Shougang Fushan Resources Group (OTCPK:FSHYF) 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
Shougang Fushan Resources Group had a gross margin of 14.97% 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.
Shougang Fushan Resources Group Gross Margin % Related Terms
Shougang Fushan Resources Group 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.
Shougang Fushan Resources Group Gross Margin % Chart
FSHYF vs HCC, AMR, METC: Gross Margin % Comparison
For the Coking Coal subindustry, Shougang Fushan Resources Group'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.
Shougang Fushan Resources Group Gross Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Shougang Fushan Resources Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Shougang Fushan Resources Group'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.
Shougang Fushan Resources Group (FSHYF) has a Gross Margin % of 14.97% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Shougang Fushan Resources Group and its competitors. This is 71% below median its historical median of 51.60. Over the past decade, Shougang Fushan Resources Group's Gross Margin % has ranged from 21.44 to 64.39. According to the industry distribution chart, Shougang Fushan Resources Group ranks #159 out of 594 companies in the Steel industry, placing it in the top 26.8%.
Is Shougang Fushan Resources Group's Gross Margin % too high?
Shougang Fushan Resources Group's current Gross Margin % of 14.97% is 71% below median its 10-year median of 51.60. Over the past 10 years, this metric has ranged from a low of 21.44 to a high of 64.39. The Steel industry median Gross Margin % is 12.61. Shougang Fushan Resources Group's value of 14.97% is 18.7% above this industry median. Based on the distribution chart, Shougang Fushan Resources Group ranks #159 out of 594 companies in the Steel industry, which is above the industry midpoint. Overall, Shougang Fushan Resources Group has a GF Score™ of 59/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shougang Fushan Resources Group's Gross Margin % compare to HCC and AMR?
According to the Steel industry distribution chart, Shougang Fushan Resources Group ranks #159 out of 594 companies for Gross Margin %. This puts Shougang Fushan Resources Group in the upper half of its industry. The industry median Gross Margin % is 12.61. Shougang Fushan Resources Group's value of 14.97% is 18.7% above this benchmark. Historically, Shougang Fushan Resources Group's own Gross Margin % has ranged from 21.44 to 64.39 over the past decade. While the company's 10-year median is 51.60 vs. the industry median of 12.61, Shougang Fushan Resources Group 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 Steel company?
The median Gross Margin % among Steel companies is 12.61, based on 594 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. Shougang Fushan Resources Group's current Gross Margin % of 14.97% is 18.7% 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 Shougang Fushan Resources Group and its competitors. For the Steel industry, the median Gross Margin % is 12.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shougang Fushan Resources Group's current Gross Margin % is 14.97%, which is 71% below median its own 10-year median of 51.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shougang Fushan Resources Group stock overvalued right now?
Based on GuruFocus' analysis, Shougang Fushan Resources Group (FSHYF) is currently considered Modestly Undervalued. The stock's GF Value™ is $0.40, compared to a current price of $0.31 — trading 21.3% below its estimated fair value. The current Gross Margin % is 14.97%, which is 71% below median its 10-year median of 51.60 and 18.7% above the Steel industry median of 12.61. Shougang Fushan Resources Group's overall GF Score™ is 59/100 with 7 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 Shougang Fushan Resources Group (FSHYF), the current Gross Margin % is 14.97% 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 Shougang Fushan Resources Group (FSHYF) Overvalued in 2026?
Based on GuruFocus' analysis, Shougang Fushan Resources Group stock appears to be undervalued.
The current stock price of $0.31 is trading 21.3% below its estimated GF Value™ of $0.40.
GuruFocus considers Shougang Fushan Resources Group to be Modestly Undervalued.
Key valuation signals for FSHYF:
Gross Margin %: 14.97% (71% below median its 10-year median of 51.60)
GF Value™: $0.40 vs. price of $0.31 (21.3% below fair value)
Industry Position: 18.7% above the Steel median (#159 of 594)
No single metric tells the full story. See the FSHYF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shougang Fushan Resources Group Business Description
Shougang Fushan Resources Group Ltd is engaged in coking coal mining, producing, and selling coking coal products in the PRC. It derives revenue from the sale of clean coking coal, sales of self-produced by-products and trading of coal products. The Group operates coking coal mines and coal preparation plants. It has three premium operating coking coal mines in Liulin County, Shanxi Province (Xingwu Coal Mine, Jinjiazhuang Coal Mine and Zhaiyadi Coal Mine), along with three premium coking coal mines and the associated coal preparation plants for the production of raw and clean coking coal. The Group has a business presence in the PRC and Hong Kong. The Group generates overall revenue from the PRC.
59GF Score
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