Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
The9FRA:FZK0 -6.21%50 Gross Margin % is 6.77% as of Dec. 2025, which is 5108% above its 10-year median of 0.13. GuruFocus rates FRA:FZK0 with a GF Score™ of 50/100 and a GF Value™ of €2.39. The stock has 8 warning signs investors should review. Among 619 Capital Markets companies, The9 ranks worse than 86.27% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. The9's Gross Profit for the
six
months ended in Dec. 2025 was €0.38 Mil. The9's Revenue for the
six
months ended in Dec. 2025 was €5.56 Mil. Therefore, The9's Gross Margin % for the quarter that ended in Dec. 2025 was 6.77%.
The historical rank and industry rank for The9's Gross Margin % or its related term are showing as below:
FRA:FZK0'
s Gross Margin % Range Over the Past 10 Years
Min: -291.84 Med: 0.13 Max: 67.49
Current: 1.72
During the past 13 years, the highestGross Margin % of The9 was 67.49%. The lowest was -291.84%. And the median was 0.13%.
FRA:FZK0's Gross Margin % is ranked worse than 86.27% of 619
companies
in the Capital Markets industry
Industry Median: 50
vs FRA:FZK0: 1.72
The9 had a gross margin of 6.77% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for The9 was 0.00% per year.
The9 (FRA:FZK0) 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
The9 had a gross margin of 6.77% 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.
The9 Gross Margin % Related Terms
The9 Gross Margin % Historical Data
* Premium members only.
The historical data trend for The9'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:FZK0 vs BTCS, PLUT, VIP: Gross Margin % Comparison
For the Capital Markets subindustry, The9'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.
The9 Gross Margin % vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, The9's Gross Margin % distribution charts can be found below:
* The bar in red indicates where The9'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.
The9 (FRA:FZK0) has a Gross Margin % of 6.77% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on The9 and its competitors. This is 5108% above median its historical median of 0.13. According to the industry distribution chart, The9 ranks #534 out of 619 companies in the Capital Markets industry, placing it in the top 86.3%.
Is The9's Gross Margin % too high?
The9's current Gross Margin % of 6.77% is 5108% above median its 10-year median of 0.13. The Capital Markets industry median Gross Margin % is 50.00. The9's value of 6.77% is 86.5% below this industry median. Based on the distribution chart, The9 ranks #534 out of 619 companies in the Capital Markets industry, which is in the bottom quartile relative to peers. Overall, The9 has a GF Score™ of 50/100, reflecting its overall financial health beyond just this single metric.
How does The9's Gross Margin % compare to BTCS and PLUT?
According to the Capital Markets industry distribution chart, The9 ranks #534 out of 619 companies for Gross Margin %. This places The9 in the lower half of its industry. The industry median Gross Margin % is 50.00. The9's value of 6.77% is 86.5% below this benchmark. While the company's 10-year median is 0.13 vs. the industry median of 50.00, The9 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 Capital Markets company?
The median Gross Margin % among Capital Markets companies is 50.00, based on 619 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. The9's current Gross Margin % of 6.77% is 86.5% 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 The9 and its competitors. For the Capital Markets industry, the median Gross Margin % is 50.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The9's current Gross Margin % is 6.77%, which is 5108% above median its own 10-year median of 0.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The9 stock overvalued right now?
The9 (FRA:FZK0) has a current Gross Margin % of 6.77%. The stock's GF Value™ is €2.39, compared to a current price of €3.02 — trading 26.4% above its estimated fair value. The current Gross Margin % is 6.77%, which is 5108% above median its 10-year median of 0.13 and 86.5% below the Capital Markets industry median of 50.00. The9's overall GF Score™ is 50/100 with 8 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 The9 (FRA:FZK0), the current Gross Margin % is 6.77% 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 The9 (FRA:FZK0) Overvalued in 2026?
Based on GuruFocus' analysis, The9 stock appears to be overvalued.
The current stock price of €3.02 is trading 26.4% above its estimated GF Value™ of €2.39.
Key valuation signals for FRA:FZK0:
Gross Margin %: 6.77% (5108% above median its 10-year median of 0.13)
GF Value™: €2.39 vs. price of €3.02 (26.4% above fair value)
Industry Position: 86.5% below the Capital Markets median (#534 of 619)
No single metric tells the full story. See the FRA:FZK0 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The9 Ltd operates a cryptocurrency mining business. It provides computing power, or hash rate, to a Bitcoin mining pool and is entitled to receive a fractional share of Bitcoin award from the Bitcoin mining pool in return. The company generates its revenues from customers in Greater China, Asia/Eastern Europe, and North America. Its segments are: Crypto mining business, and Online game services, out of which Crypto mining business derives maximum revenue.
50GF Score
Get the complete analysis for FRA:FZK0
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:FZK0 has been successfully added to your 
