Chemring GroupLSE:CHG +6.12%85 Gross Margin % is 0.00% as of Apr. 2026. GuruFocus rates LSE:CHG with a GF Score™ of 85/100 and a GF Value™ of £4.32 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 343 Aerospace & Defense companies, Chemring Group ranks worse than 291544.9% on this metric.
The historical rank and industry rank for Chemring Group's Gross Margin % or its related term are showing as below:
LSE:CHG's Gross Margin % is not ranked *
in the Aerospace & Defense industry.
Industry Median: 26.61 * Ranked among companies with meaningful Gross Margin % only.
Chemring Group had a gross margin of N/A% for the quarter that ended in Apr. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Chemring Group was 0.00% per year.
Chemring Group (LSE:CHG) 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
Chemring Group had a gross margin of N/A% for the quarter that ended in Apr. 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.
Chemring Group Gross Margin % Related Terms
Chemring Group Gross Margin % Historical Data
* Premium members only.
The historical data trend for Chemring Group'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.
LSE:CHG vs SPCX, GE, RTX: Gross Margin % Comparison
For the Aerospace & Defense subindustry, Chemring Group'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.
Chemring Group Gross Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Chemring Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Chemring Group'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.
Chemring Group (LSE:CHG) has a Gross Margin % of 0.00% as of Apr. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Chemring Group and its competitors. According to the industry distribution chart, Chemring Group ranks #999999 out of 343 companies in the Aerospace & Defense industry.
Is Chemring Group's Gross Margin % too high?
Chemring Group's current Gross Margin % is 0.00%. Based on the distribution chart, Chemring Group ranks #999999 out of 343 companies in the Aerospace & Defense industry, which is in the bottom quartile relative to peers. Overall, Chemring Group has a GF Score™ of 85/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Chemring Group's Gross Margin % compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Chemring Group ranks #999999 out of 343 companies for Gross Margin %. This places Chemring Group in the lower half of its industry. The industry median Gross Margin % is 26.61. 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 Aerospace & Defense company?
The median Gross Margin % among Aerospace & Defense companies is 26.61, based on 343 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 Chemring Group and its competitors. For the Aerospace & Defense industry, the median Gross Margin % is 26.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Chemring Group's current Gross Margin % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Chemring Group stock overvalued right now?
Based on GuruFocus' analysis, Chemring Group (LSE:CHG) is currently considered Significantly Overvalued. The stock's GF Value™ is £4.32, compared to a current price of £5.72 — trading 32.4% above its estimated fair value. The current Gross Margin % is 0.00%. Chemring Group's overall GF Score™ is 85/100 with 5 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 Chemring Group (LSE:CHG), the current Gross Margin % is 0.00% as of Apr. 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 Chemring Group (LSE:CHG) Overvalued in 2026?
Based on GuruFocus' analysis, Chemring Group stock appears to be overvalued.
The current stock price of £5.72 is trading 32.4% above its estimated GF Value™ of £4.32.
GuruFocus considers Chemring Group to be Significantly Overvalued.
Key valuation signals for LSE:CHG:
Gross Margin %: 0.00%
GF Value™: £4.32 vs. price of £5.72 (32.4% above fair value)
No single metric tells the full story. See the LSE:CHG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Chemring Group PLC is a defense technology company. The company's operating segment include: i) Countermeasures and Energetics segment: It is engaged in the development and manufacturing of expendable countermeasures for air and sea platforms, cartridge/propellant actuated devices, pyrotechnic devices for satellite launch and deployment, missile components, propellants, separation sub-systems, actuators, and energetic materials, ii) Sensors and Information: it is engaged in the development and manufacturing of electronic countermeasures, chemical and biological threat detection equipment, and explosive hazard detection (EHD) equipment. It generated the majority of the revenue from the Countermeasures and Energetics segment. Geographically, the maximum revenue is generated from the USA.
85GF Score
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