FRA:AXF1's Gross Margin % is ranked worse than 53.5% of 985
companies
in the Transportation industry
Industry Median: 20.42
vs FRA:AXF1: 18.98
Construcciones y Auxiliar de Ferrocarriles had a gross margin of 18.84% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
Construcciones y Auxiliar de Ferrocarriles (FRA:AXF1) 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
Construcciones y Auxiliar de Ferrocarriles had a gross margin of 18.84% 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.
Construcciones y Auxiliar de Ferrocarriles Gross Margin % Related Terms
Construcciones y Auxiliar de Ferrocarriles 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.
Construcciones y Auxiliar de Ferrocarriles Gross Margin % Chart
Construcciones y Auxiliar de Ferrocarriles Annual Data
FRA:AXF1 vs UNP, CSX, NSC: Gross Margin % Comparison
For the Railroads subindustry, Construcciones y Auxiliar de Ferrocarriles'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.
Construcciones y Auxiliar de Ferrocarriles Gross Margin % vs Transportation Industry
* 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.
Construcciones y Auxiliar de Ferrocarriles (FRA:AXF1) has a Gross Margin % of 18.84% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Construcciones y Auxiliar de Ferrocarriles and its competitors. This is 13% below median its historical median of 21.70. Over the past decade, Construcciones y Auxiliar de Ferrocarriles' Gross Margin % has ranged from 16.73 to 26.08. According to the industry distribution chart, Construcciones y Auxiliar de Ferrocarriles ranks #527 out of 985 companies in the Transportation industry, placing it in the top 53.5%.
Is Construcciones y Auxiliar de Ferrocarriles' Gross Margin % too high?
Construcciones y Auxiliar de Ferrocarriles' current Gross Margin % of 18.84% is 13% below median its 10-year median of 21.70. Over the past 10 years, this metric has ranged from a low of 16.73 to a high of 26.08. The Transportation industry median Gross Margin % is 20.42. Construcciones y Auxiliar de Ferrocarriles' value of 18.84% is 7.7% below this industry median. Based on the distribution chart, Construcciones y Auxiliar de Ferrocarriles ranks #527 out of 985 companies in the Transportation industry, which is below the industry midpoint. Overall, Construcciones y Auxiliar de Ferrocarriles has a GF Score™ of 95/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Construcciones y Auxiliar de Ferrocarriles' Gross Margin % compare to UNP and CSX?
According to the Transportation industry distribution chart, Construcciones y Auxiliar de Ferrocarriles ranks #527 out of 985 companies for Gross Margin %. This places Construcciones y Auxiliar de Ferrocarriles in the lower half of its industry. The industry median Gross Margin % is 20.42. Construcciones y Auxiliar de Ferrocarriles' value of 18.84% is 7.7% below this benchmark. Historically, Construcciones y Auxiliar de Ferrocarriles' own Gross Margin % has ranged from 16.73 to 26.08 over the past decade. While the company's 10-year median is 21.70 vs. the industry median of 20.42, Construcciones y Auxiliar de Ferrocarriles 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 Transportation company?
The median Gross Margin % among Transportation companies is 20.42, based on 985 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. Construcciones y Auxiliar de Ferrocarriles's current Gross Margin % of 18.84% is 7.7% 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 Construcciones y Auxiliar de Ferrocarriles and its competitors. For the Transportation industry, the median Gross Margin % is 20.42 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Construcciones y Auxiliar de Ferrocarriles's current Gross Margin % is 18.84%, which is 13% below median its own 10-year median of 21.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Construcciones y Auxiliar de Ferrocarriles stock overvalued right now?
Based on GuruFocus' analysis, Construcciones y Auxiliar de Ferrocarriles (FRA:AXF1) is currently considered Significantly Overvalued. The stock's GF Value™ is €42.20, compared to a current price of €62.30 — trading 47.6% above its estimated fair value. The current Gross Margin % is 18.84%, which is 13% below median its 10-year median of 21.70 and 7.7% below the Transportation industry median of 20.42. Construcciones y Auxiliar de Ferrocarriles' overall GF Score™ is 95/100 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 Construcciones y Auxiliar de Ferrocarriles (FRA:AXF1), the current Gross Margin % is 18.84% 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 Construcciones y Auxiliar de Ferrocarriles (FRA:AXF1) Overvalued in 2026?
Based on GuruFocus' analysis, Construcciones y Auxiliar de Ferrocarriles stock appears to be overvalued.
The current stock price of €62.30 is trading 47.6% above its estimated GF Value™ of €42.20.
GuruFocus considers Construcciones y Auxiliar de Ferrocarriles to be Significantly Overvalued.
Key valuation signals for FRA:AXF1:
Gross Margin %: 18.84% (13% below median its 10-year median of 21.70)
GF Value™: €42.20 vs. price of €62.30 (47.6% above fair value)
Industry Position: 7.7% below the Transportation median (#527 of 985)
No single metric tells the full story. See the FRA:AXF1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Construcciones y Auxiliar de Ferrocarriles Business Description
Construcciones y Auxiliar de Ferrocarriles SA is a Spain-based company that offers comprehensive railway solutions. The company's train-related products comprise high-speed rolling stock, wheelsets, traction and communication systems, signaling systems, and related services including vehicle maintenance, vehicle upgrading and refurbishment, and aftersales technical supports. In addition to supplying train-related products, the company also helps customers conduct viability studies, civil work, electrification projects, and system operation. The company operates under concession or turnkey models. Construcciones y Auxiliar de Ferrocarriles has a global presence, with Europe and Brazil being the two largest markets.
95GF Score
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