Guardforce AI CoGFAI -0.38%35 Gross Margin % is 13.69% as of Dec. 2025, which is 8% above its 10-year median of 12.67. GuruFocus rates GFAI with a GF Score™ of 35/100 and a GF Value™ of $0.62 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 1,005 Business Services companies, Guardforce AI Co ranks worse than 85.57% on this metric.
The historical rank and industry rank for Guardforce AI Co's Gross Margin % or its related term are showing as below:
GFAI'
s Gross Margin % Range Over the Past 10 Years
Min: 10.42 Med: 12.67 Max: 16.67
Current: 15
During the past 7 years, the highestGross Margin % of Guardforce AI Co was 16.67%. The lowest was 10.42%. And the median was 12.67%.
GFAI's Gross Margin % is ranked worse than 85.57% of 1005
companies
in the Business Services industry
Industry Median: 34.46
vs GFAI: 15.00
Guardforce AI Co had a gross margin of 13.69% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Guardforce AI Co was 2.10% per year.
Guardforce AI Co (NAS:GFAI) 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
Guardforce AI Co had a gross margin of 13.69% 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.
Guardforce AI Co Gross Margin % Related Terms
Guardforce AI Co Gross Margin % Historical Data
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The historical data trend for Guardforce AI Co'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.
GFAI vs VRME, BKYI, IVDA: Gross Margin % Comparison
For the Security & Protection Services subindustry, Guardforce AI Co'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.
Guardforce AI Co Gross Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Guardforce AI Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Guardforce AI Co'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.
Guardforce AI Co (GFAI) has a Gross Margin % of 13.69% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Guardforce AI Co and its competitors. This is near median its historical median of 12.67. Over the past decade, Guardforce AI Co's Gross Margin % has ranged from 10.42 to 16.67. According to the industry distribution chart, Guardforce AI Co ranks #860 out of 1005 companies in the Business Services industry, placing it in the top 85.6%.
Is Guardforce AI Co's Gross Margin % too high?
Guardforce AI Co's current Gross Margin % of 13.69% is near median its 10-year median of 12.67. Over the past 10 years, this metric has ranged from a low of 10.42 to a high of 16.67. The Business Services industry median Gross Margin % is 34.46. Guardforce AI Co's value of 13.69% is 60.3% below this industry median. Based on the distribution chart, Guardforce AI Co ranks #860 out of 1005 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, Guardforce AI Co has a GF Score™ of 35/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Guardforce AI Co's Gross Margin % compare to VRME and BKYI?
According to the Business Services industry distribution chart, Guardforce AI Co ranks #860 out of 1005 companies for Gross Margin %. This places Guardforce AI Co in the lower half of its industry. The industry median Gross Margin % is 34.46. Guardforce AI Co's value of 13.69% is 60.3% below this benchmark. Historically, Guardforce AI Co's own Gross Margin % has ranged from 10.42 to 16.67 over the past decade. While the company's 10-year median is 12.67 vs. the industry median of 34.46, Guardforce AI Co 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 Business Services company?
The median Gross Margin % among Business Services companies is 34.46, based on 1,005 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. Guardforce AI Co's current Gross Margin % of 13.69% is 60.3% 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 Guardforce AI Co and its competitors. For the Business Services industry, the median Gross Margin % is 34.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Guardforce AI Co's current Gross Margin % is 13.69%, which is near median its own 10-year median of 12.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Guardforce AI Co stock overvalued right now?
Based on GuruFocus' analysis, Guardforce AI Co (GFAI) is currently considered Possible Value Trap. The stock's GF Value™ is $0.62, compared to a current price of $0.39 — trading 37.1% below its estimated fair value. The current Gross Margin % is 13.69%, which is near median its 10-year median of 12.67 and 60.3% below the Business Services industry median of 34.46. Guardforce AI Co's overall GF Score™ is 35/100 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 Guardforce AI Co (GFAI), the current Gross Margin % is 13.69% 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 Guardforce AI Co (GFAI) Overvalued in 2026?
Based on GuruFocus' analysis, Guardforce AI Co stock appears to be undervalued.
The current stock price of $0.39 is trading 37.1% below its estimated GF Value™ of $0.62.
GuruFocus considers Guardforce AI Co to be Possible Value Trap.
Key valuation signals for GFAI:
Gross Margin %: 13.69% (near median its 10-year median of 12.67)
GF Value™: $0.62 vs. price of $0.39 (37.1% below fair value)
Industry Position: 60.3% below the Business Services median (#860 of 1005)
No single metric tells the full story. See the GFAI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Guardforce AI Co Ltd is an integrated solution provider, specializing in security solutions, and also focuses on implementing AI and robotics solutions to improve business operational efficiency and sales and marketing processes, especially for the retail and travel industry in the Asia Pacific region. The company's operating business segments include Secured Logistics, AI & Robotics Solution Business, and Corporate and others. The majority of its revenue is generated from the Secured Logistics segment, which includes services like cash-in-transit, dedicated vehicles to banks, ATM management, cash center operations, cash processing, coin processing, cheque center, and cash deposit machine solutions. Geographically, the company generates maximum revenue from Thailand.
35GF Score
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