China Renewable Energy Investment (HKSE:00987) Gross Margin %: 16.54% (As of Dec. 2025) — 51% Below Median

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HKSE:00987 China Renewable Energy Investment Ltd HKSE:00987
44 GF Score
Price HK$0.20
GF Value HK$0.12
Valuation Significantly Overvalued
! 5 Warning Signs
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What is China Renewable Energy Investment Gross Margin %?

China Renewable Energy Investment HKSE:00987 -0.99% 44 Gross Margin % is 16.54% as of Dec. 2025, which is 51% below its 10-year median of 34.08. GuruFocus rates HKSE:00987 with a GF Score™ of 44/100 and a GF Value™ of HK$0.12 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 404 Utilities - Independent Power Producers companies, China Renewable Energy Investment ranks worse than 58.91% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. China Renewable Energy Investment's Gross Profit for the six months ended in Dec. 2025 was HK$12.9 Mil. China Renewable Energy Investment's Revenue for the six months ended in Dec. 2025 was HK$78.0 Mil. Therefore, China Renewable Energy Investment's Gross Margin % for the quarter that ended in Dec. 2025 was 16.54%.

Warning Sign:

China Renewable Energy Investment Ltd gross margin has been in long-term decline. The average rate of decline per year is -11.4%.


The historical rank and industry rank for China Renewable Energy Investment's Gross Margin % or its related term are showing as below:

HKSE:00987' s Gross Margin % Range Over the Past 10 Years
Min: 20.2   Med: 34.08   Max: 44.79
Current: 26.58


During the past 13 years, the highest Gross Margin % of China Renewable Energy Investment was 44.79%. The lowest was 20.20%. And the median was 34.08%.

HKSE:00987's Gross Margin % is ranked worse than
58.91% of 404 companies
in the Utilities - Independent Power Producers industry
Industry Median: 31.32 vs HKSE:00987: 26.58

China Renewable Energy Investment had a gross margin of 16.54% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for China Renewable Energy Investment was -11.40% per year.


China Renewable Energy Investment  (HKSE:00987) 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

China Renewable Energy Investment had a gross margin of 16.54% 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.


China Renewable Energy Investment Gross Margin % Related Terms


China Renewable Energy Investment Gross Margin % Historical Data

* Premium members only.

The historical data trend for China Renewable Energy Investment'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.

China Renewable Energy Investment Gross Margin % Chart

China Renewable Energy Investment Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 44.79 32.79 28.76 20.20 26.58

China Renewable Energy Investment Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 24.33 14.12 25.30 34.91 16.54

China Renewable Energy Investment Gross Margin % Competitor Comparison

For the Utilities - Renewable subindustry, China Renewable Energy Investment'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.


China Renewable Energy Investment Gross Margin % vs Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, China Renewable Energy Investment's Gross Margin % distribution charts can be found below:

* The bar in red indicates where China Renewable Energy Investment's Gross Margin % falls into.


HKSE:00987
44GF Score
China Renewable Energy Investment Ltd HKSE:00987
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

China Renewable Energy Investment Gross Margin % Calculation

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

China Renewable Energy Investment's Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=45.8 / 172.216
=(Revenue - Cost of Goods Sold) / Revenue
=(172.216 - 126.434) / 172.216
=26.58 %

China Renewable Energy Investment's Gross Margin for the quarter that ended in Dec. 2025 is calculated as


Gross Margin % (Q: Dec. 2025 )=Gross Profit (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=12.9 / 78.04
=(Revenue - Cost of Goods Sold) / Revenue
=(78.04 - 65.136) / 78.04
=16.54 %

