Precision Tsugami (China) (HKSE:01651) Gross Margin %: 35.16% (As of Mar. 2026) — 39% Above Median

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HKSE:01651 Precision Tsugami (China) Corp Ltd HKSE:01651
81 GF Score
Price HK$52.35
GF Value HK$20.43
Valuation Significantly Overvalued
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What is Precision Tsugami (China) Gross Margin %?

Precision Tsugami (China) HKSE:01651 +1.95% 81 Gross Margin % is 35.16% as of Mar. 2026, which is 39% above its 10-year median of 25.30. GuruFocus rates HKSE:01651 with a GF Score™ of 81/100 and a GF Value™ of HK$20.43 (Significantly Overvalued). Among 3,007 Industrial Products companies, Precision Tsugami (China) ranks better than 68.94% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Precision Tsugami (China)'s Gross Profit for the six months ended in Mar. 2026 was HK$1,073 Mil. Precision Tsugami (China)'s Revenue for the six months ended in Mar. 2026 was HK$3,052 Mil. Therefore, Precision Tsugami (China)'s Gross Margin % for the quarter that ended in Mar. 2026 was 35.16%.


The historical rank and industry rank for Precision Tsugami (China)'s Gross Margin % or its related term are showing as below:

HKSE:01651' s Gross Margin % Range Over the Past 10 Years
Min: 17.8   Med: 25.3   Max: 34.88
Current: 34.88


During the past 12 years, the highest Gross Margin % of Precision Tsugami (China) was 34.88%. The lowest was 17.80%. And the median was 25.30%.

HKSE:01651's Gross Margin % is ranked better than
68.94% of 3007 companies
in the Industrial Products industry
Industry Median: 26.95 vs HKSE:01651: 34.88

Precision Tsugami (China) had a gross margin of 35.16% for the quarter that ended in Mar. 2026 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Precision Tsugami (China) was 7.50% per year.


Precision Tsugami (China)  (HKSE:01651) 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

Precision Tsugami (China) had a gross margin of 35.16% for the quarter that ended in Mar. 2026 => 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.


Precision Tsugami (China) Gross Margin % Related Terms


Precision Tsugami (China) Gross Margin % Historical Data

* Premium members only.

The historical data trend for Precision Tsugami (China)'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.

Precision Tsugami (China) Gross Margin % Chart

Precision Tsugami (China) Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 26.54 25.60 28.71 33.10 34.87

Precision Tsugami (China) Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
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 29.62 32.10 33.96 34.56 35.16

HKSE:01651 vs SNA, RBC, SWK: Gross Margin % Comparison

For the Tools & Accessories subindustry, Precision Tsugami (China)'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.


Precision Tsugami (China) Gross Margin % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Precision Tsugami (China)'s Gross Margin % distribution charts can be found below:

* The bar in red indicates where Precision Tsugami (China)'s Gross Margin % falls into.


HKSE:01651
81GF Score
Precision Tsugami (China) Corp Ltd HKSE:01651
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Precision Tsugami (China) Gross Margin % Calculation

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

Precision Tsugami (China)'s Gross Margin for the fiscal year that ended in Mar. 2026 is calculated as

Gross Margin % (A: Mar. 2026 )=Gross Profit (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=2053.1 / 5887.134
=(Revenue - Cost of Goods Sold) / Revenue
=(5887.134 - 3834.056) / 5887.134
=34.87 %

Precision Tsugami (China)'s Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=1073.1 / 3051.613
=(Revenue - Cost of Goods Sold) / Revenue
=(3051.613 - 1978.525) / 3051.613
=35.16 %

* 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 35.16% mean?
Precision Tsugami (China) (HKSE:01651) has a Gross Margin % of 35.16% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Precision Tsugami (China) and its competitors. This is 39% above median its historical median of 25.30. Over the past decade, Precision Tsugami (China)'s Gross Margin % has ranged from 17.80 to 34.88. According to the industry distribution chart, Precision Tsugami (China) ranks #934 out of 3007 companies in the Industrial Products industry, placing it in the top 31.1%.
Is Precision Tsugami (China)'s Gross Margin % too high?
Precision Tsugami (China)'s current Gross Margin % of 35.16% is 39% above median its 10-year median of 25.30. Over the past 10 years, this metric has ranged from a low of 17.80 to a high of 34.88. The Industrial Products industry median Gross Margin % is 26.95. Precision Tsugami (China)'s value of 35.16% is 30.5% above this industry median. Based on the distribution chart, Precision Tsugami (China) ranks #934 out of 3007 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Precision Tsugami (China) has a GF Score™ of 81/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Precision Tsugami (China)'s Gross Margin % compare to SNA and RBC?
According to the Industrial Products industry distribution chart, Precision Tsugami (China) ranks #934 out of 3007 companies for Gross Margin %. This puts Precision Tsugami (China) in the upper half of its industry. The industry median Gross Margin % is 26.95. Precision Tsugami (China)'s value of 35.16% is 30.5% above this benchmark. Historically, Precision Tsugami (China)'s own Gross Margin % has ranged from 17.80 to 34.88 over the past decade. While the company's 10-year median is 25.30 vs. the industry median of 26.95, Precision Tsugami (China) 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 an Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.95, based on 3,007 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. Precision Tsugami (China)'s current Gross Margin % of 35.16% is 30.5% 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 Precision Tsugami (China) and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.95 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Precision Tsugami (China)'s current Gross Margin % is 35.16%, which is 39% above median its own 10-year median of 25.30. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Precision Tsugami (China) stock overvalued right now?
Based on GuruFocus' analysis, Precision Tsugami (China) (HKSE:01651) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$20.43, compared to a current price of HK$52.35 — trading 156.2% above its estimated fair value. The current Gross Margin % is 35.16%, which is 39% above median its 10-year median of 25.30 and 30.5% above the Industrial Products industry median of 26.95. Precision Tsugami (China)'s overall GF Score™ is 81/100. 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 Precision Tsugami (China) (HKSE:01651), the current Gross Margin % is 35.16% as of Mar. 2026. 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 Precision Tsugami (China) (HKSE:01651) Overvalued in 2026?

Based on GuruFocus' analysis, Precision Tsugami (China) stock appears to be overvalued. The current stock price of HK$52.35 is trading 156.2% above its estimated GF Value™ of HK$20.43. GuruFocus considers Precision Tsugami (China) to be Significantly Overvalued.

Key valuation signals for HKSE:01651:

  • Gross Margin %: 35.16% (39% above median its 10-year median of 25.30)
  • GF Value™: HK$20.43 vs. price of HK$52.35 (156.2% above fair value)
  • GF Score™: 81/100
  • Industry Position: 30.5% above the Industrial Products median (#934 of 3007)

No single metric tells the full story. See the HKSE:01651 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Precision Tsugami (China) Business Description

Address No. 2001 Pingcheng Road, Pinghu Economic-Technological Development Zone, Zhejiang Province, Pinghu, CHN, 314200
Precision Tsugami (China) Corp Ltd is engaged in the manufacturing and distribution of computer numerical control (CNC) high precision machine tools; and the provision of commercial consultation services. It manufactures and sells CNC machine tools including Precision lathes, Precision machining centers, Precision thread and form rolling machines and Precision grinding machines under the TSUGAMI brand. The company only has one reportable operating segment which is the manufacture and sale of high precision CNC machine tools. Its products are mainly for the Chinese market and are also sold to Japan, Europe, the USA, Southeast Asia and other countries.
81GF Score

Get the complete analysis for HKSE:01651

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

HK$52.35
Price
HK$20.43
GF Value