Gates Industrial Corporation pl GTES

Competitive advantage analysis · industrials

Corporate Default
Overall moat score
61/100
Moderate

About Gates Industrial Corporation pl

Gates Industrial Corporation plc manufactures and sells engineered power transmission and fluid power solutions in the United States, rest of North America, South America, the United Kingdom, Luxembourg, rest of Europe, the Middle East, Africa, India, East Asia, and Greater China. It operates through two segments, Power Transmission and Fluid Power. The company offers solutions for stationary and mobile drives, … Full GTES analysis →

Competitive advantage assessment

Key strengths

  • Margins Stable Across Cycles Operating margin volatility is low (stability score 0.90), demonstrating pricing resilience across cycles.
  • Strong Liquidity Buffer Liquidity position is strong (score 0.81), providing operational cushion.

Key risks

  • Elevated Debt Risk Debt serviceability is weak (score 0.38), raising refinancing risk.

The dashed ring is the peer median. Defense scores are percentile ranks against peers, so 50 is roughly the typical company in this group.

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Pricing Power

Moderate
73

Where GTES ranks in Specialty Industrial Machinery

Gates Industrial Corporation pl ranks #29 of 82 scored companies in Specialty Industrial Machinery by moat score — the top 35%. The widest moat in the group is Graco Inc. (GGG) at 86/100.

Moat scores for companies ranked near GTES in Specialty Industrial Machinery
# Company Moat score Rating
25 Standex International Corporati SXI 65/100 Moderate
26 Emerson Electric Company EMR 63/100 Moderate
27 Franklin Electric Co., Inc. FELE 63/100 Moderate
28 Xylem Inc. XYL 63/100 Moderate
29 Gates Industrial Corporation pl GTES 61/100 Moderate
30 The Middleby Corporation MIDD 60/100 Moderate
31 Gorman-Rupp Company (The) GRC 60/100 Moderate
32 Power Solutions International, PSIX 60/100 Moderate
33 ZJK Industrial Co., Ltd. ZJK 60/100 Moderate

See every General Corporate company ranked by moat score →

How GTES scores on the Corporate Default defenses

Pricing Power

Score 73 · 20% of the moat score

Pricing power is the ability to raise prices without losing volume.

Cost Advantage

Score 51 · 15% of the moat score

A cost advantage means delivering the same product for structurally less — better purchasing, denser distribution, a more automated process.

Customer Stickiness

Score 62 · 15% of the moat score

Stickiness is what makes revenue repeat without being re-won every year.

Capital Efficiency

Score 61 · 18% of the moat score

Capital efficiency asks what the company earns on the money tied up in the business.

Resilience

Score 55 · 17% of the moat score

Resilience is the capacity to get through a bad year on its own terms — enough liquidity, enough interest cover, and enough cash generation to avoid a rescue financing or a forced sale.

Scale & Market Position

Score 58 · 15% of the moat score

Scale matters only when it converts into economics.

How each Corporate Default defense is measured, in full →

Understanding GTES's moat

What is Gates Industrial Corporation pl's moat score?

Gates Industrial Corporation pl (GTES) scores 60 out of 100 on the StatsAlpha Moat Map, which rates its competitive advantage as moderate. It ranks #29 of 82 scored companies in Specialty Industrial Machinery, the top 35%. The score is a weighted composite of 6 competitive defenses, each measured against industry peers of 81 companies in Specialty Industrial Machinery. Its strongest defense is Pricing Power (73/100) and its weakest is Cost Advantage (51/100).

How does Gates Industrial Corporation pl compare with other Specialty Industrial Machinery companies?

Gates Industrial Corporation pl ranks #29 of 82 scored companies in Specialty Industrial Machinery by moat score. The widest moat in Specialty Industrial Machinery is Graco Inc. (GGG) at 86/100. The companies ranked closest are Xylem Inc. (XYL) at 63 just above it and The Middleby Corporation (MIDD) at 60 just below it.

How is the moat score calculated?

Each company is scored with an industry-specific template — Corporate Default in this case, chosen because the defenses that matter to a bank are not the ones that matter to a software company. Every defense combines several financial signals, and each signal is measured as a percentile against a peer group of 81 companies in Specialty Industrial Machinery. The defenses are then weighted to produce the overall score out of 100.

Why is Gates Industrial Corporation pl scored with the Corporate Default template?

Most public companies sell a product or a service at a margin, so the moat question is whether that margin survives contact with competitors. The Corporate template scores the six defenses that show up in a general operating company's financial signature: whether it can hold price, produce more cheaply than rivals, keep its customers, earn a return above its cost of capital, withstand a downturn, and turn size into economics.

Which competitive defenses are measured for Gates Industrial Corporation pl?

The Corporate Default template measures 6 defenses, and GTES scores: Pricing Power (73), Cost Advantage (51), Customer Stickiness (62), Capital Efficiency (61), Resilience (55), Scale & Market Position (58). Each is scored independently as a percentile against peers, so a company can be strong on one and weak on another — the overall score reflects how those defenses are weighted for this industry.

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