* 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 16.54% mean?
China Renewable Energy Investment (HKSE:00987) has a Gross Margin % of 16.54% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on China Renewable Energy Investment and its competitors. This is 51% below median its historical median of 34.08. Over the past decade, China Renewable Energy Investment's Gross Margin % has ranged from 20.20 to 44.79. According to the industry distribution chart, China Renewable Energy Investment ranks #238 out of 404 companies in the Utilities - Independent Power Producers industry, placing it in the top 58.9%.
Is China Renewable Energy Investment's Gross Margin % too high?
China Renewable Energy Investment's current Gross Margin % of 16.54% is 51% below median its 10-year median of 34.08. Over the past 10 years, this metric has ranged from a low of 20.20 to a high of 44.79. The Utilities - Independent Power Producers industry median Gross Margin % is 31.32. China Renewable Energy Investment's value of 16.54% is 47.2% below this industry median. Based on the distribution chart, China Renewable Energy Investment ranks #238 out of 404 companies in the Utilities - Independent Power Producers industry, which is below the industry midpoint. Overall, China Renewable Energy Investment has a GF Score™ of 44/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does China Renewable Energy Investment's Gross Margin % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, China Renewable Energy Investment ranks #238 out of 404 companies for Gross Margin %. This places China Renewable Energy Investment in the lower half of its industry. The industry median Gross Margin % is 31.32. China Renewable Energy Investment's value of 16.54% is 47.2% below this benchmark. Historically, China Renewable Energy Investment's own Gross Margin % has ranged from 20.20 to 44.79 over the past decade. While the company's 10-year median is 34.08 vs. the industry median of 31.32, China Renewable Energy Investment 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 an Utilities - Independent Power Producers company?
The median Gross Margin % among Utilities - Independent Power Producers companies is 31.32, based on 404 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. China Renewable Energy Investment's current Gross Margin % of 16.54% is 47.2% 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 China Renewable Energy Investment and its competitors. For the Utilities - Independent Power Producers industry, the median Gross Margin % is 31.32 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Renewable Energy Investment's current Gross Margin % is 16.54%, which is 51% below median its own 10-year median of 34.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Renewable Energy Investment stock overvalued right now?
Based on GuruFocus' analysis, China Renewable Energy Investment (HKSE:00987) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$0.12, compared to a current price of HK$0.20 — trading 66.7% above its estimated fair value. The current Gross Margin % is 16.54%, which is 51% below median its 10-year median of 34.08 and 47.2% below the Utilities - Independent Power Producers industry median of 31.32. China Renewable Energy Investment's overall GF Score™ is 44/100 with 5 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 China Renewable Energy Investment (HKSE:00987), the current Gross Margin % is 16.54% 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 China Renewable Energy Investment (HKSE:00987) Overvalued in 2026?

Based on GuruFocus' analysis, China Renewable Energy Investment stock appears to be overvalued. The current stock price of HK$0.20 is trading 66.7% above its estimated GF Value™ of HK$0.12. GuruFocus considers China Renewable Energy Investment to be Significantly Overvalued.

Key valuation signals for HKSE:00987:

  • Gross Margin %: 16.54% (51% below median its 10-year median of 34.08)
  • GF Value™: HK$0.12 vs. price of HK$0.20 (66.7% above fair value)
  • GF Score™: 44/100 with 5 warning signs
  • Industry Position: 47.2% below the Utilities - Independent Power Producers median (#238 of 404)

No single metric tells the full story. See the HKSE:00987 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China Renewable Energy Investment Business Description

Address 75 Mody Road, 9th Floor, Tower 1, South Seas Centre, Tsimshatsui East, Kowloon, Hong Kong, HKG
China Renewable Energy Investment Ltd are principally engaged in renewable energy business. The Group has operations mainly in the People's Republic of China. It is an investment holding company. The Group has a single reportable segment which is renewable energy segment. The company's sales of electricity were all generated by the wind power plants and a distributed solar project of the group. Some of its projects are Danjinghe Wind Farm, Changma Wind Farm, Lunaobao Wind Farm, Songxian Wind Farm, Nanxun Distributed Solar Project.
44GF Score

Get the complete analysis for HKSE:00987

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$0.20
Price
HK$0.12
GF Value