Microwave Filter CoMFCO 29 Gross Margin % is 32.08% as of Sep. 2025, which is 13% below its 10-year median of 36.75. GuruFocus rates MFCO with a GF Score™ of 29/100 and a GF Value™ of $0.33 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 2,450 Hardware companies, Microwave Filter Co ranks better than 64.37% on this metric.
Microwave Filter Co Inc gross margin has been in long-term decline. The average rate of decline per year is -4.5%.
The historical rank and industry rank for Microwave Filter Co's Gross Margin % or its related term are showing as below:
MFCO'
s Gross Margin % Range Over the Past 10 Years
Min: 25.92 Med: 36.75 Max: 41.22
Current: 32.08
During the past 13 years, the highestGross Margin % of Microwave Filter Co was 41.22%. The lowest was 25.92%. And the median was 36.75%.
MFCO's Gross Margin % is ranked better than 64.37% of 2450
companies
in the Hardware industry
Industry Median: 24.53
vs MFCO: 32.08
Microwave Filter Co had a gross margin of 32.08% for the quarter that ended in Sep. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Microwave Filter Co was -4.50% per year.
Microwave Filter Co (OTCPK:MFCO) 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
Microwave Filter Co had a gross margin of 32.08% 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.
Microwave Filter Co Gross Margin % Related Terms
Microwave Filter Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Microwave Filter Co'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.
MFCO vs ASNS, WLAN, MLRT: Gross Margin % Comparison
For the Communication Equipment subindustry, Microwave Filter Co'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.
Microwave Filter Co Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Microwave Filter Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Microwave Filter Co'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.
Microwave Filter Co (MFCO) has a Gross Margin % of 32.08% as of Sep. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Microwave Filter Co and its competitors. This is 13% below median its historical median of 36.75. Over the past decade, Microwave Filter Co's Gross Margin % has ranged from 25.92 to 41.22. According to the industry distribution chart, Microwave Filter Co ranks #873 out of 2450 companies in the Hardware industry, placing it in the top 35.6%.
Is Microwave Filter Co's Gross Margin % too high?
Microwave Filter Co's current Gross Margin % of 32.08% is 13% below median its 10-year median of 36.75. Over the past 10 years, this metric has ranged from a low of 25.92 to a high of 41.22. The Hardware industry median Gross Margin % is 24.53. Microwave Filter Co's value of 32.08% is 30.8% above this industry median. Based on the distribution chart, Microwave Filter Co ranks #873 out of 2450 companies in the Hardware industry, which is above the industry midpoint. Overall, Microwave Filter Co has a GF Score™ of 29/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Microwave Filter Co's Gross Margin % compare to ASNS and WLAN?
According to the Hardware industry distribution chart, Microwave Filter Co ranks #873 out of 2450 companies for Gross Margin %. This puts Microwave Filter Co in the upper half of its industry. The industry median Gross Margin % is 24.53. Microwave Filter Co's value of 32.08% is 30.8% above this benchmark. Historically, Microwave Filter Co's own Gross Margin % has ranged from 25.92 to 41.22 over the past decade. While the company's 10-year median is 36.75 vs. the industry median of 24.53, Microwave Filter Co has consistently been above 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.53, based on 2,450 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. Microwave Filter Co's current Gross Margin % of 32.08% is 30.8% above 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 Microwave Filter Co and its competitors. For the Hardware industry, the median Gross Margin % is 24.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Microwave Filter Co's current Gross Margin % is 32.08%, which is 13% below median its own 10-year median of 36.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Microwave Filter Co stock overvalued right now?
Based on GuruFocus' analysis, Microwave Filter Co (MFCO) is currently considered Significantly Overvalued. The stock's GF Value™ is $0.33, compared to a current price of $1.30 — trading 293.9% above its estimated fair value. The current Gross Margin % is 32.08%, which is 13% below median its 10-year median of 36.75 and 30.8% above the Hardware industry median of 24.53. Microwave Filter Co's overall GF Score™ is 29/100 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 Microwave Filter Co (MFCO), the current Gross Margin % is 32.08% 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 Microwave Filter Co (MFCO) Overvalued in 2026?
Based on GuruFocus' analysis, Microwave Filter Co stock appears to be overvalued.
The current stock price of $1.30 is trading 293.9% above its estimated GF Value™ of $0.33.
GuruFocus considers Microwave Filter Co to be Significantly Overvalued.
Key valuation signals for MFCO:
Gross Margin %: 32.08% (13% below median its 10-year median of 36.75)
GF Value™: $0.33 vs. price of $1.30 (293.9% above fair value)
Industry Position: 30.8% above the Hardware median (#873 of 2450)
No single metric tells the full story. See the MFCO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Microwave Filter Co Inc operates in the United States and designs, develops, manufactures and sells electronic filters for radio and microwave frequencies. Its products support signal distribution and interference prevention and serve cable television, broadcast, satellite, mobile radio, cellular including 5G, telephone, commercial, aerospace and defense markets. The Company offers filter products covering frequencies from 5 Hz to 50 GHz, including custom designs such as waveguide, stripline and microstrip, lumped element, dielectric resonator, and cavity and coaxial topologies. Its product range includes bandpass, bandstop, highpass and lowpass filters, combiners, couplers, diplexers, adaptors, and CATV headend channel deletion filters and networks for wireless and PCS applications.
29GF Score
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