Sandfire ResourcesASX:SFR -0.42%86 Gross Margin % is 98.77% as of Dec. 2025, which is 1% below its 10-year median of 100.11. GuruFocus rates ASX:SFR with a GF Score™ of 86/100 and a GF Value™ of A$14.53 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 730 Metals & Mining companies, Sandfire Resources ranks better than 99.04% 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
Sandfire Resources had a gross margin of 98.77% 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.
Sandfire Resources Gross Margin % Related Terms
Sandfire Resources Gross Margin % Historical Data
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The historical data trend for Sandfire Resources'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 Copper subindustry, Sandfire Resources'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.
Sandfire Resources Gross Margin % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Sandfire Resources's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Sandfire Resources'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.
Sandfire Resources (ASX:SFR) has a Gross Margin % of 98.77% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Sandfire Resources and its competitors. This is near median its historical median of 100.11. Over the past decade, Sandfire Resources' Gross Margin % has ranged from 75.64 to 101.87. According to the industry distribution chart, Sandfire Resources ranks #7 out of 730 companies in the Metals & Mining industry, placing it in the top 1%.
Is Sandfire Resources' Gross Margin % too high?
Sandfire Resources' current Gross Margin % of 98.77% is near median its 10-year median of 100.11. Over the past 10 years, this metric has ranged from a low of 75.64 to a high of 101.87. The Metals & Mining industry median Gross Margin % is 26.18. Sandfire Resources' value of 98.77% is 277.3% above this industry median. Based on the distribution chart, Sandfire Resources ranks #7 out of 730 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, Sandfire Resources has a GF Score™ of 86/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sandfire Resources' Gross Margin % compare to SCCO and FCX?
According to the Metals & Mining industry distribution chart, Sandfire Resources ranks #7 out of 730 companies for Gross Margin %. This places Sandfire Resources in the top 1% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 26.18. Sandfire Resources' value of 98.77% is 277.3% above this benchmark. Historically, Sandfire Resources' own Gross Margin % has ranged from 75.64 to 101.87 over the past decade. While the company's 10-year median is 100.11 vs. the industry median of 26.18, Sandfire Resources 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 Metals & Mining company?
The median Gross Margin % among Metals & Mining companies is 26.18, 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. Sandfire Resources's current Gross Margin % of 98.77% is 277.3% 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 Sandfire Resources and its competitors. For the Metals & Mining industry, the median Gross Margin % is 26.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sandfire Resources's current Gross Margin % is 98.77%, which is near median its own 10-year median of 100.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sandfire Resources stock overvalued right now?
Based on GuruFocus' analysis, Sandfire Resources (ASX:SFR) is currently considered Modestly Overvalued. The stock's GF Value™ is A$14.53, compared to a current price of A$18.89 — trading 30% above its estimated fair value. The current Gross Margin % is 98.77%, which is near median its 10-year median of 100.11 and 277.3% above the Metals & Mining industry median of 26.18. Sandfire Resources' overall GF Score™ is 86/100 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 Sandfire Resources (ASX:SFR), the current Gross Margin % is 98.77% 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 Sandfire Resources (ASX:SFR) Overvalued in 2026?
Based on GuruFocus' analysis, Sandfire Resources stock appears to be overvalued.
The current stock price of A$18.89 is trading 30% above its estimated GF Value™ of A$14.53.
GuruFocus considers Sandfire Resources to be Modestly Overvalued.
Key valuation signals for ASX:SFR:
Gross Margin %: 98.77% (near median its 10-year median of 100.11)
GF Value™: A$14.53 vs. price of A$18.89 (30% above fair value)
Industry Position: 277.3% above the Metals & Mining median (#7 of 730)
No single metric tells the full story. See the ASX:SFR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sandfire Resources Ltd is a copper-focused mineral exploration and development company. The company's operating segments include DeGrussa Copper operations, MATSA Copper Operations, Black Butte Copper Project, Motheo Copper Operations, and Exploration and Other. It derives key revenue from the MATSA Copper Operations segment, which consists of the Minas de Aguas Tenidas (MATSA) polymetallic mining complex in Spain and exploration and evaluation activities in Spain and Portugal. The operations comprise three underground mines and a central processing facility. The mines generate revenue from the sale of copper, zinc, and lead concentrates containing a silver by-product. Geographically, the company generates maximum revenue from Spain, followed by China, Sweden, Malaysia, and other regions.
86GF Score
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