HMNKF (HMS Networks AB) Gross Margin %: 62.41% (As of Mar. 2026) — Near Median


HMNKF HMS Networks AB HMNKF
96 GF Score
Price $59.75
GF Value $53.20
Valuation Modestly Overvalued
! 2 Warning Signs
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What is HMS Networks AB Gross Margin %?

HMS Networks AB HMNKF 96 Gross Margin % is 62.41% as of Mar. 2026, which is 0% above its 10-year median of 62.18. GuruFocus rates HMNKF with a GF Score™ of 96/100 and a GF Value™ of $53.20 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 2,450 Hardware companies, HMS Networks AB ranks better than 94.61% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. HMS Networks AB's Gross Profit for the three months ended in Mar. 2026 was $65.0 Mil. HMS Networks AB's Revenue for the three months ended in Mar. 2026 was $104.2 Mil. Therefore, HMS Networks AB's Gross Margin % for the quarter that ended in Mar. 2026 was 62.41%.


The historical rank and industry rank for HMS Networks AB's Gross Margin % or its related term are showing as below:

HMNKF' s Gross Margin % Range Over the Past 10 Years
Min: 60.99   Med: 62.18   Max: 65.04
Current: 62.8


During the past 13 years, the highest Gross Margin % of HMS Networks AB was 65.04%. The lowest was 60.99%. And the median was 62.18%.

HMNKF's Gross Margin % is ranked better than
94.61% of 2450 companies
in the Hardware industry
Industry Median: 24.53 vs HMNKF: 62.80

HMS Networks AB had a gross margin of 62.41% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for HMS Networks AB was 0.40% per year.


HMS Networks AB  (OTCPK:HMNKF) 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

HMS Networks AB had a gross margin of 62.41% for the quarter that ended in Mar. 2026 => Durable 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.


HMS Networks AB Gross Margin % Related Terms


HMS Networks AB Gross Margin % Historical Data

* Premium members only.

The historical data trend for HMS Networks AB'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.

HMS Networks AB Gross Margin % Chart

HMS Networks AB 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 62.40 62.91 65.04 62.63 62.97

HMS Networks AB Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 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 63.03 61.80 64.09 62.88 62.41

HMNKF vs CSCO, CIEN, MSI: Gross Margin % Comparison

For the Communication Equipment subindustry, HMS Networks AB'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.


HMS Networks AB Gross Margin % vs Hardware Industry

For the Hardware industry and Technology sector, HMS Networks AB's Gross Margin % distribution charts can be found below:

* The bar in red indicates where HMS Networks AB's Gross Margin % falls into.


HMNKF
96GF Score
HMS Networks AB HMNKF
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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HMS Networks AB Gross Margin % Calculation

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

HMS Networks AB'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 )
=242.4 / 384.93
=(Revenue - Cost of Goods Sold) / Revenue
=(384.93 - 142.526) / 384.93
=62.97 %

HMS Networks AB'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 )
=65 / 104.216
=(Revenue - Cost of Goods Sold) / Revenue
=(104.216 - 39.175) / 104.216
=62.41 %

* 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 62.41% mean?
HMS Networks AB (HMNKF) has a Gross Margin % of 62.41% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on HMS Networks AB and its competitors. This is near median its historical median of 62.18. Over the past decade, HMS Networks AB's Gross Margin % has ranged from 60.99 to 65.04. According to the industry distribution chart, HMS Networks AB ranks #132 out of 2450 companies in the Hardware industry, placing it in the top 5.4%.
Is HMS Networks AB's Gross Margin % too high?
HMS Networks AB's current Gross Margin % of 62.41% is near median its 10-year median of 62.18. Over the past 10 years, this metric has ranged from a low of 60.99 to a high of 65.04. The Hardware industry median Gross Margin % is 24.53. HMS Networks AB's value of 62.41% is 154.4% above this industry median. Based on the distribution chart, HMS Networks AB ranks #132 out of 2450 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, HMS Networks AB has a GF Score™ of 96/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does HMS Networks AB's Gross Margin % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, HMS Networks AB ranks #132 out of 2450 companies for Gross Margin %. This places HMS Networks AB in the top 5% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 24.53. HMS Networks AB's value of 62.41% is 154.4% above this benchmark. Historically, HMS Networks AB's own Gross Margin % has ranged from 60.99 to 65.04 over the past decade. While the company's 10-year median is 62.18 vs. the industry median of 24.53, HMS Networks AB 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 a Hardware company?
The median Gross Margin % among Hardware companies is 24.53, based on 2,450 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. HMS Networks AB's current Gross Margin % of 62.41% is 154.4% 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 HMS Networks AB and its competitors. For the Hardware industry, the median Gross Margin % is 24.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. HMS Networks AB's current Gross Margin % is 62.41%, which is near median its own 10-year median of 62.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HMS Networks AB stock overvalued right now?
Based on GuruFocus' analysis, HMS Networks AB (HMNKF) is currently considered Modestly Overvalued. The stock's GF Value™ is $53.20, compared to a current price of $59.75 — trading 12.3% above its estimated fair value. The current Gross Margin % is 62.41%, which is near median its 10-year median of 62.18 and 154.4% above the Hardware industry median of 24.53. HMS Networks AB's overall GF Score™ is 96/100 with 2 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 HMS Networks AB (HMNKF), the current Gross Margin % is 62.41% 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 HMS Networks AB (HMNKF) Overvalued in 2026?

Based on GuruFocus' analysis, HMS Networks AB stock appears to be overvalued. The current stock price of $59.75 is trading 12.3% above its estimated GF Value™ of $53.20. GuruFocus considers HMS Networks AB to be Modestly Overvalued.

Key valuation signals for HMNKF:

  • Gross Margin %: 62.41% (near median its 10-year median of 62.18)
  • GF Value™: $53.20 vs. price of $59.75 (12.3% above fair value)
  • GF Score™: 96/100 with 2 warning signs
  • Industry Position: 154.4% above the Hardware median (#132 of 2450)

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


HMS Networks AB Business Description

Address Stationsgatan 37, Box 4126, Halmstad, SWE, SE-300 04
HMS Networks AB supplies proprietary, patented technology for intelligent industrial communication. It develops and manufactures solutions for connecting industrial products to networks and gateways, thus enabling interconnection between various networks. The group sells products in various countries, including Germany. Its operating segments include Industrial Data Solutions, Industrial Network Technology, and New Industries. The brands of the company are Anybus, Red Lion, N-Tron, Ewon, Intesis, Ixxat, Owasys, and PEAK-System.
96GF Score

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

$59.75
Price
$53.20
GF Value