DKK CoDNKGF 66 Gross Margin % is 22.28% as of Dec. 2025, which is 21% above its 10-year median of 18.44. GuruFocus rates DNKGF with a GF Score™ of 66/100 and a GF Value™ of $12.65. The stock has 4 warning signs investors should review. Among 2,450 Hardware companies, DKK Co ranks worse than 60% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. DKK Co's Gross Profit for the
three
months ended in Dec. 2025 was $14.5 Mil. DKK Co's Revenue for the
three
months ended in Dec. 2025 was $65.2 Mil. Therefore, DKK Co's Gross Margin % for the quarter that ended in Dec. 2025 was 22.28%.
The historical rank and industry rank for DKK Co's Gross Margin % or its related term are showing as below:
DNKGF'
s Gross Margin % Range Over the Past 10 Years
Min: 12.84 Med: 18.44 Max: 21.53
Current: 20.25
During the past 13 years, the highestGross Margin % of DKK Co was 21.53%. The lowest was 12.84%. And the median was 18.44%.
DNKGF's Gross Margin % is ranked worse than 60% of 2450
companies
in the Hardware industry
Industry Median: 24.53
vs DNKGF: 20.25
DKK Co had a gross margin of 22.28% for the quarter that ended in Dec. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for DKK Co was 3.00% per year.
DKK Co (OTCPK:DNKGF) 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
DKK Co had a gross margin of 22.28% for the quarter that ended in Dec. 2025 => 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.
DKK Co Gross Margin % Related Terms
DKK Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for DKK Co'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.
DNKGF vs CSCO, CIEN, MSI: Gross Margin % Comparison
For the Communication Equipment subindustry, DKK Co'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.
DKK Co Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, DKK Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where DKK Co'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.
DKK Co (DNKGF) has a Gross Margin % of 22.28% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on DKK Co and its competitors. This is 21% above median its historical median of 18.44. Over the past decade, DKK Co's Gross Margin % has ranged from 12.84 to 21.53. According to the industry distribution chart, DKK Co ranks #1470 out of 2450 companies in the Hardware industry, placing it in the top 60%.
Is DKK Co's Gross Margin % too high?
DKK Co's current Gross Margin % of 22.28% is 21% above median its 10-year median of 18.44. Over the past 10 years, this metric has ranged from a low of 12.84 to a high of 21.53. The Hardware industry median Gross Margin % is 24.53. DKK Co's value of 22.28% is 9.2% below this industry median. Based on the distribution chart, DKK Co ranks #1470 out of 2450 companies in the Hardware industry, which is below the industry midpoint. Overall, DKK Co has a GF Score™ of 66/100, reflecting its overall financial health beyond just this single metric.
How does DKK Co's Gross Margin % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, DKK Co ranks #1470 out of 2450 companies for Gross Margin %. This places DKK Co in the lower half of its industry. The industry median Gross Margin % is 24.53. DKK Co's value of 22.28% is 9.2% below this benchmark. Historically, DKK Co's own Gross Margin % has ranged from 12.84 to 21.53 over the past decade. While the company's 10-year median is 18.44 vs. the industry median of 24.53, DKK Co 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.53, based on 2,450 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. DKK Co's current Gross Margin % of 22.28% is 9.2% 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 DKK Co and its competitors. For the Hardware industry, the median Gross Margin % is 24.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DKK Co's current Gross Margin % is 22.28%, which is 21% above median its own 10-year median of 18.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DKK Co stock overvalued right now?
DKK Co (DNKGF) has a current Gross Margin % of 22.28%. The stock's GF Value™ is $12.65, compared to a current price of $14.00 — trading 10.7% above its estimated fair value. The current Gross Margin % is 22.28%, which is 21% above median its 10-year median of 18.44 and 9.2% below the Hardware industry median of 24.53. DKK Co's overall GF Score™ is 66/100 with 4 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 DKK Co (DNKGF), the current Gross Margin % is 22.28% 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.
Is DKK Co (DNKGF) Overvalued in 2026?
Based on GuruFocus' analysis, DKK Co stock appears to be overvalued.
The current stock price of $14.00 is trading 10.7% above its estimated GF Value™ of $12.65.
Key valuation signals for DNKGF:
Gross Margin %: 22.28% (21% above median its 10-year median of 18.44)
GF Value™: $12.65 vs. price of $14.00 (10.7% above fair value)
Industry Position: 9.2% below the Hardware median (#1470 of 2450)
No single metric tells the full story. See the DNKGF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
DKK Co Ltd engages in the design, manufacture, and sale of telecommunications facilities and equipment. It operates through the following divisions: Telecommunication, and Radio Frequency. The Telecommunication segment develops, designs, manufactures and installs antennas, mobile communications towers, peripheral devices, steel structures and solar power panels. The Radio Frequency segment includes induction heating equipment, radio frequency-applied equipment, and vacuum furnaces.
66GF Score
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