Li Bang InternationalLBGJ +6.36%28 Gross Margin % is 25.21% as of Dec. 2025, which is 35% below its 10-year median of 38.57. GuruFocus rates LBGJ with a GF Score™ of 28/100. The stock has 6 warning signs investors should review. Among 2,997 Industrial Products companies, Li Bang International ranks better than 62.16% on this metric.
LBGJ's Gross Margin % is ranked better than 62.16% of 2997
companies
in the Industrial Products industry
Industry Median: 26.81
vs LBGJ: 31.50
Li Bang International had a gross margin of 25.21% for the quarter that ended in Dec. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Li Bang International was -8.70% per year.
Li Bang International (NAS:LBGJ) 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
Li Bang International had a gross margin of 25.21% 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.
Li Bang International Gross Margin % Related Terms
Li Bang International Gross Margin % Historical Data
* Premium members only.
The historical data trend for Li Bang 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.
LBGJ vs CEIN, INLF, JCSE: Gross Margin % Comparison
For the Specialty Industrial Machinery subindustry, Li Bang 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.
Li Bang International Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Li Bang International's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Li Bang 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.
Li Bang International (LBGJ) has a Gross Margin % of 25.21% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Li Bang International and its competitors. This is 35% below median its historical median of 38.57. Over the past decade, Li Bang International's Gross Margin % has ranged from 25.09 to 41.86. According to the industry distribution chart, Li Bang International ranks #1134 out of 2997 companies in the Industrial Products industry, placing it in the top 37.8%.
Is Li Bang International's Gross Margin % too high?
Li Bang International's current Gross Margin % of 25.21% is 35% below median its 10-year median of 38.57. Over the past 10 years, this metric has ranged from a low of 25.09 to a high of 41.86. The Industrial Products industry median Gross Margin % is 26.81. Li Bang International's value of 25.21% is 6% below this industry median. Based on the distribution chart, Li Bang International ranks #1134 out of 2997 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Li Bang International has a GF Score™ of 28/100, reflecting its overall financial health beyond just this single metric.
How does Li Bang International's Gross Margin % compare to CEIN and INLF?
According to the Industrial Products industry distribution chart, Li Bang International ranks #1134 out of 2997 companies for Gross Margin %. This puts Li Bang International in the upper half of its industry. The industry median Gross Margin % is 26.81. Li Bang International's value of 25.21% is 6% below this benchmark. Historically, Li Bang International's own Gross Margin % has ranged from 25.09 to 41.86 over the past decade. While the company's 10-year median is 38.57 vs. the industry median of 26.81, Li Bang International 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 Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.81, based on 2,997 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. Li Bang International's current Gross Margin % of 25.21% is 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 Li Bang International and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Li Bang International's current Gross Margin % is 25.21%, which is 35% below median its own 10-year median of 38.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Li Bang International stock overvalued right now?
Li Bang International (LBGJ) has a current Gross Margin % of 25.21%. The current Gross Margin % is 25.21%, which is 35% below median its 10-year median of 38.57 and 6% below the Industrial Products industry median of 26.81. Li Bang International's overall GF Score™ is 28/100 with 6 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 Li Bang International (LBGJ), the current Gross Margin % is 25.21% 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.
Li Bang International Corp Inc is a holding company. The firm through its subsidiaries engages in designing, developing, producing, and selling stainless steel commercial kitchen equipment in China under its own Libang brand. In addition, its subsidiaries provide customers with comprehensive services, from commercial kitchen design in the early stage to equipment installation and after-sales maintenance.
28GF Score
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