Grand Pharmaceutical GroupCGPHF 87 Gross Margin % is 51.49% as of Dec. 2025, which is 13% below its 10-year median of 59.45. GuruFocus rates CGPHF with a GF Score™ of 87/100. The stock has 6 warning signs investors should review. Among 938 Drug Manufacturers companies, Grand Pharmaceutical Group ranks better than 61.41% on this metric.
Grand Pharmaceutical Group (OTCPK:CGPHF) 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
Grand Pharmaceutical Group had a gross margin of 51.49% 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.
Grand Pharmaceutical Group Gross Margin % Related Terms
Grand Pharmaceutical Group 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.
For the Drug Manufacturers - Specialty & Generic subindustry, Grand Pharmaceutical 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.
Grand Pharmaceutical Group Gross Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Grand Pharmaceutical Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Grand Pharmaceutical Group'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.
Grand Pharmaceutical Group (CGPHF) has a Gross Margin % of 51.49% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Grand Pharmaceutical Group and its competitors. This is 13% below median its historical median of 59.45. Over the past decade, Grand Pharmaceutical Group's Gross Margin % has ranged from 46.87 to 63.52. According to the industry distribution chart, Grand Pharmaceutical Group ranks #362 out of 938 companies in the Drug Manufacturers industry, placing it in the top 38.6%.
Is Grand Pharmaceutical Group's Gross Margin % too high?
Grand Pharmaceutical Group's current Gross Margin % of 51.49% is 13% below median its 10-year median of 59.45. Over the past 10 years, this metric has ranged from a low of 46.87 to a high of 63.52. The Drug Manufacturers industry median Gross Margin % is 48.44. Grand Pharmaceutical Group's value of 51.49% is 6.3% above this industry median. Based on the distribution chart, Grand Pharmaceutical Group ranks #362 out of 938 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Grand Pharmaceutical Group has a GF Score™ of 87/100, reflecting its overall financial health beyond just this single metric.
How does Grand Pharmaceutical Group's Gross Margin % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Grand Pharmaceutical Group ranks #362 out of 938 companies for Gross Margin %. This puts Grand Pharmaceutical Group in the upper half of its industry. The industry median Gross Margin % is 48.44. Grand Pharmaceutical Group's value of 51.49% is 6.3% above this benchmark. Historically, Grand Pharmaceutical Group's own Gross Margin % has ranged from 46.87 to 63.52 over the past decade. While the company's 10-year median is 59.45 vs. the industry median of 48.44, Grand Pharmaceutical Group 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 Drug Manufacturers company?
The median Gross Margin % among Drug Manufacturers companies is 48.44, based on 938 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. Grand Pharmaceutical Group's current Gross Margin % of 51.49% is 6.3% 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 Grand Pharmaceutical Group and its competitors. For the Drug Manufacturers industry, the median Gross Margin % is 48.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Grand Pharmaceutical Group's current Gross Margin % is 51.49%, which is 13% below median its own 10-year median of 59.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Grand Pharmaceutical Group stock overvalued right now?
Grand Pharmaceutical Group (CGPHF) has a current Gross Margin % of 51.49%. The current Gross Margin % is 51.49%, which is 13% below median its 10-year median of 59.45 and 6.3% above the Drug Manufacturers industry median of 48.44. Grand Pharmaceutical Group's overall GF Score™ is 87/100 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 Grand Pharmaceutical Group (CGPHF), the current Gross Margin % is 51.49% 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.
Grand Pharmaceutical Group Ltd are principally engaged in the manufacture and sales of pharmaceutical technology products, manufacture and sales of bio-technology products as well as manufacture and sales of nuclear medicine anti-tumor diagnosis and treatment and cerebro-cardiovascular precision interventional diagnosis and treatment technology products, in the People's Republic of China. The operation of the group constitutes one single reportable segment. The company has presence in The PRC, America, Europe, Asia other than the PRC and Others. The majority of revenue comes from the PRC. Its brands are breathe, biology, Cardiovascular emergency care, Cardiovascular intervention, ENT, tumor.
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