Dream InternationalDRMMF 80 Gross Margin % is 20.27% as of Dec. 2025, which is 9% below its 10-year median of 22.23. GuruFocus rates DRMMF with a GF Score™ of 80/100 and a GF Value™ of $0.72. The stock has 1 warning sign investors should review. Among 793 Travel & Leisure companies, Dream International ranks worse than 82.35% on this metric.
The historical rank and industry rank for Dream International's Gross Margin % or its related term are showing as below:
DRMMF'
s Gross Margin % Range Over the Past 10 Years
Min: 12.81 Med: 22.23 Max: 28.75
Current: 20.18
During the past 13 years, the highestGross Margin % of Dream International was 28.75%. The lowest was 12.81%. And the median was 22.23%.
DRMMF's Gross Margin % is ranked worse than 82.35% of 793
companies
in the Travel & Leisure industry
Industry Median: 44.02
vs DRMMF: 20.18
Dream International had a gross margin of 20.27% for the quarter that ended in Dec. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Dream International was 8.10% per year.
Dream International (OTCPK:DRMMF) 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
Dream International had a gross margin of 20.27% 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.
Dream International Gross Margin % Related Terms
Dream International Gross Margin % Historical Data
* Premium members only.
The historical data trend for Dream International'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 Leisure subindustry, Dream International'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.
Dream International Gross Margin % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Dream International's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Dream International'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.
Dream International (DRMMF) has a Gross Margin % of 20.27% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Dream International and its competitors. This is near median its historical median of 22.23. Over the past decade, Dream International's Gross Margin % has ranged from 12.81 to 28.75. According to the industry distribution chart, Dream International ranks #653 out of 793 companies in the Travel & Leisure industry, placing it in the top 82.3%.
Is Dream International's Gross Margin % too high?
Dream International's current Gross Margin % of 20.27% is near median its 10-year median of 22.23. Over the past 10 years, this metric has ranged from a low of 12.81 to a high of 28.75. The Travel & Leisure industry median Gross Margin % is 44.02. Dream International's value of 20.27% is 54% below this industry median. Based on the distribution chart, Dream International ranks #653 out of 793 companies in the Travel & Leisure industry, which is in the bottom quartile relative to peers. Overall, Dream International has a GF Score™ of 80/100, reflecting its overall financial health beyond just this single metric.
How does Dream International's Gross Margin % compare to AS and HAS?
According to the Travel & Leisure industry distribution chart, Dream International ranks #653 out of 793 companies for Gross Margin %. This places Dream International in the lower half of its industry. The industry median Gross Margin % is 44.02. Dream International's value of 20.27% is 54% below this benchmark. Historically, Dream International's own Gross Margin % has ranged from 12.81 to 28.75 over the past decade. While the company's 10-year median is 22.23 vs. the industry median of 44.02, Dream International 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 Travel & Leisure company?
The median Gross Margin % among Travel & Leisure companies is 44.02, based on 793 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. Dream International's current Gross Margin % of 20.27% is 54% 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 Dream International and its competitors. For the Travel & Leisure industry, the median Gross Margin % is 44.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dream International's current Gross Margin % is 20.27%, which is near median its own 10-year median of 22.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dream International stock overvalued right now?
Dream International (DRMMF) has a current Gross Margin % of 20.27%. The stock's GF Value™ is $0.72, compared to a current price of $0.91 — trading 26.2% above its estimated fair value. The current Gross Margin % is 20.27%, which is near median its 10-year median of 22.23 and 54% below the Travel & Leisure industry median of 44.02. Dream International's overall GF Score™ is 80/100 with 1 warning sign 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 Dream International (DRMMF), the current Gross Margin % is 20.27% 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 Dream International (DRMMF) Overvalued in 2026?
Based on GuruFocus' analysis, Dream International stock appears to be overvalued.
The current stock price of $0.91 is trading 26.2% above its estimated GF Value™ of $0.72.
Key valuation signals for DRMMF:
Gross Margin %: 20.27% (near median its 10-year median of 22.23)
GF Value™: $0.72 vs. price of $0.91 (26.2% above fair value)
Industry Position: 54% below the Travel & Leisure median (#653 of 793)
No single metric tells the full story. See the DRMMF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dream International Ltd is a Hong Kong-based company engaged in the design, development, manufacturing, and sale of toys. It operates in three segments: Plush stuffed toys, Plastic figures, and Tarpaulin. The majority is from the Plush stuffed toys segment, which is involved in the design, development, manufacture, and sale of plush stuffed toys. These products are either sourced externally or are manufactured in the group's manufacturing facilities located in Chinese Mainland and Vietnam. The company's geographical segments are Hong Kong, North America, Japan, Europe, Chinese Mainland, Vietnam, Korea, and Other countries, of which prime revenue is derived from North America.
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