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.
Shenwan Hongyuan (HK)FRA:WAY +2.29%40 Gross Margin % is 64.71% as of Dec. 2025, which is 3% above its 10-year median of 62.86. GuruFocus rates FRA:WAY with a GF Score™ of 40/100 and a GF Value™ of €0.07. The stock has 4 warning signs investors should review. Among 621 Capital Markets companies, Shenwan Hongyuan (HK) ranks better than 64.57% on this metric.
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
Shenwan Hongyuan (HK) had a gross margin of 64.71% 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.
Shenwan Hongyuan (HK) Gross Margin % Related Terms
Shenwan Hongyuan (HK) Gross Margin % Historical Data
* Premium members only.
The historical data trend for Shenwan Hongyuan (HK)'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:WAY vs MS, GS, SCHW: Gross Margin % Comparison
For the Capital Markets subindustry, Shenwan Hongyuan (HK)'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.
Shenwan Hongyuan (HK) Gross Margin % vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, Shenwan Hongyuan (HK)'s Gross Margin % distribution charts can be found below:
* The bar in red indicates where Shenwan Hongyuan (HK)'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.
Shenwan Hongyuan (HK) (FRA:WAY) has a Gross Margin % of 64.71% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Shenwan Hongyuan (HK) and its competitors. This is near median its historical median of 62.86. According to the industry distribution chart, Shenwan Hongyuan (HK) ranks #220 out of 621 companies in the Capital Markets industry, placing it in the top 35.4%.
Is Shenwan Hongyuan (HK)'s Gross Margin % too high?
Shenwan Hongyuan (HK)'s current Gross Margin % of 64.71% is near median its 10-year median of 62.86. The Capital Markets industry median Gross Margin % is 50.00. Shenwan Hongyuan (HK)'s value of 64.71% is 29.4% above this industry median. Based on the distribution chart, Shenwan Hongyuan (HK) ranks #220 out of 621 companies in the Capital Markets industry, which is above the industry midpoint. Overall, Shenwan Hongyuan (HK) has a GF Score™ of 40/100, reflecting its overall financial health beyond just this single metric.
How does Shenwan Hongyuan (HK)'s Gross Margin % compare to MS and GS?
According to the Capital Markets industry distribution chart, Shenwan Hongyuan (HK) ranks #220 out of 621 companies for Gross Margin %. This puts Shenwan Hongyuan (HK) in the upper half of its industry. The industry median Gross Margin % is 50.00. Shenwan Hongyuan (HK)'s value of 64.71% is 29.4% above this benchmark. While the company's 10-year median is 62.86 vs. the industry median of 50.00, Shenwan Hongyuan (HK) 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 Capital Markets company?
The median Gross Margin % among Capital Markets companies is 50.00, based on 621 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. Shenwan Hongyuan (HK)'s current Gross Margin % of 64.71% is 29.4% 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 Shenwan Hongyuan (HK) 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. Shenwan Hongyuan (HK)'s current Gross Margin % is 64.71%, which is near median its own 10-year median of 62.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shenwan Hongyuan (HK) stock overvalued right now?
Shenwan Hongyuan (HK) (FRA:WAY) has a current Gross Margin % of 64.71%. The stock's GF Value™ is €0.07, compared to a current price of €0.09 — trading 27.9% above its estimated fair value. The current Gross Margin % is 64.71%, which is near median its 10-year median of 62.86 and 29.4% above the Capital Markets industry median of 50.00. Shenwan Hongyuan (HK)'s overall GF Score™ is 40/100 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 Shenwan Hongyuan (HK) (FRA:WAY), the current Gross Margin % is 64.71% 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 Shenwan Hongyuan (HK) (FRA:WAY) Overvalued in 2026?
Based on GuruFocus' analysis, Shenwan Hongyuan (HK) stock appears to be overvalued.
The current stock price of €0.09 is trading 27.9% above its estimated GF Value™ of €0.07.
Key valuation signals for FRA:WAY:
Gross Margin %: 64.71% (near median its 10-year median of 62.86)
GF Value™: €0.07 vs. price of €0.09 (27.9% above fair value)
Industry Position: 29.4% above the Capital Markets median (#220 of 621)
No single metric tells the full story. See the FRA:WAY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shenwan Hongyuan (HK) Ltd is an investment holding company. The business scope of the company covers brokerage business, corporate finance business, asset management business, financing and loans business, and investment and other business. The company has five business segments including Corporate finance, Principal Investment, Wealth management, Institutional services and trading, Asset management, and others. The company's operations are mainly located in Hong Kong. It derives a majority of its revenues from the Wealth management segment.
40GF Score
Get the complete analysis for FRA:WAY
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:WAY has been successfully added to your 
