PWR HoldingsASX:PWH -1.87%95 Gross Margin % is 77.36% as of Dec. 2025, which is 2% below its 10-year median of 78.81. GuruFocus rates ASX:PWH with a GF Score™ of 95/100 and a GF Value™ of A$12.68 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 1,313 Vehicles & Parts companies, PWR Holdings ranks better than 99.39% on this metric.
The historical rank and industry rank for PWR Holdings's Gross Margin % or its related term are showing as below:
ASX:PWH'
s Gross Margin % Range Over the Past 10 Years
Min: 75.74 Med: 78.81 Max: 80.62
Current: 78.33
During the past 10 years, the highestGross Margin % of PWR Holdings was 80.62%. The lowest was 75.74%. And the median was 78.81%.
ASX:PWH's Gross Margin % is ranked better than 99.39% of 1313
companies
in the Vehicles & Parts industry
Industry Median: 19.84
vs ASX:PWH: 78.33
PWR Holdings had a gross margin of 77.36% for the quarter that ended in Dec. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for PWR Holdings was 0.40% per year.
PWR Holdings (ASX:PWH) 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
PWR Holdings had a gross margin of 77.36% 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.
PWR Holdings Gross Margin % Related Terms
PWR Holdings Gross Margin % Historical Data
* Premium members only.
The historical data trend for PWR Holdings'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.
For the Auto Parts subindustry, PWR 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.
PWR Holdings Gross Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, PWR Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where PWR 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.
PWR Holdings (ASX:PWH) has a Gross Margin % of 77.36% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on PWR Holdings and its competitors. This is near median its historical median of 78.81. Over the past decade, PWR Holdings' Gross Margin % has ranged from 75.74 to 80.62. According to the industry distribution chart, PWR Holdings ranks #8 out of 1313 companies in the Vehicles & Parts industry, placing it in the top 0.59999999999999%.
Is PWR Holdings' Gross Margin % too high?
PWR Holdings' current Gross Margin % of 77.36% is near median its 10-year median of 78.81. Over the past 10 years, this metric has ranged from a low of 75.74 to a high of 80.62. The Vehicles & Parts industry median Gross Margin % is 19.84. PWR Holdings' value of 77.36% is 289.9% above this industry median. Based on the distribution chart, PWR Holdings ranks #8 out of 1313 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, PWR Holdings has a GF Score™ of 95/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does PWR Holdings' Gross Margin % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, PWR Holdings ranks #8 out of 1313 companies for Gross Margin %. This places PWR Holdings in the top 1% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 19.84. PWR Holdings' value of 77.36% is 289.9% above this benchmark. Historically, PWR Holdings' own Gross Margin % has ranged from 75.74 to 80.62 over the past decade. While the company's 10-year median is 78.81 vs. the industry median of 19.84, PWR Holdings 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 Vehicles & Parts company?
The median Gross Margin % among Vehicles & Parts companies is 19.84, based on 1,313 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. PWR Holdings's current Gross Margin % of 77.36% is 289.9% 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 PWR Holdings and its competitors. For the Vehicles & Parts industry, the median Gross Margin % is 19.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PWR Holdings's current Gross Margin % is 77.36%, which is near median its own 10-year median of 78.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PWR Holdings stock overvalued right now?
Based on GuruFocus' analysis, PWR Holdings (ASX:PWH) is currently considered Possible Value Trap. The stock's GF Value™ is A$12.68, compared to a current price of A$7.87 — trading 37.9% below its estimated fair value. The current Gross Margin % is 77.36%, which is near median its 10-year median of 78.81 and 289.9% above the Vehicles & Parts industry median of 19.84. PWR Holdings' overall GF Score™ is 95/100 with 7 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 PWR Holdings (ASX:PWH), the current Gross Margin % is 77.36% 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 PWR Holdings (ASX:PWH) Overvalued in 2026?
Based on GuruFocus' analysis, PWR Holdings stock appears to be undervalued.
The current stock price of A$7.87 is trading 37.9% below its estimated GF Value™ of A$12.68.
GuruFocus considers PWR Holdings to be Possible Value Trap.
Key valuation signals for ASX:PWH:
Gross Margin %: 77.36% (near median its 10-year median of 78.81)
GF Value™: A$12.68 vs. price of A$7.87 (37.9% below fair value)
Industry Position: 289.9% above the Vehicles & Parts median (#8 of 1313)
No single metric tells the full story. See the ASX:PWH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PWR Holdings is a designer, manufacturer, and supplier of cooling solutions for motorsports and the performance automotive industry. PWR produces aluminum radiators, intercoolers, heat exchangers, oil coolers, and other cooling accessories for motorsports, performance automotive original equipment manufacturers, the automotive aftermarket, and aerospace and defense sectors. The motorsports segment generates the majority of revenue, while OEM and aftermarket constitute over a third of the income stream. PWR's products are primarily sold in North America and Europe.
95GF Score
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