Nexteer Automotive GroupFRA:8NX +6.19%59 Gross Margin % is 11.28% as of Dec. 2025, which is 10% below its 10-year median of 12.49. GuruFocus rates FRA:8NX with a GF Score™ of 59/100 and a GF Value™ of €0.55 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 1,309 Vehicles & Parts companies, Nexteer Automotive Group ranks worse than 82.96% on this metric.
FRA:8NX's Gross Margin % is ranked worse than 82.96% of 1309
companies
in the Vehicles & Parts industry
Industry Median: 19.83
vs FRA:8NX: 11.41
Nexteer Automotive Group had a gross margin of 11.28% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Nexteer Automotive Group was -3.00% per year.
Nexteer Automotive Group (FRA:8NX) 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
Nexteer Automotive Group had a gross margin of 11.28% for the quarter that ended in Dec. 2025 => 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.
Nexteer Automotive Group Gross Margin % Related Terms
Nexteer Automotive Group 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.
For the Auto Parts subindustry, Nexteer Automotive Group'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.
Nexteer Automotive Group Gross Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Nexteer Automotive Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Nexteer Automotive Group'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.
Nexteer Automotive Group (FRA:8NX) has a Gross Margin % of 11.28% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Nexteer Automotive Group and its competitors. This is 10% below median its historical median of 12.49. Over the past decade, Nexteer Automotive Group's Gross Margin % has ranged from 8.76 to 17.39. According to the industry distribution chart, Nexteer Automotive Group ranks #1086 out of 1309 companies in the Vehicles & Parts industry, placing it in the top 83%.
Is Nexteer Automotive Group's Gross Margin % too high?
Nexteer Automotive Group's current Gross Margin % of 11.28% is 10% below median its 10-year median of 12.49. Over the past 10 years, this metric has ranged from a low of 8.76 to a high of 17.39. The Vehicles & Parts industry median Gross Margin % is 19.83. Nexteer Automotive Group's value of 11.28% is 43.1% below this industry median. Based on the distribution chart, Nexteer Automotive Group ranks #1086 out of 1309 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Nexteer Automotive Group has a GF Score™ of 59/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nexteer Automotive Group's Gross Margin % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Nexteer Automotive Group ranks #1086 out of 1309 companies for Gross Margin %. This places Nexteer Automotive Group in the lower half of its industry. The industry median Gross Margin % is 19.83. Nexteer Automotive Group's value of 11.28% is 43.1% below this benchmark. Historically, Nexteer Automotive Group's own Gross Margin % has ranged from 8.76 to 17.39 over the past decade. While the company's 10-year median is 12.49 vs. the industry median of 19.83, Nexteer Automotive Group 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 Vehicles & Parts company?
The median Gross Margin % among Vehicles & Parts companies is 19.83, based on 1,309 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. Nexteer Automotive Group's current Gross Margin % of 11.28% is 43.1% 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 Nexteer Automotive Group and its competitors. For the Vehicles & Parts industry, the median Gross Margin % is 19.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nexteer Automotive Group's current Gross Margin % is 11.28%, which is 10% below median its own 10-year median of 12.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nexteer Automotive Group stock overvalued right now?
Based on GuruFocus' analysis, Nexteer Automotive Group (FRA:8NX) is currently considered Modestly Undervalued. The stock's GF Value™ is €0.55, compared to a current price of €0.45 — trading 18.9% below its estimated fair value. The current Gross Margin % is 11.28%, which is 10% below median its 10-year median of 12.49 and 43.1% below the Vehicles & Parts industry median of 19.83. Nexteer Automotive Group's overall GF Score™ is 59/100 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 Nexteer Automotive Group (FRA:8NX), the current Gross Margin % is 11.28% 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 Nexteer Automotive Group (FRA:8NX) Overvalued in 2026?
Based on GuruFocus' analysis, Nexteer Automotive Group stock appears to be undervalued.
The current stock price of €0.45 is trading 18.9% below its estimated GF Value™ of €0.55.
GuruFocus considers Nexteer Automotive Group to be Modestly Undervalued.
Key valuation signals for FRA:8NX:
Gross Margin %: 11.28% (10% below median its 10-year median of 12.49)
GF Value™: €0.55 vs. price of €0.45 (18.9% below fair value)
Industry Position: 43.1% below the Vehicles & Parts median (#1086 of 1309)
No single metric tells the full story. See the FRA:8NX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nexteer Automotive Group Ltd offers steering and driveline systems. The company designs, manufactures, and distributes steering and driveline systems and components, mainly for automotive OEMs. It continues to develop braking technology that will be instrumental to the software-defined chassis. The company's customers are automakers like BMW, Fiat Chrysler, Ford, GM, and Toyota, as well as automakers in India, South America, and China. The Group classifies its businesses into three reportable segments: North America, Asia Pacific, and Europe, the Middle East, Africa, and South America (EMEASA). All of the Group's operating segments typically offer the same steering and driveline products; the majority are derived from North America.
59GF Score
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