Hi Sun Technology (China)FRA:HSUB 41 Gross Margin % is 42.27% as of Dec. 2025, which is 41% above its 10-year median of 30.06. GuruFocus rates FRA:HSUB with a GF Score™ of 41/100 and a GF Value™ of €0.03. The stock has 5 warning signs investors should review. Among 2,683 Software companies, Hi Sun Technology (China) ranks worse than 52.07% on this metric.
Hi Sun Technology (China) (FRA:HSUB) 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
Hi Sun Technology (China) had a gross margin of 42.27% 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.
Hi Sun Technology (China) Gross Margin % Related Terms
Hi Sun Technology (China) 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:HSUB vs MSFT, ORCL, PLTR: Gross Margin % Comparison
For the Software - Infrastructure subindustry, Hi Sun Technology (China)'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.
Hi Sun Technology (China) Gross Margin % vs Software Industry
For the Software industry and Technology sector, Hi Sun Technology (China)'s Gross Margin % distribution charts can be found below:
* The bar in red indicates where Hi Sun Technology (China)'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.
Hi Sun Technology (China) (FRA:HSUB) has a Gross Margin % of 42.27% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Hi Sun Technology (China) and its competitors. This is 41% above median its historical median of 30.06. Over the past decade, Hi Sun Technology (China)'s Gross Margin % has ranged from 23.70 to 38.84. According to the industry distribution chart, Hi Sun Technology (China) ranks #1397 out of 2683 companies in the Software industry, placing it in the top 52.1%.
Is Hi Sun Technology (China)'s Gross Margin % too high?
Hi Sun Technology (China)'s current Gross Margin % of 42.27% is 41% above median its 10-year median of 30.06. Over the past 10 years, this metric has ranged from a low of 23.70 to a high of 38.84. The Software industry median Gross Margin % is 40.45. Hi Sun Technology (China)'s value of 42.27% is 4.5% above this industry median. Based on the distribution chart, Hi Sun Technology (China) ranks #1397 out of 2683 companies in the Software industry, which is below the industry midpoint. Overall, Hi Sun Technology (China) has a GF Score™ of 41/100, reflecting its overall financial health beyond just this single metric.
How does Hi Sun Technology (China)'s Gross Margin % compare to MSFT and ORCL?
According to the Software industry distribution chart, Hi Sun Technology (China) ranks #1397 out of 2683 companies for Gross Margin %. This places Hi Sun Technology (China) in the lower half of its industry. The industry median Gross Margin % is 40.45. Hi Sun Technology (China)'s value of 42.27% is 4.5% above this benchmark. Historically, Hi Sun Technology (China)'s own Gross Margin % has ranged from 23.70 to 38.84 over the past decade. While the company's 10-year median is 30.06 vs. the industry median of 40.45, Hi Sun Technology (China) has consistently been above 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 Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,683 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. Hi Sun Technology (China)'s current Gross Margin % of 42.27% is 4.5% above 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 Hi Sun Technology (China) and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hi Sun Technology (China)'s current Gross Margin % is 42.27%, which is 41% above median its own 10-year median of 30.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hi Sun Technology (China) stock overvalued right now?
Hi Sun Technology (China) (FRA:HSUB) has a current Gross Margin % of 42.27%. The stock's GF Value™ is €0.03, compared to a current price of €0.04 — trading 20% above its estimated fair value. The current Gross Margin % is 42.27%, which is 41% above median its 10-year median of 30.06 and 4.5% above the Software industry median of 40.45. Hi Sun Technology (China)'s overall GF Score™ is 41/100 with 5 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 Hi Sun Technology (China) (FRA:HSUB), the current Gross Margin % is 42.27% 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 Hi Sun Technology (China) (FRA:HSUB) Overvalued in 2026?
Based on GuruFocus' analysis, Hi Sun Technology (China) stock appears to be overvalued.
The current stock price of €0.04 is trading 20% above its estimated GF Value™ of €0.03.
Key valuation signals for FRA:HSUB:
Gross Margin %: 42.27% (41% above median its 10-year median of 30.06)
GF Value™: €0.03 vs. price of €0.04 (20% above fair value)
Industry Position: 4.5% above the Software median (#1397 of 2683)
No single metric tells the full story. See the FRA:HSUB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hi Sun Technology (China) Ltd is an investment holding company. The principal activities of the company are the provision of payment and digital services, fintech services, platform operation solutions and financial solutions. It has four main operating segments: Payment and digital services, Fintech services, Platform operation solutions, and Financial solutions. The majority of revenue is derived from the Payment and digital services segment, which is principally engaged in provision of payment processing services, SAAS catering business and related digital products and solutions. The geographical segments are Mainland China, Hong Kong, Singapore and Other, with the majority of revenue generated from Mainland China.
41GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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