ALEC Holdings PJSCDFM:ALEC -0.65%33 Gross Margin % is 10.86% as of Dec. 2025, which is 4% above its 10-year median of 10.41. GuruFocus rates DFM:ALEC with a GF Score™ of 33/100. The stock has 2 warning signs investors should review. Among 1,724 Construction companies, ALEC Holdings PJSC ranks worse than 79.29% 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
ALEC Holdings PJSC had a gross margin of 10.86% for the quarter that ended in Dec. 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.
ALEC Holdings PJSC Gross Margin % Related Terms
ALEC Holdings PJSC Gross Margin % Historical Data
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The historical data trend for ALEC Holdings PJSC'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.
DFM:ALEC vs PWR, FIX, EME: Gross Margin % Comparison
For the Engineering & Construction subindustry, ALEC Holdings PJSC'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.
ALEC Holdings PJSC Gross Margin % vs Construction Industry
For the Construction industry and Industrials sector, ALEC Holdings PJSC's Gross Margin % distribution charts can be found below:
* The bar in red indicates where ALEC Holdings PJSC'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.
ALEC Holdings PJSC (DFM:ALEC) has a Gross Margin % of 10.86% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on ALEC Holdings PJSC and its competitors. This is near median its historical median of 10.41. Over the past decade, ALEC Holdings PJSC's Gross Margin % has ranged from 10.09 to 10.85. According to the industry distribution chart, ALEC Holdings PJSC ranks #1367 out of 1724 companies in the Construction industry, placing it in the top 79.3%.
Is ALEC Holdings PJSC's Gross Margin % too high?
ALEC Holdings PJSC's current Gross Margin % of 10.86% is near median its 10-year median of 10.41. Over the past 10 years, this metric has ranged from a low of 10.09 to a high of 10.85. The Construction industry median Gross Margin % is 20.71. ALEC Holdings PJSC's value of 10.86% is 47.5% below this industry median. Based on the distribution chart, ALEC Holdings PJSC ranks #1367 out of 1724 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, ALEC Holdings PJSC has a GF Score™ of 33/100, reflecting its overall financial health beyond just this single metric.
How does ALEC Holdings PJSC's Gross Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, ALEC Holdings PJSC ranks #1367 out of 1724 companies for Gross Margin %. This places ALEC Holdings PJSC in the lower half of its industry. The industry median Gross Margin % is 20.71. ALEC Holdings PJSC's value of 10.86% is 47.5% below this benchmark. Historically, ALEC Holdings PJSC's own Gross Margin % has ranged from 10.09 to 10.85 over the past decade. While the company's 10-year median is 10.41 vs. the industry median of 20.71, ALEC Holdings PJSC 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 Construction company?
The median Gross Margin % among Construction companies is 20.71, based on 1,724 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. ALEC Holdings PJSC's current Gross Margin % of 10.86% is 47.5% 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 ALEC Holdings PJSC and its competitors. For the Construction industry, the median Gross Margin % is 20.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ALEC Holdings PJSC's current Gross Margin % is 10.86%, which is near median its own 10-year median of 10.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ALEC Holdings PJSC stock overvalued right now?
ALEC Holdings PJSC (DFM:ALEC) has a current Gross Margin % of 10.86%. The current Gross Margin % is 10.86%, which is near median its 10-year median of 10.41 and 47.5% below the Construction industry median of 20.71. ALEC Holdings PJSC's overall GF Score™ is 33/100 with 2 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 ALEC Holdings PJSC (DFM:ALEC), the current Gross Margin % is 10.86% 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.
ALEC Holdings PJSC is a diversified engineering and construction group in the UAE and KSA, specializing in large-scale, complex, and iconic projects across various sectors including commercial, hospitality, retail, and infrastructure. The company offers comprehensive turnkey solutions encompassing construction, MEP, fit-out, energy, and data center solutions, with a focus on innovation, quality, and sustainability. The management of the Group assess the Group into four key business units: Building and Infrastructure Construction Services, Energy, Related Businesses and Corporate Activities.
33GF Score
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