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.
Hing Lee (HK) HoldingsHKSE:00396 +1.49%33 Gross Margin % is 16.43% as of Dec. 2025, which is 9% above its 10-year median of 15.11. GuruFocus rates HKSE:00396 with a GF Score™ of 33/100 and a GF Value™ of HK$0.06 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 417 Furnishings, Fixtures & Appliances companies, Hing Lee (HK) Holdings ranks worse than 88.49% on this metric.
HKSE:00396's Gross Margin % is ranked worse than 88.49% of 417
companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 29.36
vs HKSE:00396: 12.66
Hing Lee (HK) Holdings had a gross margin of 16.43% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Hing Lee (HK) Holdings was 4.60% per year.
Hing Lee (HK) Holdings (HKSE:00396) 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
Hing Lee (HK) Holdings had a gross margin of 16.43% 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.
Hing Lee (HK) Holdings Gross Margin % Related Terms
Hing Lee (HK) Holdings Gross Margin % Historical Data
* Premium members only.
The historical data trend for Hing Lee (HK) 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.
HKSE:00396 vs SN, SGI, MHK: Gross Margin % Comparison
For the Furnishings, Fixtures & Appliances subindustry, Hing Lee (HK) 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.
Hing Lee (HK) Holdings Gross Margin % vs Furnishings, Fixtures & Appliances Industry
For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Hing Lee (HK) Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Hing Lee (HK) 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.
Hing Lee (HK) Holdings (HKSE:00396) has a Gross Margin % of 16.43% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Hing Lee (HK) Holdings and its competitors. This is near median its historical median of 15.11. Over the past decade, Hing Lee (HK) Holdings' Gross Margin % has ranged from 9.25 to 25.59. According to the industry distribution chart, Hing Lee (HK) Holdings ranks #369 out of 417 companies in the Furnishings, Fixtures & Appliances industry, placing it in the top 88.5%.
Is Hing Lee (HK) Holdings' Gross Margin % too high?
Hing Lee (HK) Holdings' current Gross Margin % of 16.43% is near median its 10-year median of 15.11. Over the past 10 years, this metric has ranged from a low of 9.25 to a high of 25.59. The Furnishings, Fixtures & Appliances industry median Gross Margin % is 29.36. Hing Lee (HK) Holdings' value of 16.43% is 44% below this industry median. Based on the distribution chart, Hing Lee (HK) Holdings ranks #369 out of 417 companies in the Furnishings, Fixtures & Appliances industry, which is in the bottom quartile relative to peers. Overall, Hing Lee (HK) Holdings has a GF Score™ of 33/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hing Lee (HK) Holdings' Gross Margin % compare to SN and SGI?
According to the Furnishings, Fixtures & Appliances industry distribution chart, Hing Lee (HK) Holdings ranks #369 out of 417 companies for Gross Margin %. This places Hing Lee (HK) Holdings in the lower half of its industry. The industry median Gross Margin % is 29.36. Hing Lee (HK) Holdings' value of 16.43% is 44% below this benchmark. Historically, Hing Lee (HK) Holdings' own Gross Margin % has ranged from 9.25 to 25.59 over the past decade. While the company's 10-year median is 15.11 vs. the industry median of 29.36, Hing Lee (HK) 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 Furnishings, Fixtures & Appliances company?
The median Gross Margin % among Furnishings, Fixtures & Appliances companies is 29.36, based on 417 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. Hing Lee (HK) Holdings's current Gross Margin % of 16.43% is 44% 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 Hing Lee (HK) Holdings and its competitors. For the Furnishings, Fixtures & Appliances industry, the median Gross Margin % is 29.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hing Lee (HK) Holdings's current Gross Margin % is 16.43%, which is near median its own 10-year median of 15.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hing Lee (HK) Holdings stock overvalued right now?
Based on GuruFocus' analysis, Hing Lee (HK) Holdings (HKSE:00396) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$0.06, compared to a current price of HK$0.34 — trading 466.7% above its estimated fair value. The current Gross Margin % is 16.43%, which is near median its 10-year median of 15.11 and 44% below the Furnishings, Fixtures & Appliances industry median of 29.36. Hing Lee (HK) Holdings' overall GF Score™ is 33/100 with 3 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 Hing Lee (HK) Holdings (HKSE:00396), the current Gross Margin % is 16.43% 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 Hing Lee (HK) Holdings (HKSE:00396) Overvalued in 2026?
Based on GuruFocus' analysis, Hing Lee (HK) Holdings stock appears to be overvalued.
The current stock price of HK$0.34 is trading 466.7% above its estimated GF Value™ of HK$0.06.
GuruFocus considers Hing Lee (HK) Holdings to be Significantly Overvalued.
Key valuation signals for HKSE:00396:
Gross Margin %: 16.43% (near median its 10-year median of 15.11)
GF Value™: HK$0.06 vs. price of HK$0.34 (466.7% above fair value)
Industry Position: 44% below the Furnishings, Fixtures & Appliances median (#369 of 417)
No single metric tells the full story. See the HKSE:00396 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hing Lee (HK) Holdings Ltd is an investment holding company. Through its subsidiaries, it is mainly engaged in furniture design and the integration of the manufacturing and wholesale furniture business. The Group owns Mogou, Johnston, Oriant, and other brands, providing a full range of residential furniture products, including mattress products for the bedroom, living room, dining room, and home office use. Additionally, the Group offers general business consultancy services; provides promotional services relating to layout design, fitting, and display of products; and engages in licensing of its own brands and product designs. Geographically, it generates maximum revenue from Asia (excluding the PRC), and the rest from the United States, Europe, the PRC, Australia, and Africa.
33GF Score
Get the complete analysis for HKSE:00396
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
HKSE:00396 has been successfully added to your 
