Digi Power XDGXX -9.54%58 Gross Margin % is -11.81% as of Mar. 2026. GuruFocus rates DGXX with a GF Score™ of 58/100 and a GF Value™ of $1.16 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 402 Utilities - Independent Power Producers companies, Digi Power X ranks worse than 95.52% on this metric.
Digi Power X had a gross margin of -11.81% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Digi Power X was 0.00% per year.
Digi Power X (NAS:DGXX) 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
Digi Power X had a gross margin of -11.81% for the quarter that ended in Mar. 2026 => 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.
Digi Power X Gross Margin % Related Terms
Digi Power X Gross Margin % Historical Data
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The historical data trend for Digi Power X'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 Utilities - Independent Power Producers subindustry, Digi Power X'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.
Digi Power X Gross Margin % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Digi Power X's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Digi Power X'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.
Digi Power X (DGXX) has a Gross Margin % of -11.81% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Digi Power X and its competitors. According to the industry distribution chart, Digi Power X ranks #384 out of 402 companies in the Utilities - Independent Power Producers industry, placing it in the top 95.5%.
Is Digi Power X's Gross Margin % too high?
Digi Power X's current Gross Margin % is -11.81%. Based on the distribution chart, Digi Power X ranks #384 out of 402 companies in the Utilities - Independent Power Producers industry, which is in the bottom quartile relative to peers. Overall, Digi Power X has a GF Score™ of 58/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Digi Power X's Gross Margin % compare to CEG and VST?
According to the Utilities - Independent Power Producers industry distribution chart, Digi Power X ranks #384 out of 402 companies for Gross Margin %. This places Digi Power X in the lower half of its industry. The industry median Gross Margin % is 31.32. 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 an Utilities - Independent Power Producers company?
The median Gross Margin % among Utilities - Independent Power Producers companies is 31.32, based on 402 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. 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 Digi Power X and its competitors. For the Utilities - Independent Power Producers industry, the median Gross Margin % is 31.32 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Digi Power X's current Gross Margin % is -11.81%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Digi Power X stock overvalued right now?
Based on GuruFocus' analysis, Digi Power X (DGXX) is currently considered Significantly Overvalued. The stock's GF Value™ is $1.16, compared to a current price of $4.62 — trading 297.8% above its estimated fair value. The current Gross Margin % is -11.81%. Digi Power X's overall GF Score™ is 58/100 with 3 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 Digi Power X (DGXX), the current Gross Margin % is -11.81% as of Mar. 2026. 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 Digi Power X (DGXX) Overvalued in 2026?
Based on GuruFocus' analysis, Digi Power X stock appears to be overvalued.
The current stock price of $4.62 is trading 297.8% above its estimated GF Value™ of $1.16.
GuruFocus considers Digi Power X to be Significantly Overvalued.
Key valuation signals for DGXX:
Gross Margin %: -11.81%
GF Value™: $1.16 vs. price of $4.62 (297.8% above fair value)
No single metric tells the full story. See the DGXX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Digi Power X Inc is an infrastructure company that develops cutting-edge data centers to drive the expansion of sustainable energy assets. The company focused on developing, owning, and operating data center facilities and delivering enterprise colocation and AI/GPU infrastructure services.
58GF Score
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