NLI HoldingsNL +1.37%67 Gross Margin % is 32.67% as of Mar. 2026, which is 7% above its 10-year median of 30.48. GuruFocus rates NL with a GF Score™ of 67/100 and a GF Value™ of $6.38 (Fairly Valued). The stock has 2 warning signs investors should review. Among 1,007 Business Services companies, NLI Holdings ranks worse than 55.91% on this metric.
The historical rank and industry rank for NLI Holdings's Gross Margin % or its related term are showing as below:
NL'
s Gross Margin % Range Over the Past 10 Years
Min: 28.34 Med: 30.48 Max: 32.37
Current: 31.07
During the past 13 years, the highestGross Margin % of NLI Holdings was 32.37%. The lowest was 28.34%. And the median was 30.48%.
NL's Gross Margin % is ranked worse than 55.91% of 1007
companies
in the Business Services industry
Industry Median: 34.46
vs NL: 31.07
NLI Holdings had a gross margin of 32.67% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for NLI Holdings was 0.40% per year.
NLI Holdings (NYSE:NL) 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
NLI Holdings had a gross margin of 32.67% for the quarter that ended in Mar. 2026 => 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.
NLI Holdings Gross Margin % Related Terms
NLI Holdings Gross Margin % Historical Data
* Premium members only.
The historical data trend for NLI Holdings'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.
For the Security & Protection Services subindustry, NLI Holdings'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.
NLI Holdings Gross Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, NLI Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where NLI Holdings'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.
NLI Holdings (NL) has a Gross Margin % of 32.67% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on NLI Holdings and its competitors. This is near median its historical median of 30.48. Over the past decade, NLI Holdings' Gross Margin % has ranged from 28.34 to 32.37. According to the industry distribution chart, NLI Holdings ranks #563 out of 1007 companies in the Business Services industry, placing it in the top 55.9%.
Is NLI Holdings' Gross Margin % too high?
NLI Holdings' current Gross Margin % of 32.67% is near median its 10-year median of 30.48. Over the past 10 years, this metric has ranged from a low of 28.34 to a high of 32.37. The Business Services industry median Gross Margin % is 34.46. NLI Holdings' value of 32.67% is 5.2% below this industry median. Based on the distribution chart, NLI Holdings ranks #563 out of 1007 companies in the Business Services industry, which is below the industry midpoint. Overall, NLI Holdings has a GF Score™ of 67/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does NLI Holdings' Gross Margin % compare to CIX and YOOV?
According to the Business Services industry distribution chart, NLI Holdings ranks #563 out of 1007 companies for Gross Margin %. This places NLI Holdings in the lower half of its industry. The industry median Gross Margin % is 34.46. NLI Holdings' value of 32.67% is 5.2% below this benchmark. Historically, NLI Holdings' own Gross Margin % has ranged from 28.34 to 32.37 over the past decade. While the company's 10-year median is 30.48 vs. the industry median of 34.46, NLI Holdings 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 Business Services company?
The median Gross Margin % among Business Services companies is 34.46, based on 1,007 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. NLI Holdings's current Gross Margin % of 32.67% is 5.2% 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 NLI Holdings and its competitors. For the Business Services industry, the median Gross Margin % is 34.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NLI Holdings's current Gross Margin % is 32.67%, which is near median its own 10-year median of 30.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NLI Holdings stock overvalued right now?
Based on GuruFocus' analysis, NLI Holdings (NL) is currently considered Fairly Valued. The stock's GF Value™ is $6.38, compared to a current price of $5.92 — trading 7.2% below its estimated fair value. The current Gross Margin % is 32.67%, which is near median its 10-year median of 30.48 and 5.2% below the Business Services industry median of 34.46. NLI Holdings' overall GF Score™ is 67/100 with 2 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 NLI Holdings (NL), the current Gross Margin % is 32.67% 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.
Is NLI Holdings (NL) Overvalued in 2026?
Based on GuruFocus' analysis, NLI Holdings stock appears to be undervalued.
The current stock price of $5.92 is trading 7.2% below its estimated GF Value™ of $6.38.
GuruFocus considers NLI Holdings to be Fairly Valued.
Key valuation signals for NL:
Gross Margin %: 32.67% (near median its 10-year median of 30.48)
GF Value™: $6.38 vs. price of $5.92 (7.2% below fair value)
Industry Position: 5.2% below the Business Services median (#563 of 1007)
No single metric tells the full story. See the NL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NLI Holdings Inc, formerly known as NL Industries Inc, is a holding company that operates in the component products industry. Through its subsidiary, it manufactures engineered components that are sold to a range of industries, including recreational transportation, postal, office and institutional furniture, cabinetry, tool storage, healthcare, gas stations and vending equipment. It also produces a precision ball bearing slide, security products, and ergonomic computer support systems. The company derives majority of its revenue from Europe.
67GF Score
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