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
Goldfine Manufacturers had a gross margin of 22.78% for the quarter that ended in Sep. 2014 => Competition eroding margins
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.
Goldfine Manufacturers Gross Margin % Related Terms
Goldfine Manufacturers Gross Margin % Historical Data
* Premium members only.
The historical data trend for Goldfine Manufacturers'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 Luxury Goods subindustry, Goldfine Manufacturers'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.
Goldfine Manufacturers Gross Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Goldfine Manufacturers's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Goldfine Manufacturers'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.
Goldfine Manufacturers (BKK:GFM-R) has a Gross Margin % of 22.78% as of Sep. 2014. Gross margin is the ratio of total gross profit to net sales. View historical data on Goldfine Manufacturers and its competitors. This is near median its historical median of 24.98. Over the past decade, Goldfine Manufacturers' Gross Margin % has ranged from 22.41 to 33.03.
Is Goldfine Manufacturers' Gross Margin % too high?
Goldfine Manufacturers' current Gross Margin % of 22.78% is near median its 10-year median of 24.98. Over the past 10 years, this metric has ranged from a low of 22.41 to a high of 33.03. The Retail - Cyclical industry median Gross Margin % is 36.25. Goldfine Manufacturers' value of 22.78% is 37.2% below this industry median.
How does Goldfine Manufacturers' Gross Margin % compare to competitors?
Goldfine Manufacturers' Gross Margin % of 22.78% can be compared against companies in the Retail - Cyclical industry. The industry median Gross Margin % is 36.25. Goldfine Manufacturers' value of 22.78% is 37.2% below this benchmark. Historically, Goldfine Manufacturers' own Gross Margin % has ranged from 22.41 to 33.03 over the past decade. While the company's 10-year median is 24.98 vs. the industry median of 36.25, Goldfine Manufacturers 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 Retail - Cyclical company?
The median Gross Margin % among Retail - Cyclical companies is 36.25, based on 1,117 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. Goldfine Manufacturers's current Gross Margin % of 22.78% is 37.2% 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 Goldfine Manufacturers and its competitors. For the Retail - Cyclical industry, the median Gross Margin % is 36.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Goldfine Manufacturers's current Gross Margin % is 22.78%, which is near median its own 10-year median of 24.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Goldfine Manufacturers stock overvalued right now?
Goldfine Manufacturers (BKK:GFM-R) has a current Gross Margin % of 22.78%. The current Gross Margin % is 22.78%, which is near median its 10-year median of 24.98 and 37.2% below the Retail - Cyclical industry median of 36.25. 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 Goldfine Manufacturers (BKK:GFM-R), the current Gross Margin % is 22.78% as of Sep. 2014. 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.
Goldfine Manufacturers Public Company Limited was incorporated on 26 September 1989 in Thailand. The Company is a manufacturer, importer and exporter of ornaments and jewelries. It manufactures and exports gold, silver, platinum jewelry sets with diamonds, precious stones, semi-precious stones and others.
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