WellCell Holdings CoHKSE:02477 -3.28%42 Gross Margin % is 13.07% as of Dec. 2025, which is 51% below its 10-year median of 26.76. GuruFocus rates HKSE:02477 with a GF Score™ of 42/100. The stock has 5 warning signs investors should review. Among 341 Telecommunication Services companies, WellCell Holdings Co ranks worse than 90.03% on this metric.
WellCell Holdings Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -19.9%.
The historical rank and industry rank for WellCell Holdings Co's Gross Margin % or its related term are showing as below:
HKSE:02477'
s Gross Margin % Range Over the Past 10 Years
Min: 16.66 Med: 26.76 Max: 48.33
Current: 16.66
During the past 6 years, the highestGross Margin % of WellCell Holdings Co was 48.33%. The lowest was 16.66%. And the median was 26.76%.
HKSE:02477's Gross Margin % is ranked worse than 90.03% of 341
companies
in the Telecommunication Services industry
Industry Median: 51.52
vs HKSE:02477: 16.66
WellCell Holdings Co had a gross margin of 13.07% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for WellCell Holdings Co was -19.90% per year.
WellCell Holdings Co (HKSE:02477) 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
WellCell Holdings Co had a gross margin of 13.07% 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.
WellCell Holdings Co Gross Margin % Related Terms
WellCell Holdings Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for WellCell Holdings 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.
HKSE:02477 vs TMUS, VZ, T: Gross Margin % Comparison
For the Telecom Services subindustry, WellCell Holdings 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.
WellCell Holdings Co Gross Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, WellCell Holdings Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where WellCell Holdings 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.
WellCell Holdings Co (HKSE:02477) has a Gross Margin % of 13.07% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on WellCell Holdings Co and its competitors. This is 51% below median its historical median of 26.76. Over the past decade, WellCell Holdings Co's Gross Margin % has ranged from 16.66 to 48.33. According to the industry distribution chart, WellCell Holdings Co ranks #307 out of 341 companies in the Telecommunication Services industry, placing it in the top 90%.
Is WellCell Holdings Co's Gross Margin % too high?
WellCell Holdings Co's current Gross Margin % of 13.07% is 51% below median its 10-year median of 26.76. Over the past 10 years, this metric has ranged from a low of 16.66 to a high of 48.33. The Telecommunication Services industry median Gross Margin % is 51.52. WellCell Holdings Co's value of 13.07% is 74.6% below this industry median. Based on the distribution chart, WellCell Holdings Co ranks #307 out of 341 companies in the Telecommunication Services industry, which is in the bottom quartile relative to peers. Overall, WellCell Holdings Co has a GF Score™ of 42/100, reflecting its overall financial health beyond just this single metric.
How does WellCell Holdings Co's Gross Margin % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, WellCell Holdings Co ranks #307 out of 341 companies for Gross Margin %. This places WellCell Holdings Co in the lower half of its industry. The industry median Gross Margin % is 51.52. WellCell Holdings Co's value of 13.07% is 74.6% below this benchmark. Historically, WellCell Holdings Co's own Gross Margin % has ranged from 16.66 to 48.33 over the past decade. While the company's 10-year median is 26.76 vs. the industry median of 51.52, WellCell Holdings 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 Telecommunication Services company?
The median Gross Margin % among Telecommunication Services companies is 51.52, based on 341 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. WellCell Holdings Co's current Gross Margin % of 13.07% is 74.6% 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 WellCell Holdings Co and its competitors. For the Telecommunication Services industry, the median Gross Margin % is 51.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. WellCell Holdings Co's current Gross Margin % is 13.07%, which is 51% below median its own 10-year median of 26.76. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is WellCell Holdings Co stock overvalued right now?
WellCell Holdings Co (HKSE:02477) has a current Gross Margin % of 13.07%. The current Gross Margin % is 13.07%, which is 51% below median its 10-year median of 26.76 and 74.6% below the Telecommunication Services industry median of 51.52. WellCell Holdings Co's overall GF Score™ is 42/100 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 WellCell Holdings Co (HKSE:02477), the current Gross Margin % is 13.07% 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.
WellCell Holdings Co Ltd is a telecommunication network support and information and communication technology (ICT) integration services provider and software developer in the PRC. Its telecommunication network support services mainly include the provision of wireless telecommunication network enhancement services, encompassing both routine and specific services for improving connectivity, quality and coverage of a telecommunication network and for troubleshooting telecommunication network issues for its customers; and telecommunication network infrastructure maintenance and engineering services, involving routine maintenance and emergency restoration of the operations of base stations, and provision of engineering and labour services in projects related to the construction.
42GF Score
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