin % Calculation

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

Sensata Technologies Holding's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )=Gross Profit (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=1261.3 / 4054.083
=(Revenue - Cost of Goods Sold) / Revenue
=(4054.083 - 2792.825) / 4054.083
=31.11 %

Sensata Technologies Holding's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=317.4 / 1006.709
=(Revenue - Cost of Goods Sold) / Revenue
=(1006.709 - 689.26) / 1006.709
=31.53 %

* 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.


Sensata Technologies Holding  (NYSE:ST) 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

Sensata Technologies Holding had a gross margin of 31.53% for the quarter that ended in Mar. 2024 => 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.


Sensata Technologies Holding Gross Margin % Related Terms

Thank you for viewing the detailed overview of Sensata Technologies Holding's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Sensata Technologies Holding (Sensata Technologies Holding) Business Description

Traded in Other Exchanges
Address
529 Pleasant Street, Attleboro, MA, USA, 02703
Sensata Technologies is a global supplier of sensors for transportation and industrial applications. Sensata sells a bevy of pressure, temperature, force, and position sensors into the automotive, heavy vehicle, industrial, heating, ventilation, and cooling, and aerospace markets. The majority of the firm's revenue comes from the automotive market, where it focuses on bumper-in applications.
Executives
Brian K Roberts officer: EVP & Chief Financial Officer DIGITAS INC.,, 800 BOYLSTON STREET, BOSTON MA 02199
Jugal K. Vijayvargiya director C/O DELPHI AUTOMOTIVE, 5725 DELPHI DRIVE, TROY MI 48098
Stephen M Zide director BAIN CAPITAL PARTNERS, JOHN HANCOCK TOWER, 200 CLARENDON STREET, BOSTON MA 02116
Martha N. Sullivan officer: Executive VP and COO 529 PLEASANT STREET, MS B-7, ATTLEBORO MA 02703
Brian John Wilkie officer: SVP - Sensing Solutions 529 PLEASANT STREET, ATTLEBORO MA 02703
Jennifer Lynn Slater officer: SVP - Performance Sensing Auto 5757 N GREEN BAY AVENUE FLORIST, TOWER MILWAUKEE WI 53209
Jeffrey J Cote officer: Executive VP and CFO C/O SENSATA TECHNOLOGIES, INC., 529 PLEASANT STREET, ATTLEBORO MA 02703
Maria G Freve officer: VP, Chief Accounting Officer 529 PLEASANT STREET, MAIL STATION B-1, ATTLEBORO MA 02703
David K Stott officer: VP, General Counsel 529 PLEASANT STREET, ATTLEBORO MA 02703
Paul S Vasington officer: Chief Financial Officer 529 PLEASANT STREET, ATTLEBORO MA 02703
Shannon M. Votava officer: SVP, Chief Legal Officer 2111 NORTH MOLTER ROAD, LIBERTY LAKE WA 99019
Vineet A Nargolwala officer: EVP, Sensing Solutions 529 PLEASANT STREET, MAIL STATION B-1, ATTLEBORO MA 02703
Yann L Etienvre officer: EVP, Chief SC Officer 529 PLEASANT STREET, MAIL STATION B-1, ATTLEBORO MA 02703
George Verras officer: SVP & Chief Technology Officer 529 PLEASANT STREET, MAIL STATION B-1, ATTLEBORO MA 02703
Daniel Black director C/O ADVENT CAPITAL MANAGEMENT, LLC, 1065 AVENUE OF THE AMERICAS, 31ST FLOOR, NEW YORK NY 10018