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Microware GroupHKSE:01985 +3.13%60 FCF Margin % is 18.68% as of Mar. 2026, which is 405% above its 10-year median of 3.70. GuruFocus rates HKSE:01985 with a GF Score™ of 60/100 and a GF Value™ of HK$1.15 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 2,821 Software companies, Microware Group ranks worse than 54.63% on this metric.
The historical data trend for Microware Group's FCF 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.
HKSE:01985 vs IBM, ACN, FISV: FCF Margin % Comparison
For the Information Technology Services subindustry, Microware Group's FCF Margin %, along with its competitors' market caps and FCF 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.
Microware Group FCF Margin % vs Software Industry
For the Software industry and Technology sector, Microware Group's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Microware Group's FCF 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.
Microware Group (HKSE:01985) has a FCF Margin % of 18.68% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Microware Group and its competitors. This is 405% above median its historical median of 3.70. According to the industry distribution chart, Microware Group ranks #1541 out of 2821 companies in the Software industry, placing it in the top 54.6%.
Is Microware Group's FCF Margin % too high?
Microware Group's current FCF Margin % of 18.68% is 405% above median its 10-year median of 3.70. The Software industry median FCF Margin % is 2.30. Microware Group's value of 18.68% is 712.2% above this industry median. Based on the distribution chart, Microware Group ranks #1541 out of 2821 companies in the Software industry, which is below the industry midpoint. Overall, Microware Group has a GF Score™ of 60/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Microware Group's FCF Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Microware Group ranks #1541 out of 2821 companies for FCF Margin %. This places Microware Group in the lower half of its industry. The industry median FCF Margin % is 2.30. Microware Group's value of 18.68% is 712.2% above this benchmark. While the company's 10-year median is 3.70 vs. the industry median of 2.30, Microware Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Software company?
The median FCF Margin % among Software companies is 2.30, based on 2,821 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Microware Group's current FCF Margin % of 18.68% is 712.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Microware Group and its competitors. For the Software industry, the median FCF Margin % is 2.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Microware Group's current FCF Margin % is 18.68%, which is 405% above median its own 10-year median of 3.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Microware Group stock overvalued right now?
Based on GuruFocus' analysis, Microware Group (HKSE:01985) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$1.15, compared to a current price of HK$2.97 — trading 158.3% above its estimated fair value. The current FCF Margin % is 18.68%, which is 405% above median its 10-year median of 3.70 and 712.2% above the Software industry median of 2.30. Microware Group's overall GF Score™ is 60/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Microware Group (HKSE:01985), the current FCF Margin % is 18.68% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Microware Group (HKSE:01985) Overvalued in 2026?
Based on GuruFocus' analysis, Microware Group stock appears to be overvalued.
The current stock price of HK$2.97 is trading 158.3% above its estimated GF Value™ of HK$1.15.
GuruFocus considers Microware Group to be Significantly Overvalued.
Key valuation signals for HKSE:01985:
FCF Margin %: 18.68% (405% above median its 10-year median of 3.70)
GF Value™: HK$1.15 vs. price of HK$2.97 (158.3% above fair value)
Industry Position: 712.2% above the Software median (#1541 of 2821)
No single metric tells the full story. See the HKSE:01985 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Microware Group Ltd is an investment holding company. The company is principally engaged in the provision of IT infrastructure solutions services and IT managed services in Hong Kong. The group strives to provide one-stop IT experience that begins with consultation and advice; semiconductor products, hardware and/or software procurement; implementation; and management and maintenance of the IT infrastructure solutions. Its operating segment includes IT infrastructure solution services business; and IT managed services business of which the majority of revenue is derived from IT infrastructure solution services business. Its revenue is derived from its operation in Hong Kong.
60GF Score
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