What is Luk Fook Holdings (International) Gross Margin %?
Luk Fook Holdings (International)LKFLF +10.28%90 Gross Margin % is 34.68% as of Sep. 2025, which is 28% above its 10-year median of 27.11. GuruFocus rates LKFLF with a GF Score™ of 90/100 and a GF Value™ of $3.37 (Modestly Undervalued). Among 1,113 Retail - Cyclical companies, Luk Fook Holdings (International) ranks better than 50.85% 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
Luk Fook Holdings (International) had a gross margin of 34.68% for the quarter that ended in Sep. 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.
Luk Fook Holdings (International) Gross Margin % Related Terms
Luk Fook Holdings (International) Gross Margin % Historical Data
* 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.
For the Luxury Goods subindustry, Luk Fook Holdings (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.
Luk Fook Holdings (International) Gross Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Luk Fook Holdings (International)'s Gross Margin % distribution charts can be found below:
* The bar in red indicates where Luk Fook Holdings (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.
Luk Fook Holdings (International) (LKFLF) has a Gross Margin % of 34.68% as of Sep. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Luk Fook Holdings (International) and its competitors. This is 28% above median its historical median of 27.11. Over the past decade, Luk Fook Holdings (International)'s Gross Margin % has ranged from 23.19 to 36.68. According to the industry distribution chart, Luk Fook Holdings (International) ranks #547 out of 1113 companies in the Retail - Cyclical industry, placing it in the top 49.1%.
Is Luk Fook Holdings (International)'s Gross Margin % too high?
Luk Fook Holdings (International)'s current Gross Margin % of 34.68% is 28% above median its 10-year median of 27.11. Over the past 10 years, this metric has ranged from a low of 23.19 to a high of 36.68. The Retail - Cyclical industry median Gross Margin % is 36.26. Luk Fook Holdings (International)'s value of 34.68% is 4.4% below this industry median. Based on the distribution chart, Luk Fook Holdings (International) ranks #547 out of 1113 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Luk Fook Holdings (International) has a GF Score™ of 90/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Luk Fook Holdings (International)'s Gross Margin % compare to TPR?
According to the Retail - Cyclical industry distribution chart, Luk Fook Holdings (International) ranks #547 out of 1113 companies for Gross Margin %. This puts Luk Fook Holdings (International) in the upper half of its industry. The industry median Gross Margin % is 36.26. Luk Fook Holdings (International)'s value of 34.68% is 4.4% below this benchmark. Historically, Luk Fook Holdings (International)'s own Gross Margin % has ranged from 23.19 to 36.68 over the past decade. While the company's 10-year median is 27.11 vs. the industry median of 36.26, Luk Fook Holdings (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 a Retail - Cyclical company?
The median Gross Margin % among Retail - Cyclical companies is 36.26, based on 1,113 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. Luk Fook Holdings (International)'s current Gross Margin % of 34.68% is 4.4% 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 Luk Fook Holdings (International) and its competitors. For the Retail - Cyclical industry, the median Gross Margin % is 36.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Luk Fook Holdings (International)'s current Gross Margin % is 34.68%, which is 28% above median its own 10-year median of 27.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Luk Fook Holdings (International) stock overvalued right now?
Based on GuruFocus' analysis, Luk Fook Holdings (International) (LKFLF) is currently considered Modestly Undervalued. The stock's GF Value™ is $3.37, compared to a current price of $2.95 — trading 12.5% below its estimated fair value. The current Gross Margin % is 34.68%, which is 28% above median its 10-year median of 27.11 and 4.4% below the Retail - Cyclical industry median of 36.26. Luk Fook Holdings (International)'s overall GF Score™ is 90/100. 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 Luk Fook Holdings (International) (LKFLF), the current Gross Margin % is 34.68% as of Sep. 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 Luk Fook Holdings (International) (LKFLF) Overvalued in 2026?
Based on GuruFocus' analysis, Luk Fook Holdings (International) stock appears to be undervalued.
The current stock price of $2.95 is trading 12.5% below its estimated GF Value™ of $3.37.
GuruFocus considers Luk Fook Holdings (International) to be Modestly Undervalued.
Key valuation signals for LKFLF:
Gross Margin %: 34.68% (28% above median its 10-year median of 27.11)
GF Value™: $3.37 vs. price of $2.95 (12.5% below fair value)
Industry Position: 4.4% below the Retail - Cyclical median (#547 of 1113)
No single metric tells the full story. See the LKFLF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Luk Fook Holdings (International) Business Description
Luk Fook Holdings (International) Ltd is a Hong Kong-based investment holding company. The company is engaged in the sourcing, designing, wholesaling, trademark licensing and retailing of a variety of gold and platinum jewelry and gem-set jewelry products. It operates through the following five segments: Retailing in Hong Kong, Macau and Overseas; Retailing in Mainland China; Wholesaling in Hong Kong; Wholesaling in Mainland China; and Licensing. The company generates maximum revenue from Retailing in Hong Kong, Macau and Overseas segments.
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