Canadian PhosphateASX:CP8 -25.00%36 Gross Margin % is 48.87% as of Dec. 2025, which is 109% above its 10-year median of 23.34. GuruFocus rates ASX:CP8 with a GF Score™ of 36/100 and a GF Value™ of A$0.03 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 248 Agriculture companies, Canadian Phosphate ranks better than 93.15% on this metric.
The historical rank and industry rank for Canadian Phosphate's Gross Margin % or its related term are showing as below:
ASX:CP8'
s Gross Margin % Range Over the Past 10 Years
Min: 4.45 Med: 23.34 Max: 97.56
Current: 50.61
During the past 12 years, the highestGross Margin % of Canadian Phosphate was 97.56%. The lowest was 4.45%. And the median was 23.34%.
ASX:CP8's Gross Margin % is ranked better than 93.15% of 248
companies
in the Agriculture industry
Industry Median: 24.775
vs ASX:CP8: 50.61
Canadian Phosphate had a gross margin of 48.87% for the quarter that ended in Dec. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Canadian Phosphate was 23.50% per year.
Canadian Phosphate (ASX:CP8) Gross Margin % Explanation
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
Canadian Phosphate had a gross margin of 48.87% 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.
Canadian Phosphate Gross Margin % Related Terms
Canadian Phosphate Gross Margin % Historical Data
* Premium members only.
The historical data trend for Canadian Phosphate'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:CP8 vs CTVA, CF, MOS: Gross Margin % Comparison
For the Agricultural Inputs subindustry, Canadian Phosphate'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.
Canadian Phosphate Gross Margin % vs Agriculture Industry
For the Agriculture industry and Basic Materials sector, Canadian Phosphate's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Canadian Phosphate'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.
Canadian Phosphate (ASX:CP8) has a Gross Margin % of 48.87% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Canadian Phosphate and its competitors. This is 109% above median its historical median of 23.34. Over the past decade, Canadian Phosphate's Gross Margin % has ranged from 4.45 to 97.56. According to the industry distribution chart, Canadian Phosphate ranks #17 out of 248 companies in the Agriculture industry, placing it in the top 6.9%.
Is Canadian Phosphate's Gross Margin % too high?
Canadian Phosphate's current Gross Margin % of 48.87% is 109% above median its 10-year median of 23.34. Over the past 10 years, this metric has ranged from a low of 4.45 to a high of 97.56. The Agriculture industry median Gross Margin % is 24.78. Canadian Phosphate's value of 48.87% is 97.3% above this industry median. Based on the distribution chart, Canadian Phosphate ranks #17 out of 248 companies in the Agriculture industry, which is in the top quartile — a strong position relative to peers. Overall, Canadian Phosphate has a GF Score™ of 36/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Canadian Phosphate's Gross Margin % compare to CTVA and CF?
According to the Agriculture industry distribution chart, Canadian Phosphate ranks #17 out of 248 companies for Gross Margin %. This places Canadian Phosphate in the top 7% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 24.78. Canadian Phosphate's value of 48.87% is 97.3% above this benchmark. Historically, Canadian Phosphate's own Gross Margin % has ranged from 4.45 to 97.56 over the past decade. While the company's 10-year median is 23.34 vs. the industry median of 24.78, Canadian Phosphate 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 an Agriculture company?
The median Gross Margin % among Agriculture companies is 24.78, based on 248 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. Canadian Phosphate's current Gross Margin % of 48.87% is 97.3% 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 Canadian Phosphate and its competitors. For the Agriculture industry, the median Gross Margin % is 24.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Canadian Phosphate's current Gross Margin % is 48.87%, which is 109% above median its own 10-year median of 23.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Canadian Phosphate stock overvalued right now?
Based on GuruFocus' analysis, Canadian Phosphate (ASX:CP8) is currently considered Significantly Overvalued. The stock's GF Value™ is A$0.03, compared to a current price of A$0.12 — trading 300% above its estimated fair value. The current Gross Margin % is 48.87%, which is 109% above median its 10-year median of 23.34 and 97.3% above the Agriculture industry median of 24.78. Canadian Phosphate's overall GF Score™ is 36/100 with 3 warning signs to review. 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 Canadian Phosphate (ASX:CP8), the current Gross Margin % is 48.87% 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.
Is Canadian Phosphate (ASX:CP8) Overvalued in 2026?
Based on GuruFocus' analysis, Canadian Phosphate stock appears to be overvalued.
The current stock price of A$0.12 is trading 300% above its estimated GF Value™ of A$0.03.
GuruFocus considers Canadian Phosphate to be Significantly Overvalued.
Key valuation signals for ASX:CP8:
Gross Margin %: 48.87% (109% above median its 10-year median of 23.34)
GF Value™: A$0.03 vs. price of A$0.12 (300% above fair value)
Industry Position: 97.3% above the Agriculture median (#17 of 248)
No single metric tells the full story. See the ASX:CP8 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Canadian Phosphate Ltd is a miner, manufacturer, and distributor of rock phosphate fertilizer, focused on advancing its Wapiti and Fernie sedimentary rock phosphate projects in British Columbia, Canada. The company is organised into two operating segments based on geographical location, being Australian and North American operations. A majority of its revenue is generated from its North American operations, through the sale of phosphate fertilizers.
36GF Score
Get the complete analysis for ASX:CP8
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ASX:CP8 has been successfully added to your 
