Nine Entertainment Co. Holdings (ASX:NEC) 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
Nine Entertainment Co. Holdings had a gross margin of N/A% for the quarter that ended in Dec. 2025 => No sustainable 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.
Nine Entertainment Co. Holdings Gross Margin % Related Terms
Nine Entertainment Co. Holdings Gross Margin % Historical Data
* 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.
Nine Entertainment Co. Holdings Gross Margin % Chart
ASX:NEC vs NFLX, DIS, WBD: Gross Margin % Comparison
For the Entertainment subindustry, Nine Entertainment Co. Holdings'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.
Nine Entertainment Co. Holdings Gross Margin % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Nine Entertainment Co. Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Nine Entertainment Co. Holdings'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.
Nine Entertainment Co. Holdings (ASX:NEC) has a Gross Margin % of 0.00% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Nine Entertainment Co. Holdings and its competitors. Over the past decade, Nine Entertainment Co. Holdings' Gross Margin % has ranged from 17.16 to 44.71. According to the industry distribution chart, Nine Entertainment Co. Holdings ranks #599 out of 953 companies in the Media - Diversified industry, placing it in the top 62.9%.
Is Nine Entertainment Co. Holdings' Gross Margin % too high?
Nine Entertainment Co. Holdings' current Gross Margin % is 0.00%. Over the past 10 years, this metric has ranged from a low of 17.16 to a high of 44.71. Based on the distribution chart, Nine Entertainment Co. Holdings ranks #599 out of 953 companies in the Media - Diversified industry, which is below the industry midpoint. Overall, Nine Entertainment Co. Holdings has a GF Score™ of 73/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Nine Entertainment Co. Holdings' Gross Margin % compare to NFLX and DIS?
According to the Media - Diversified industry distribution chart, Nine Entertainment Co. Holdings ranks #599 out of 953 companies for Gross Margin %. This places Nine Entertainment Co. Holdings in the lower half of its industry. The industry median Gross Margin % is 38.90. Historically, Nine Entertainment Co. Holdings' own Gross Margin % has ranged from 17.16 to 44.71 over the past decade. 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 Media - Diversified company?
The median Gross Margin % among Media - Diversified companies is 38.90, based on 953 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. 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 Nine Entertainment Co. Holdings and its competitors. For the Media - Diversified industry, the median Gross Margin % is 38.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nine Entertainment Co. Holdings's current Gross Margin % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nine Entertainment Co. Holdings stock overvalued right now?
Based on GuruFocus' analysis, Nine Entertainment Co. Holdings (ASX:NEC) is currently considered Possible Value Trap. The stock's GF Value™ is A$1.34, compared to a current price of A$0.88 — trading 34.3% below its estimated fair value. The current Gross Margin % is 0.00%. Nine Entertainment Co. Holdings' overall GF Score™ is 73/100 with 6 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 Nine Entertainment Co. Holdings (ASX:NEC), the current Gross Margin % is 0.00% 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 Nine Entertainment Co. Holdings (ASX:NEC) Overvalued in 2026?
Based on GuruFocus' analysis, Nine Entertainment Co. Holdings stock appears to be undervalued.
The current stock price of A$0.88 is trading 34.3% below its estimated GF Value™ of A$1.34.
GuruFocus considers Nine Entertainment Co. Holdings to be Possible Value Trap.
Key valuation signals for ASX:NEC:
Gross Margin %: 0.00%
GF Value™: A$1.34 vs. price of A$0.88 (34.3% below fair value)
No single metric tells the full story. See the ASX:NEC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nine Entertainment Co. Holdings Business Description
Nine Entertainment is the largest media conglomerate in Australia. It operates Nine Network, a free-to-air TV network across five capital cities, as well as in a number of regional areas. It owns 9Now, a leading broadcast video on demand, or BVOD, business. Its publishing unit is the second-largest newspaper group in Australia with key mastheads such as Australian Financial Review, Sydney Morning Herald, and The Age. Nine also operates a leading domestic-owned subscription video on demand, or SVOD, business in Australia called Stan, and a talk-based radio network. In March 2026, Nine completed the purchase of outdoor advertising entity QMS Media for AUD 850 million.
73GF Score
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