What is Seamless Distribution Systems AB Gross Margin %?
Seamless Distribution Systems ABNGM:SDS +5.56%14 Gross Margin % is 94.42% as of Mar. 2026, which is 63% above its 10-year median of 57.83. GuruFocus rates NGM:SDS with a GF Score™ of 14/100. The stock has 6 warning signs investors should review. Among 2,685 Software companies, Seamless Distribution Systems AB ranks better than 94.67% on this metric.
Seamless Distribution Systems AB (NGM:SDS) 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
Seamless Distribution Systems AB had a gross margin of 94.42% for the quarter that ended in Mar. 2026 => Durable 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.
Seamless Distribution Systems AB Gross Margin % Related Terms
Seamless Distribution Systems AB 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.
Seamless Distribution Systems AB Gross Margin % Chart
NGM:SDS vs MSFT, ORCL, PLTR: Gross Margin % Comparison
For the Software - Infrastructure subindustry, Seamless Distribution Systems AB'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.
Seamless Distribution Systems AB Gross Margin % vs Software Industry
For the Software industry and Technology sector, Seamless Distribution Systems AB's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Seamless Distribution Systems AB'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.
Seamless Distribution Systems AB (NGM:SDS) has a Gross Margin % of 94.42% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Seamless Distribution Systems AB and its competitors. This is 63% above median its historical median of 57.83. Over the past decade, Seamless Distribution Systems AB's Gross Margin % has ranged from 35.91 to 93.58. According to the industry distribution chart, Seamless Distribution Systems AB ranks #143 out of 2685 companies in the Software industry, placing it in the top 5.3%.
Is Seamless Distribution Systems AB's Gross Margin % too high?
Seamless Distribution Systems AB's current Gross Margin % of 94.42% is 63% above median its 10-year median of 57.83. Over the past 10 years, this metric has ranged from a low of 35.91 to a high of 93.58. The Software industry median Gross Margin % is 40.49. Seamless Distribution Systems AB's value of 94.42% is 133.2% above this industry median. Based on the distribution chart, Seamless Distribution Systems AB ranks #143 out of 2685 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Seamless Distribution Systems AB has a GF Score™ of 14/100, reflecting its overall financial health beyond just this single metric.
How does Seamless Distribution Systems AB's Gross Margin % compare to MSFT and ORCL?
According to the Software industry distribution chart, Seamless Distribution Systems AB ranks #143 out of 2685 companies for Gross Margin %. This places Seamless Distribution Systems AB in the top 5% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.49. Seamless Distribution Systems AB's value of 94.42% is 133.2% above this benchmark. Historically, Seamless Distribution Systems AB's own Gross Margin % has ranged from 35.91 to 93.58 over the past decade. While the company's 10-year median is 57.83 vs. the industry median of 40.49, Seamless Distribution Systems AB 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 Software company?
The median Gross Margin % among Software companies is 40.49, based on 2,685 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. Seamless Distribution Systems AB's current Gross Margin % of 94.42% is 133.2% 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 Seamless Distribution Systems AB and its competitors. For the Software industry, the median Gross Margin % is 40.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Seamless Distribution Systems AB's current Gross Margin % is 94.42%, which is 63% above median its own 10-year median of 57.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Seamless Distribution Systems AB stock overvalued right now?
Seamless Distribution Systems AB (NGM:SDS) has a current Gross Margin % of 94.42%. The current Gross Margin % is 94.42%, which is 63% above median its 10-year median of 57.83 and 133.2% above the Software industry median of 40.49. Seamless Distribution Systems AB's overall GF Score™ is 14/100 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 Seamless Distribution Systems AB (NGM:SDS), the current Gross Margin % is 94.42% as of Mar. 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.
Seamless Distribution Systems AB Business Description
Seamless Distribution Systems AB is a mobile payments company that provides electronic top-up systems and mobile payment services for mobile operators, distributors, retailers, and consumers.
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