Gross Margin Definition

Gross margin is the percentage of revenue remaining after subtracting the cost of goods sold.

What is Gross Margin?

It reflects how efficiently a company produces and sells its goods or services before other operating expenses.

Higher gross margins generally indicate stronger pricing power or lower production costs.

A company with $1 million in revenue and $600,000 in cost of goods sold has a gross margin of 40%.

A gap is a difference between the closing price of one trading session and the opening price of the next, with no trading in between.

GDP is the total monetary value of all goods and services produced within a country over a specific period.

Going long means buying an asset with the expectation that its price will rise.