KPEAD's Gross Margin % is ranked better than 50.49% of 1117
companies
in the Retail - Cyclical industry
Industry Median: 36.25
vs KPEAD: 36.42
Kun Peng International had a gross margin of -263.64% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Kun Peng International was -4.50% per year.
Kun Peng International (OTCPK:KPEAD) 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
Kun Peng International had a gross margin of -263.64% for the quarter that ended in Mar. 2026 => 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.
Kun Peng International Gross Margin % Related Terms
Kun Peng International Gross Margin % Historical Data
* Premium members only.
The historical data trend for Kun Peng International'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.
KPEAD vs MOGU, SBDS, YJ: Gross Margin % Comparison
For the Internet Retail subindustry, Kun Peng International'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.
Kun Peng International Gross Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Kun Peng International's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Kun Peng International'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.
Kun Peng International (KPEAD) has a Gross Margin % of -263.64% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Kun Peng International and its competitors. Over the past decade, Kun Peng International's Gross Margin % has ranged from 36.42 to 88.95. According to the industry distribution chart, Kun Peng International ranks #553 out of 1117 companies in the Retail - Cyclical industry, placing it in the top 49.5%.
Is Kun Peng International's Gross Margin % too high?
Kun Peng International's current Gross Margin % is -263.64%. Over the past 10 years, this metric has ranged from a low of 36.42 to a high of 88.95. Based on the distribution chart, Kun Peng International ranks #553 out of 1117 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Kun Peng International has a GF Score™ of 29/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kun Peng International's Gross Margin % compare to MOGU and SBDS?
According to the Retail - Cyclical industry distribution chart, Kun Peng International ranks #553 out of 1117 companies for Gross Margin %. This puts Kun Peng International in the upper half of its industry. The industry median Gross Margin % is 36.25. Historically, Kun Peng International's own Gross Margin % has ranged from 36.42 to 88.95 over the past decade. 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 Retail - Cyclical company?
The median Gross Margin % among Retail - Cyclical companies is 36.25, based on 1,117 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. 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 Kun Peng International and its competitors. For the Retail - Cyclical industry, the median Gross Margin % is 36.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kun Peng International's current Gross Margin % is -263.64%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kun Peng International stock overvalued right now?
Based on GuruFocus' analysis, Kun Peng International (KPEAD) is currently considered Significantly Overvalued. The stock's GF Value™ is $0.26, compared to a current price of $0.38 — trading 44.4% above its estimated fair value. The current Gross Margin % is -263.64%. Kun Peng International's overall GF Score™ is 29/100 with 7 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 Kun Peng International (KPEAD), the current Gross Margin % is -263.64% 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 Kun Peng International (KPEAD) Overvalued in 2026?
Based on GuruFocus' analysis, Kun Peng International stock appears to be overvalued.
The current stock price of $0.38 is trading 44.4% above its estimated GF Value™ of $0.26.
GuruFocus considers Kun Peng International to be Significantly Overvalued.
Key valuation signals for KPEAD:
Gross Margin %: -263.64%
GF Value™: $0.26 vs. price of $0.38 (44.4% above fair value)
No single metric tells the full story. See the KPEAD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kun Peng International Ltd through its subsidiaries and VIE is currently engaged in the sale of healthcare and health-related household products through its online platform, King Eagle Mall and physical store (Smart kiosks) as the carrier to provide people with more professional and comprehensive health services. Its products include health care products such as dietary supplements, nutritional health foods, beauty cosmeceuticals, and other categories (for instance, milk powder, and dried fruits) of health foods for supporting the cardiovascular system, and bone joint health. It offers collagen peptides, probiotics, and health foods for improving blood circulation and vein health, as well as household products that can promote and improve a healthier lifestyle.
29GF Score
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