GDET (GD Entertainment & Technology) Gross Margin %: 25.66% (As of Feb. 2006)


What is GD Entertainment & Technology Gross Margin %?

GD Entertainment & Technology GDET -99.00% Gross Margin % is 25.66% as of Feb. 2006.

Gross Margin % is calculated as gross profit divided by its revenue. GD Entertainment & Technology's Gross Profit for the three months ended in Feb. 2006 was $0.18 Mil. GD Entertainment & Technology's Revenue for the three months ended in Feb. 2006 was $0.68 Mil. Therefore, GD Entertainment & Technology's Gross Margin % for the quarter that ended in Feb. 2006 was 25.66%.


The historical rank and industry rank for GD Entertainment & Technology's Gross Margin % or its related term are showing as below:


GDET's Gross Margin % is not ranked *
in the Personal Services industry.
Industry Median: 41.795
* Ranked among companies with meaningful Gross Margin % only.

GD Entertainment & Technology had a gross margin of 25.66% for the quarter that ended in Feb. 2006 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for GD Entertainment & Technology was 0.00% per year.


GD Entertainment & Technology  (OTCPK:GDET) 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

GD Entertainment & Technology had a gross margin of 25.66% for the quarter that ended in Feb. 2006 => 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.


GD Entertainment & Technology Gross Margin % Related Terms


GD Entertainment & Technology Gross Margin % Historical Data

* Premium members only.

The historical data trend for GD Entertainment & Technology'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.

GD Entertainment & Technology Gross Margin % Chart

GD Entertainment & Technology Annual Data
Trend May01 May04 May05
Gross Margin %
49.95 67.55 68.30

GD Entertainment & Technology Quarterly Data
May01 Aug01 Nov01 Feb02 May04 Aug04 Nov04 Feb05 May05 Aug05 Nov05 Feb06
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 53.31 -9.96 63.98 69.60 25.66

GD Entertainment & Technology Gross Margin % Competitor Comparison

For the Personal Services subindustry, GD Entertainment & Technology'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.


GD Entertainment & Technology Gross Margin % vs Personal Services Industry

For the Personal Services industry and Consumer Cyclical sector, GD Entertainment & Technology's Gross Margin % distribution charts can be found below:

* The bar in red indicates where GD Entertainment & Technology's Gross Margin % falls into.



GD Entertainment & Technology Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

GD Entertainment & Technology's Gross Margin for the fiscal year that ended in May. 2005 is calculated as

Gross Margin % (A: May. 2005 )=Gross Profit (A: May. 2005 ) / Revenue (A: May. 2005 )
=0.7 / 1.038
=(Revenue - Cost of Goods Sold) / Revenue
=(1.038 - 0.329) / 1.038
=68.30 %

GD Entertainment & Technology's Gross Margin for the quarter that ended in Feb. 2006 is calculated as


Gross Margin % (Q: Feb. 2006 )=Gross Profit (Q: Feb. 2006 ) / Revenue (Q: Feb. 2006 )
=0.2 / 0.682
=(Revenue - Cost of Goods Sold) / Revenue
=(0.682 - 0.507) / 0.682
=25.66 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 25.66% mean?
GD Entertainment & Technology (GDET) has a Gross Margin % of 25.66% as of Feb. 2006. Gross margin is the ratio of total gross profit to net sales. View historical data on GD Entertainment & Technology and its competitors.
Is GD Entertainment & Technology's Gross Margin % too high?
GD Entertainment & Technology's current Gross Margin % is 25.66%. The Personal Services industry median Gross Margin % is 41.80. GD Entertainment & Technology's value of 25.66% is 38.6% below this industry median.
How does GD Entertainment & Technology's Gross Margin % compare to competitors?
GD Entertainment & Technology's Gross Margin % of 25.66% can be compared against companies in the Personal Services industry. The industry median Gross Margin % is 41.80. GD Entertainment & Technology's value of 25.66% is 38.6% below this benchmark. 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 Personal Services company?
The median Gross Margin % among Personal Services companies is 41.80, based on 94 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. GD Entertainment & Technology's current Gross Margin % of 25.66% is 38.6% 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 GD Entertainment & Technology and its competitors. For the Personal Services industry, the median Gross Margin % is 41.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. GD Entertainment & Technology's current Gross Margin % is 25.66%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is GD Entertainment & Technology stock overvalued right now?
GD Entertainment & Technology (GDET) has a current Gross Margin % of 25.66%. The current Gross Margin % is 25.66% and 38.6% below the Personal Services industry median of 41.80. 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 GD Entertainment & Technology (GDET), the current Gross Margin % is 25.66% as of Feb. 2006. 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.

GD Entertainment & Technology Business Description

Address 1 Bridge Plaza, 2nd Floor, Fort Lee, NJ, USA, 07024
GD Entertainment & Technology Inc focuses on high growth industries. The company currently has one operating subsidiary, DreamCard, a high-end metal card that personalizes debit and credit cards for a fee which allows users to create a customizable debit or credit card using its online platform. It also customizes Specialty Cards for Customer Loyalty and Affinity Networks. It simply takes an existing debit or credit card and transfers its data and chip into a new metal, 24karat or Stainless Steel card of the cardholders design and ships it to the holder. GDET markets to the business enterprises that promote commerce to members with a VIP card. Casinos and Affinity Networks form the base of company consumers.