Walsin LihwaLUX:WLSRS 72 Gross Margin % is 4.90% as of Dec. 2025, which is 34% below its 10-year median of 7.37. GuruFocus rates LUX:WLSRS with a GF Score™ of 72/100 and a GF Value™ of $9.37. The stock has 12 warning signs investors should review. Among 594 Steel companies, Walsin Lihwa ranks worse than 75.42% 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
Walsin Lihwa had a gross margin of 4.90% for the quarter that ended in Dec. 2025 => 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.
Walsin Lihwa Gross Margin % Related Terms
Walsin Lihwa Gross Margin % Historical Data
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The historical data trend for Walsin Lihwa'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.
LUX:WLSRS vs NUE, STLD, RS: Gross Margin % Comparison
For the Steel subindustry, Walsin Lihwa'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.
Walsin Lihwa Gross Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Walsin Lihwa's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Walsin Lihwa'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.
Walsin Lihwa (LUX:WLSRS) has a Gross Margin % of 4.90% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Walsin Lihwa and its competitors. This is 34% below median its historical median of 7.37. Over the past decade, Walsin Lihwa's Gross Margin % has ranged from 6.37 to 12.64. According to the industry distribution chart, Walsin Lihwa ranks #448 out of 594 companies in the Steel industry, placing it in the top 75.4%.
Is Walsin Lihwa's Gross Margin % too high?
Walsin Lihwa's current Gross Margin % of 4.90% is 34% below median its 10-year median of 7.37. Over the past 10 years, this metric has ranged from a low of 6.37 to a high of 12.64. The Steel industry median Gross Margin % is 12.61. Walsin Lihwa's value of 4.90% is 61.1% below this industry median. Based on the distribution chart, Walsin Lihwa ranks #448 out of 594 companies in the Steel industry, which is in the bottom quartile relative to peers. Overall, Walsin Lihwa has a GF Score™ of 72/100, reflecting its overall financial health beyond just this single metric.
How does Walsin Lihwa's Gross Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Walsin Lihwa ranks #448 out of 594 companies for Gross Margin %. This places Walsin Lihwa in the lower half of its industry. The industry median Gross Margin % is 12.61. Walsin Lihwa's value of 4.90% is 61.1% below this benchmark. Historically, Walsin Lihwa's own Gross Margin % has ranged from 6.37 to 12.64 over the past decade. While the company's 10-year median is 7.37 vs. the industry median of 12.61, Walsin Lihwa 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 Steel company?
The median Gross Margin % among Steel companies is 12.61, based on 594 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. Walsin Lihwa's current Gross Margin % of 4.90% is 61.1% 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 Walsin Lihwa and its competitors. For the Steel industry, the median Gross Margin % is 12.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Walsin Lihwa's current Gross Margin % is 4.90%, which is 34% below median its own 10-year median of 7.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Walsin Lihwa stock overvalued right now?
Walsin Lihwa (LUX:WLSRS) has a current Gross Margin % of 4.90%. The stock's GF Value™ is $9.37, compared to a current price of $11.00 — trading 17.4% above its estimated fair value. The current Gross Margin % is 4.90%, which is 34% below median its 10-year median of 7.37 and 61.1% below the Steel industry median of 12.61. Walsin Lihwa's overall GF Score™ is 72/100 with 12 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 Walsin Lihwa (LUX:WLSRS), the current Gross Margin % is 4.90% 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 Walsin Lihwa (LUX:WLSRS) Overvalued in 2026?
Based on GuruFocus' analysis, Walsin Lihwa stock appears to be overvalued.
The current stock price of $11.00 is trading 17.4% above its estimated GF Value™ of $9.37.
Key valuation signals for LUX:WLSRS:
Gross Margin %: 4.90% (34% below median its 10-year median of 7.37)
GF Value™: $9.37 vs. price of $11.00 (17.4% above fair value)
Industry Position: 61.1% below the Steel median (#448 of 594)
No single metric tells the full story. See the LUX:WLSRS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Walsin Lihwa Corp is a producer of cables, steel, and wires. The company made various investments in construction, electronics, material science, real estate, etc. The company's segments are wires and cables; stainless stee;, resource business, and Administration and Investing. It derives maximum revenue from Stainless steel segment. The Stainless steel segment's main products include smelting, rolled stainless steel, carbon steel and precision alloy wire which are sold to industries involving construction components, crankshaft, machine tools, plumbing, heat exchanger, drainage, petrochemical and construction. Geographically, the company operates in USA, Asia, Europe, and other regions, of which Asia generates maximum revenue.
72GF Score
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