Cell C HoldingsFRA:LZ9 +13.91%4 Gross Margin % is 34.18% as of Nov. 2025, which is 41% above its 10-year median of 24.19. GuruFocus rates FRA:LZ9 with a GF Score™ of 4/100. The stock has 5 warning signs investors should review. Among 341 Telecommunication Services companies, Cell C Holdings ranks worse than 70.38% on this metric.
The historical rank and industry rank for Cell C Holdings's Gross Margin % or its related term are showing as below:
FRA:LZ9'
s Gross Margin % Range Over the Past 10 Years
Min: 20.75 Med: 24.19 Max: 46.54
Current: 34.55
During the past 3 years, the highestGross Margin % of Cell C Holdings was 46.54%. The lowest was 20.75%. And the median was 24.19%.
FRA:LZ9's Gross Margin % is ranked worse than 70.38% of 341
companies
in the Telecommunication Services industry
Industry Median: 51.52
vs FRA:LZ9: 34.55
Cell C Holdings had a gross margin of 34.18% for the quarter that ended in Nov. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Cell C Holdings was 0.00% per year.
Cell C Holdings (FRA:LZ9) 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
Cell C Holdings had a gross margin of 34.18% for the quarter that ended in Nov. 2025 => Competition eroding margins
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.
Cell C Holdings Gross Margin % Related Terms
Cell C Holdings Gross Margin % Historical Data
* Premium members only.
The historical data trend for Cell C Holdings'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.
For the Telecom Services subindustry, Cell C Holdings'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.
Cell C Holdings Gross Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Cell C Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Cell C Holdings'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.
Cell C Holdings (FRA:LZ9) has a Gross Margin % of 34.18% as of Nov. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Cell C Holdings and its competitors. This is 41% above median its historical median of 24.19. Over the past decade, Cell C Holdings' Gross Margin % has ranged from 20.75 to 46.54. According to the industry distribution chart, Cell C Holdings ranks #240 out of 341 companies in the Telecommunication Services industry, placing it in the top 70.4%.
Is Cell C Holdings' Gross Margin % too high?
Cell C Holdings' current Gross Margin % of 34.18% is 41% above median its 10-year median of 24.19. Over the past 10 years, this metric has ranged from a low of 20.75 to a high of 46.54. The Telecommunication Services industry median Gross Margin % is 51.52. Cell C Holdings' value of 34.18% is 33.7% below this industry median. Based on the distribution chart, Cell C Holdings ranks #240 out of 341 companies in the Telecommunication Services industry, which is below the industry midpoint. Overall, Cell C Holdings has a GF Score™ of 4/100, reflecting its overall financial health beyond just this single metric.
How does Cell C Holdings' Gross Margin % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Cell C Holdings ranks #240 out of 341 companies for Gross Margin %. This places Cell C Holdings in the lower half of its industry. The industry median Gross Margin % is 51.52. Cell C Holdings' value of 34.18% is 33.7% below this benchmark. Historically, Cell C Holdings' own Gross Margin % has ranged from 20.75 to 46.54 over the past decade. While the company's 10-year median is 24.19 vs. the industry median of 51.52, Cell C Holdings 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 Telecommunication Services company?
The median Gross Margin % among Telecommunication Services companies is 51.52, based on 341 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. Cell C Holdings's current Gross Margin % of 34.18% is 33.7% 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 Cell C Holdings and its competitors. For the Telecommunication Services industry, the median Gross Margin % is 51.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cell C Holdings's current Gross Margin % is 34.18%, which is 41% above median its own 10-year median of 24.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cell C Holdings stock overvalued right now?
Cell C Holdings (FRA:LZ9) has a current Gross Margin % of 34.18%. The current Gross Margin % is 34.18%, which is 41% above median its 10-year median of 24.19 and 33.7% below the Telecommunication Services industry median of 51.52. Cell C Holdings' overall GF Score™ is 4/100 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 Cell C Holdings (FRA:LZ9), the current Gross Margin % is 34.18% as of Nov. 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.
Cell C Holdings Ltd is a mobile provider in South Africa offering a wide scope of products and services, including voice, data, device and SIM deals to millions of customers.
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