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
ClearSign Technologies had a gross margin of -206.06% 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.
ClearSign Technologies Gross Margin % Related Terms
ClearSign Technologies Gross Margin % Historical Data
* Premium members only.
The historical data trend for ClearSign Technologies'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.
FRA:4CC0 vs TOMZ, RAIN, BNET: Gross Margin % Comparison
For the Pollution & Treatment Controls subindustry, ClearSign Technologies'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.
ClearSign Technologies Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, ClearSign Technologies's Gross Margin % distribution charts can be found below:
* The bar in red indicates where ClearSign Technologies'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.
ClearSign Technologies (FRA:4CC0) has a Gross Margin % of -206.06% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on ClearSign Technologies and its competitors. According to the industry distribution chart, ClearSign Technologies ranks #2288 out of 3003 companies in the Industrial Products industry, placing it in the top 76.2%.
Is ClearSign Technologies' Gross Margin % too high?
ClearSign Technologies' current Gross Margin % is -206.06%. Based on the distribution chart, ClearSign Technologies ranks #2288 out of 3003 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, ClearSign Technologies has a GF Score™ of 40/100, reflecting its overall financial health beyond just this single metric.
How does ClearSign Technologies' Gross Margin % compare to TOMZ and RAIN?
According to the Industrial Products industry distribution chart, ClearSign Technologies ranks #2288 out of 3003 companies for Gross Margin %. This places ClearSign Technologies in the lower half of its industry. The industry median Gross Margin % is 26.79. 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 Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.79, based on 3,003 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 ClearSign Technologies and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ClearSign Technologies's current Gross Margin % is -206.06%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ClearSign Technologies stock overvalued right now?
ClearSign Technologies (FRA:4CC0) has a current Gross Margin % of -206.06%. The stock's GF Value™ is €16.03, compared to a current price of €3.80 — trading 76.3% below its estimated fair value. The current Gross Margin % is -206.06%. ClearSign Technologies' overall GF Score™ is 40/100 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 ClearSign Technologies (FRA:4CC0), the current Gross Margin % is -206.06% 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 ClearSign Technologies (FRA:4CC0) Overvalued in 2026?
Based on GuruFocus' analysis, ClearSign Technologies stock appears to be undervalued.
The current stock price of €3.80 is trading 76.3% below its estimated GF Value™ of €16.03.
Key valuation signals for FRA:4CC0:
Gross Margin %: -206.06%
GF Value™: €16.03 vs. price of €3.80 (76.3% below fair value)
No single metric tells the full story. See the FRA:4CC0 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ClearSign Technologies Corp is engaged in designing and develop technologies for the purpose of decarbonization and improving key performance characteristics of industrial and commercial combustion systems, including emission and operational performance, energy efficiency and overall cost-effectiveness. Its ClearSign Core technology has been proved to be in full scale industrial test furnaces and boilers and first customer installations are currently operating in normal commercial applications The company offers products that include process burners, boiler burners, flares, and ClearSign Eye. The company operates in one segment: Combustion segment. The products of the company include: Process Burners, Midstream and Power, Flares, Boiler Burners, and Sensing Technology.
40GF Score
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