Avecho BiotechnologyASX:AVE Gross Margin % is 72.91% as of Dec. 2025, which is 7% above its 10-year median of 67.98. The stock has 2 warning signs investors should review. Among 730 Biotechnology companies, Avecho Biotechnology ranks better than 62.05% on this metric.
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
Avecho Biotechnology had a gross margin of 72.91% for the quarter that ended in Dec. 2025 => Durable competitive advantage
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.
Avecho Biotechnology Gross Margin % Related Terms
Avecho Biotechnology Gross Margin % Historical Data
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The historical data trend for Avecho Biotechnology'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.
ASX:AVE vs VRTX, REGN, ALNY: Gross Margin % Comparison
For the Biotechnology subindustry, Avecho Biotechnology'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.
Avecho Biotechnology Gross Margin % vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Avecho Biotechnology's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Avecho Biotechnology'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.
Avecho Biotechnology (ASX:AVE) has a Gross Margin % of 72.91% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Avecho Biotechnology and its competitors. This is near median its historical median of 67.98. According to the industry distribution chart, Avecho Biotechnology ranks #277 out of 730 companies in the Biotechnology industry, placing it in the top 37.9%.
Is Avecho Biotechnology's Gross Margin % too high?
Avecho Biotechnology's current Gross Margin % of 72.91% is near median its 10-year median of 67.98. The Biotechnology industry median Gross Margin % is 60.91. Avecho Biotechnology's value of 72.91% is 19.7% above this industry median. Based on the distribution chart, Avecho Biotechnology ranks #277 out of 730 companies in the Biotechnology industry, which is above the industry midpoint.
How does Avecho Biotechnology's Gross Margin % compare to VRTX and REGN?
According to the Biotechnology industry distribution chart, Avecho Biotechnology ranks #277 out of 730 companies for Gross Margin %. This puts Avecho Biotechnology in the upper half of its industry. The industry median Gross Margin % is 60.91. Avecho Biotechnology's value of 72.91% is 19.7% above this benchmark. While the company's 10-year median is 67.98 vs. the industry median of 60.91, Avecho Biotechnology 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 Gross Margin % for a Biotechnology company?
The median Gross Margin % among Biotechnology companies is 60.91, based on 730 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Avecho Biotechnology's current Gross Margin % of 72.91% is 19.7% 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 Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Avecho Biotechnology and its competitors. For the Biotechnology industry, the median Gross Margin % is 60.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Avecho Biotechnology's current Gross Margin % is 72.91%, which is near median its own 10-year median of 67.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Avecho Biotechnology stock overvalued right now?
Avecho Biotechnology (ASX:AVE) has a current Gross Margin % of 72.91%. The current Gross Margin % is 72.91%, which is near median its 10-year median of 67.98 and 19.7% above the Biotechnology industry median of 60.91. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Avecho Biotechnology (ASX:AVE), the current Gross Margin % is 72.91% as of Dec. 2025. 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.
Avecho Biotechnology Ltd is a research-based biotechnology company engaged in the development, production, sales, and licensing of products incorporating its patented platform technology Tocopheryl Phosphate Mixture (TPM), for the pharmaceutical, skincare, and animal health and nutrition industries. Its segments include Production, Human Health, and other segments. The Production segment, which is the key revenue driver, manufactures and sells TPM and Vital ET for use in drug delivery and cosmetic formulations. The Human Health segment's portfolio covers the delivery of drugs through gels, injectables, and patches, including the conduct of research and development activities. It focuses on the development of patches, including TPM/Oxymorphone and TPM/Oxycodone.
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