BWX Technologies Inc gross margin has been in long-term decline. The average rate of decline per year is -2.9%.
The historical rank and industry rank for BWX Technologies's Gross Margin % or its related term are showing as below:
BWXT'
s Gross Margin % Range Over the Past 10 Years
Min: 20.51 Med: 27.26 Max: 29.94
Current: 24.86
During the past 13 years, the highestGross Margin % of BWX Technologies was 29.94%. The lowest was 20.51%. And the median was 27.26%.
BWXT's Gross Margin % is ranked worse than 52.36% of 296
companies
in the Aerospace & Defense industry
Industry Median: 26.205
vs BWXT: 24.86
BWX Technologies had a gross margin of 25.99% for the quarter that ended in Dec. 2023 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for BWX Technologies was -2.90% per year.
BWX Technologies Gross Margin % Historical Data
The historical data trend for BWX Technologies'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.
Competitive Comparison of BWX Technologies's Gross Margin %
For the Aerospace & Defense subindustry, BWX 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.
BWX Technologies's Gross Margin % Distribution in the Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, BWX Technologies's Gross Margin % distribution charts can be found below:
* The bar in red indicates where BWX Technologies'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.
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
BWX Technologies had a gross margin of 25.99% for the quarter that ended in Dec. 2023 => 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.
BWX Technologies Gross Margin % Related Terms
Thank you for viewing the detailed overview of BWX Technologies's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
BWX Technologies (BWX Technologies) Business Description
BWX Technologies Inc is a specialty manufacturer & service provider of nuclear components. It operates in two segments. The government Operations segment consists of legacy Nuclear Operations Group & Nuclear Services Group segments with certain research & development activities in the areas of advanced reactors & advanced manufacturing. The commercial Operations segment consists of the legacy Nuclear Power Group segment with certain research and development & commercialization activities in the areas of medical & industrial radioisotopes & radiopharmaceuticals. The majority is from the Government Operations segment. Geographically, it operates in the United States, Canada & United Kingdom, out of which the majority is from the United States.
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