Data3DTATF 81 Gross Margin % is 34.02% as of Dec. 2025, which is 162% above its 10-year median of 12.97. GuruFocus rates DTATF with a GF Score™ of 81/100 and a GF Value™ of $9.41. The stock has 9 warning signs investors should review. Among 2,680 Software companies, Data3 ranks worse than 59.93% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Data3's Gross Profit for the
six
months ended in Dec. 2025 was $95.6 Mil. Data3's Revenue for the
six
months ended in Dec. 2025 was $281.0 Mil. Therefore, Data3's Gross Margin % for the quarter that ended in Dec. 2025 was 34.02%.
The historical rank and industry rank for Data3's Gross Margin % or its related term are showing as below:
DTATF'
s Gross Margin % Range Over the Past 10 Years
Min: 9.79 Med: 12.97 Max: 33.94
Current: 32.77
During the past 13 years, the highestGross Margin % of Data3 was 33.94%. The lowest was 9.79%. And the median was 12.97%.
DTATF's Gross Margin % is ranked worse than 59.93% of 2680
companies
in the Software industry
Industry Median: 40.45
vs DTATF: 32.77
Data3 had a gross margin of 34.02% for the quarter that ended in Dec. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Data3 was 29.40% per year.
Data3 (OTCPK:DTATF) 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
Data3 had a gross margin of 34.02% 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.
Data3 Gross Margin % Related Terms
Data3 Gross Margin % Historical Data
* Premium members only.
The historical data trend for Data3'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.
DTATF vs IBM, ACN, FISV: Gross Margin % Comparison
For the Information Technology Services subindustry, Data3'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.
Data3 Gross Margin % vs Software Industry
For the Software industry and Technology sector, Data3's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Data3'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.
Data3 (DTATF) has a Gross Margin % of 34.02% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Data3 and its competitors. This is 162% above median its historical median of 12.97. Over the past decade, Data3's Gross Margin % has ranged from 9.79 to 33.94. According to the industry distribution chart, Data3 ranks #1606 out of 2680 companies in the Software industry, placing it in the top 59.9%.
Is Data3's Gross Margin % too high?
Data3's current Gross Margin % of 34.02% is 162% above median its 10-year median of 12.97. Over the past 10 years, this metric has ranged from a low of 9.79 to a high of 33.94. The Software industry median Gross Margin % is 40.45. Data3's value of 34.02% is 15.9% below this industry median. Based on the distribution chart, Data3 ranks #1606 out of 2680 companies in the Software industry, which is below the industry midpoint. Overall, Data3 has a GF Score™ of 81/100, reflecting its overall financial health beyond just this single metric.
How does Data3's Gross Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Data3 ranks #1606 out of 2680 companies for Gross Margin %. This places Data3 in the lower half of its industry. The industry median Gross Margin % is 40.45. Data3's value of 34.02% is 15.9% below this benchmark. Historically, Data3's own Gross Margin % has ranged from 9.79 to 33.94 over the past decade. While the company's 10-year median is 12.97 vs. the industry median of 40.45, Data3 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 Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,680 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. Data3's current Gross Margin % of 34.02% is 15.9% 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 Data3 and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Data3's current Gross Margin % is 34.02%, which is 162% above median its own 10-year median of 12.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Data3 stock overvalued right now?
Data3 (DTATF) has a current Gross Margin % of 34.02%. The stock's GF Value™ is $9.41, compared to a current price of $4.05 — trading 57% below its estimated fair value. The current Gross Margin % is 34.02%, which is 162% above median its 10-year median of 12.97 and 15.9% below the Software industry median of 40.45. Data3's overall GF Score™ is 81/100 with 9 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 Data3 (DTATF), the current Gross Margin % is 34.02% 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 Data3 (DTATF) Overvalued in 2026?
Based on GuruFocus' analysis, Data3 stock appears to be undervalued.
The current stock price of $4.05 is trading 57% below its estimated GF Value™ of $9.41.
Key valuation signals for DTATF:
Gross Margin %: 34.02% (162% above median its 10-year median of 12.97)
GF Value™: $9.41 vs. price of $4.05 (57% below fair value)
Industry Position: 15.9% below the Software median (#1606 of 2680)
No single metric tells the full story. See the DTATF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Data3 Ltd is an information technology services and solutions provider company. Its technology solutions are broadly categorized into Cloud, Modern Workplace, Security, Data and Analytics, and Connectivity. The company's three operating segments are: Software Solutions, Infrastructure Solutions and Services. It derives revenue from Software Solutions, that provides software licensing, consumption sales along with consulting service.
81GF Score
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