Creative NewtechNSE:CNL +3.53%95 Gross Margin % is 9.36% as of Mar. 2026, which is 12% above its 10-year median of 8.39. GuruFocus rates NSE:CNL with a GF Score™ of 95/100 and a GF Value™ of ₹959.50 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 2,453 Hardware companies, Creative Newtech ranks worse than 88.63% 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
Creative Newtech had a gross margin of 9.36% for the quarter that ended in Mar. 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.
Creative Newtech Gross Margin % Related Terms
Creative Newtech Gross Margin % Historical Data
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The historical data trend for Creative Newtech'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.
NSE:CNL vs SNX, ARW, AVT: Gross Margin % Comparison
For the Electronics & Computer Distribution subindustry, Creative Newtech'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.
Creative Newtech Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Creative Newtech's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Creative Newtech'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.
Creative Newtech (NSE:CNL) has a Gross Margin % of 9.36% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Creative Newtech and its competitors. This is 12% above median its historical median of 8.39. Over the past decade, Creative Newtech's Gross Margin % has ranged from 6.36 to 10.77. According to the industry distribution chart, Creative Newtech ranks #2174 out of 2453 companies in the Hardware industry, placing it in the top 88.6%.
Is Creative Newtech's Gross Margin % too high?
Creative Newtech's current Gross Margin % of 9.36% is 12% above median its 10-year median of 8.39. Over the past 10 years, this metric has ranged from a low of 6.36 to a high of 10.77. The Hardware industry median Gross Margin % is 24.52. Creative Newtech's value of 9.36% is 61.8% below this industry median. Based on the distribution chart, Creative Newtech ranks #2174 out of 2453 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, Creative Newtech has a GF Score™ of 95/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Creative Newtech's Gross Margin % compare to SNX and ARW?
According to the Hardware industry distribution chart, Creative Newtech ranks #2174 out of 2453 companies for Gross Margin %. This places Creative Newtech in the lower half of its industry. The industry median Gross Margin % is 24.52. Creative Newtech's value of 9.36% is 61.8% below this benchmark. Historically, Creative Newtech's own Gross Margin % has ranged from 6.36 to 10.77 over the past decade. While the company's 10-year median is 8.39 vs. the industry median of 24.52, Creative Newtech 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.52, based on 2,453 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. Creative Newtech's current Gross Margin % of 9.36% is 61.8% 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 Creative Newtech and its competitors. For the Hardware industry, the median Gross Margin % is 24.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Creative Newtech's current Gross Margin % is 9.36%, which is 12% above median its own 10-year median of 8.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Creative Newtech stock overvalued right now?
Based on GuruFocus' analysis, Creative Newtech (NSE:CNL) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹959.50, compared to a current price of ₹764.60 — trading 20.3% below its estimated fair value. The current Gross Margin % is 9.36%, which is 12% above median its 10-year median of 8.39 and 61.8% below the Hardware industry median of 24.52. Creative Newtech's overall GF Score™ is 95/100 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 Creative Newtech (NSE:CNL), the current Gross Margin % is 9.36% 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 Creative Newtech (NSE:CNL) Overvalued in 2026?
Based on GuruFocus' analysis, Creative Newtech stock appears to be undervalued.
The current stock price of ₹764.60 is trading 20.3% below its estimated GF Value™ of ₹959.50.
GuruFocus considers Creative Newtech to be Modestly Undervalued.
Key valuation signals for NSE:CNL:
Gross Margin %: 9.36% (12% above median its 10-year median of 8.39)
GF Value™: ₹959.50 vs. price of ₹764.60 (20.3% below fair value)
Industry Position: 61.8% below the Hardware median (#2174 of 2453)
No single metric tells the full story. See the NSE:CNL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Creative Newtech Ltd is engaged in the business of distribution of IT products. The company's B2B e-commerce platform caters to various sub-distributors, retailers, and other customers, and serves as a one-stop-shop offering end-to-end solutions. Its operating segment includes Enterprise Business - EB; Fast Moving Social - Media Gadgets - FMSG; Fast Moving Electronics Goods - FMEG and Fast Moving Consumer Technology - FMCT. The company generates maximum revenue from the Enterprise Business (EB) segment which includes high-volume products tailored for enterprise clients. Notable brands in this segment include AOC, Philips, and others. Geographically, it caters to both the Indian and international markets and derives its key revenue from outside India.
95GF Score
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