Trophy Games Development ASFRA:4H7 -0.85%80 Gross Margin % is 40.92% as of Dec. 2025, which is 17% below its 10-year median of 49.08. GuruFocus rates FRA:4H7 with a GF Score™ of 80/100 and a GF Value™ of €1.76 (Fairly Valued). The stock has 2 warning signs investors should review. Among 497 Interactive Media companies, Trophy Games Development AS ranks worse than 69.01% on this metric.
Trophy Games Development AS (FRA:4H7) 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
Trophy Games Development AS had a gross margin of 40.92% for the quarter that ended in Dec. 2025 => Durable 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.
Trophy Games Development AS Gross Margin % Related Terms
Trophy Games Development AS Gross Margin % Historical Data
* 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:4H7 vs NTES, EA, TTWO: Gross Margin % Comparison
For the Electronic Gaming & Multimedia subindustry, Trophy Games Development AS'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.
Trophy Games Development AS Gross Margin % vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, Trophy Games Development AS's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Trophy Games Development AS'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.
Trophy Games Development AS (FRA:4H7) has a Gross Margin % of 40.92% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Trophy Games Development AS and its competitors. This is 17% below median its historical median of 49.08. Over the past decade, Trophy Games Development AS's Gross Margin % has ranged from 23.16 to 67.54. According to the industry distribution chart, Trophy Games Development AS ranks #343 out of 497 companies in the Interactive Media industry, placing it in the top 69%.
Is Trophy Games Development AS's Gross Margin % too high?
Trophy Games Development AS's current Gross Margin % of 40.92% is 17% below median its 10-year median of 49.08. Over the past 10 years, this metric has ranged from a low of 23.16 to a high of 67.54. The Interactive Media industry median Gross Margin % is 62.58. Trophy Games Development AS's value of 40.92% is 34.6% below this industry median. Based on the distribution chart, Trophy Games Development AS ranks #343 out of 497 companies in the Interactive Media industry, which is below the industry midpoint. Overall, Trophy Games Development AS has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Trophy Games Development AS's Gross Margin % compare to NTES and EA?
According to the Interactive Media industry distribution chart, Trophy Games Development AS ranks #343 out of 497 companies for Gross Margin %. This places Trophy Games Development AS in the lower half of its industry. The industry median Gross Margin % is 62.58. Trophy Games Development AS's value of 40.92% is 34.6% below this benchmark. Historically, Trophy Games Development AS's own Gross Margin % has ranged from 23.16 to 67.54 over the past decade. While the company's 10-year median is 49.08 vs. the industry median of 62.58, Trophy Games Development AS 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 an Interactive Media company?
The median Gross Margin % among Interactive Media companies is 62.58, based on 497 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. Trophy Games Development AS's current Gross Margin % of 40.92% is 34.6% 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 Trophy Games Development AS and its competitors. For the Interactive Media industry, the median Gross Margin % is 62.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Trophy Games Development AS's current Gross Margin % is 40.92%, which is 17% below median its own 10-year median of 49.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Trophy Games Development AS stock overvalued right now?
Based on GuruFocus' analysis, Trophy Games Development AS (FRA:4H7) is currently considered Fairly Valued. The stock's GF Value™ is €1.76, compared to a current price of €1.74 — trading 1.1% below its estimated fair value. The current Gross Margin % is 40.92%, which is 17% below median its 10-year median of 49.08 and 34.6% below the Interactive Media industry median of 62.58. Trophy Games Development AS's overall GF Score™ is 80/100 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 Trophy Games Development AS (FRA:4H7), the current Gross Margin % is 40.92% 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 Trophy Games Development AS (FRA:4H7) Overvalued in 2026?
Based on GuruFocus' analysis, Trophy Games Development AS stock appears to be undervalued.
The current stock price of €1.74 is trading 1.1% below its estimated GF Value™ of €1.76.
GuruFocus considers Trophy Games Development AS to be Fairly Valued.
Key valuation signals for FRA:4H7:
Gross Margin %: 40.92% (17% below median its 10-year median of 49.08)
GF Value™: €1.76 vs. price of €1.74 (1.1% below fair value)
Industry Position: 34.6% below the Interactive Media median (#343 of 497)
No single metric tells the full story. See the FRA:4H7 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Trophy Games Development AS is a Denmark-based company that develops and publishes mobile and pc games. Its game studio provides endless entertainment and challenging gameplay for all players. The company offers games for mobile, Steam, and browser.
80GF Score
Get the complete analysis for FRA:4H7
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:4H7 has been successfully added to your 
