Huize HoldingHUIZ -3.71%58 Gross Margin % is 26.58% as of Dec. 2025, which is 27% below its 10-year median of 36.44. GuruFocus rates HUIZ with a GF Score™ of 58/100 and a GF Value™ of $5.14 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 59 Insurance companies, Huize Holding ranks worse than 71.19% on this metric.
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
Huize Holding had a gross margin of 26.58% for the quarter that ended in Dec. 2025 => 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.
Huize Holding Gross Margin % Related Terms
Huize Holding Gross Margin % Historical Data
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The historical data trend for Huize Holding'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.
HUIZ vs GOCO, EZRA, TIRXF: Gross Margin % Comparison
For the Insurance Brokers subindustry, Huize Holding'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.
Huize Holding Gross Margin % vs Insurance Industry
For the Insurance industry and Financial Services sector, Huize Holding's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Huize Holding'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.
Huize Holding (HUIZ) has a Gross Margin % of 26.58% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Huize Holding and its competitors. This is 27% below median its historical median of 36.44. Over the past decade, Huize Holding's Gross Margin % has ranged from 24.69 to 37.44. According to the industry distribution chart, Huize Holding ranks #42 out of 59 companies in the Insurance industry, placing it in the top 71.2%.
Is Huize Holding's Gross Margin % too high?
Huize Holding's current Gross Margin % of 26.58% is 27% below median its 10-year median of 36.44. Over the past 10 years, this metric has ranged from a low of 24.69 to a high of 37.44. The Insurance industry median Gross Margin % is 42.38. Huize Holding's value of 26.58% is 37.3% below this industry median. Based on the distribution chart, Huize Holding ranks #42 out of 59 companies in the Insurance industry, which is below the industry midpoint. Overall, Huize Holding has a GF Score™ of 58/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Huize Holding's Gross Margin % compare to GOCO and EZRA?
According to the Insurance industry distribution chart, Huize Holding ranks #42 out of 59 companies for Gross Margin %. This places Huize Holding in the lower half of its industry. The industry median Gross Margin % is 42.38. Huize Holding's value of 26.58% is 37.3% below this benchmark. Historically, Huize Holding's own Gross Margin % has ranged from 24.69 to 37.44 over the past decade. While the company's 10-year median is 36.44 vs. the industry median of 42.38, Huize Holding 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 Insurance company?
The median Gross Margin % among Insurance companies is 42.38, based on 59 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. Huize Holding's current Gross Margin % of 26.58% is 37.3% 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 Huize Holding and its competitors. For the Insurance industry, the median Gross Margin % is 42.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Huize Holding's current Gross Margin % is 26.58%, which is 27% below median its own 10-year median of 36.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Huize Holding stock overvalued right now?
Based on GuruFocus' analysis, Huize Holding (HUIZ) is currently considered Possible Value Trap. The stock's GF Value™ is $5.14, compared to a current price of $1.15 — trading 77.7% below its estimated fair value. The current Gross Margin % is 26.58%, which is 27% below median its 10-year median of 36.44 and 37.3% below the Insurance industry median of 42.38. Huize Holding's overall GF Score™ is 58/100 with 4 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 Huize Holding (HUIZ), the current Gross Margin % is 26.58% 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 Huize Holding (HUIZ) Overvalued in 2026?
Based on GuruFocus' analysis, Huize Holding stock appears to be undervalued.
The current stock price of $1.15 is trading 77.7% below its estimated GF Value™ of $5.14.
GuruFocus considers Huize Holding to be Possible Value Trap.
Key valuation signals for HUIZ:
Gross Margin %: 26.58% (27% below median its 10-year median of 36.44)
GF Value™: $5.14 vs. price of $1.15 (77.7% below fair value)
Industry Position: 37.3% below the Insurance median (#42 of 59)
No single metric tells the full story. See the HUIZ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Huize Holding Ltd is an independent online insurance product and service platform in China. The company distributes on its platform insurance products underwritten by the insurance companies that cooperate with the company, which the company refers to as its insurer partners, and helps them reach a large number of insurance clients. The company's platform offers a digitalized insurance purchase experience and services through various internet and mobile internet channels. The company generates revenues from the insurance brokerage fees paid by its insurer partners. Geographically, the company is concentrated in PRC Mainland, Hong Kong and others segments.
58GF Score
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