BGM (BGM Group) Gross Margin %: 16.10% (As of Sep. 2025) — Near Median

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BGM BGM Group Ltd BGM
35 GF Score
Price $0.29
GF Value $0.26
Valuation Modestly Overvalued
! 7 Warning Signs
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What is BGM Group Gross Margin %?

BGM Group BGM -0.10% 35 Gross Margin % is 16.10% as of Sep. 2025, which is 7% above its 10-year median of 15.07. GuruFocus rates BGM with a GF Score™ of 35/100 and a GF Value™ of $0.26 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 942 Drug Manufacturers companies, BGM Group ranks worse than 92.68% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. BGM Group's Gross Profit for the six months ended in Sep. 2025 was $3.80 Mil. BGM Group's Revenue for the six months ended in Sep. 2025 was $23.61 Mil. Therefore, BGM Group's Gross Margin % for the quarter that ended in Sep. 2025 was 16.10%.


The historical rank and industry rank for BGM Group's Gross Margin % or its related term are showing as below:

BGM' s Gross Margin % Range Over the Past 10 Years
Min: 3.77   Med: 15.07   Max: 21
Current: 16.64


During the past 9 years, the highest Gross Margin % of BGM Group was 21.00%. The lowest was 3.77%. And the median was 15.07%.

BGM's Gross Margin % is ranked worse than
92.68% of 942 companies
in the Drug Manufacturers industry
Industry Median: 48.54 vs BGM: 16.64

BGM Group had a gross margin of 16.10% for the quarter that ended in Sep. 2025 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for BGM Group was 3.10% per year.


BGM Group  (NAS:BGM) 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

BGM Group had a gross margin of 16.10% for the quarter that ended in Sep. 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.


BGM Group Gross Margin % Related Terms


BGM Group Gross Margin % Historical Data

* Premium members only.

The historical data trend for BGM Group'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.

BGM Group Gross Margin % Chart

BGM Group Annual Data
Trend Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only 9.88 9.60 3.77 16.40 16.64

BGM Group Semi-Annual Data
Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -3.14 11.26 21.55 17.55 16.10

BGM vs CPIX, ADCT, ZYBT: Gross Margin % Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, BGM Group'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.


BGM Group Gross Margin % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, BGM Group's Gross Margin % distribution charts can be found below:

* The bar in red indicates where BGM Group's Gross Margin % falls into.


BGM
35GF Score
BGM Group Ltd BGM
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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BGM Group Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

BGM Group's Gross Margin for the fiscal year that ended in Sep. 2025 is calculated as

Gross Margin % (A: Sep. 2025 )=Gross Profit (A: Sep. 2025 ) / Revenue (A: Sep. 2025 )
=6.3 / 37.919
=(Revenue - Cost of Goods Sold) / Revenue
=(37.919 - 31.608) / 37.919
=16.64 %

BGM Group's Gross Margin for the quarter that ended in Sep. 2025 is calculated as


Gross Margin % (Q: Sep. 2025 )=Gross Profit (Q: Sep. 2025 ) / Revenue (Q: Sep. 2025 )
=3.8 / 23.608
=(Revenue - Cost of Goods Sold) / Revenue
=(23.608 - 19.808) / 23.608
=16.10 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 16.10% mean?
BGM Group (BGM) has a Gross Margin % of 16.10% as of Sep. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on BGM Group and its competitors. This is near median its historical median of 15.07. Over the past decade, BGM Group's Gross Margin % has ranged from 3.77 to 21.00. According to the industry distribution chart, BGM Group ranks #873 out of 942 companies in the Drug Manufacturers industry, placing it in the top 92.7%.
Is BGM Group's Gross Margin % too high?
BGM Group's current Gross Margin % of 16.10% is near median its 10-year median of 15.07. Over the past 10 years, this metric has ranged from a low of 3.77 to a high of 21.00. The Drug Manufacturers industry median Gross Margin % is 48.54. BGM Group's value of 16.10% is 66.8% below this industry median. Based on the distribution chart, BGM Group ranks #873 out of 942 companies in the Drug Manufacturers industry, which is in the bottom quartile relative to peers. Overall, BGM Group has a GF Score™ of 35/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does BGM Group's Gross Margin % compare to CPIX and ADCT?
According to the Drug Manufacturers industry distribution chart, BGM Group ranks #873 out of 942 companies for Gross Margin %. This places BGM Group in the lower half of its industry. The industry median Gross Margin % is 48.54. BGM Group's value of 16.10% is 66.8% below this benchmark. Historically, BGM Group's own Gross Margin % has ranged from 3.77 to 21.00 over the past decade. While the company's 10-year median is 15.07 vs. the industry median of 48.54, BGM Group has consistently been below 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 Drug Manufacturers company?
The median Gross Margin % among Drug Manufacturers companies is 48.54, based on 942 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. BGM Group's current Gross Margin % of 16.10% is 66.8% below 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 BGM Group and its competitors. For the Drug Manufacturers industry, the median Gross Margin % is 48.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. BGM Group's current Gross Margin % is 16.10%, which is near median its own 10-year median of 15.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BGM Group stock overvalued right now?
Based on GuruFocus' analysis, BGM Group (BGM) is currently considered Modestly Overvalued. The stock's GF Value™ is $0.26, compared to a current price of $0.29 — trading 13.3% above its estimated fair value. The current Gross Margin % is 16.10%, which is near median its 10-year median of 15.07 and 66.8% below the Drug Manufacturers industry median of 48.54. BGM Group's overall GF Score™ is 35/100 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 BGM Group (BGM), the current Gross Margin % is 16.10% as of Sep. 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 BGM Group (BGM) Overvalued in 2026?

Based on GuruFocus' analysis, BGM Group stock appears to be overvalued. The current stock price of $0.29 is trading 13.3% above its estimated GF Value™ of $0.26. GuruFocus considers BGM Group to be Modestly Overvalued.

Key valuation signals for BGM:

  • Gross Margin %: 16.10% (near median its 10-year median of 15.07)
  • GF Value™: $0.26 vs. price of $0.29 (13.3% above fair value)
  • GF Score™: 35/100 with 7 warning signs
  • Industry Position: 66.8% below the Drug Manufacturers median (#873 of 942)

No single metric tells the full story. See the BGM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


BGM Group Business Description

Address No. 152 Hongliang East 1st Street No. 1703, Tianfu New District, Chengdu, CHN, 610200
BGM Group Ltd is a biopharmaceuticals, bio-extraction, and medical health business. Its product range includes oxytetracycline APIs, licorice preparations, and crude heparin sodium. Maximum revenue is from Oxytetracycline & Licorice and TCMD, followed by Heparin products and Sausage casing.
35GF Score

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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$0.29
Price
$0.26
GF Value