NextSource MaterialsNSRCF -3.89%29 Gross Margin % is -80.14% as of Mar. 2026. GuruFocus rates NSRCF with a GF Score™ of 29/100. The stock has 7 warning signs investors should review. Among 728 Metals & Mining companies, NextSource Materials ranks worse than 97.66% 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
NextSource Materials had a gross margin of -80.14% 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.
NextSource Materials Gross Margin % Related Terms
NextSource Materials Gross Margin % Historical Data
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The historical data trend for NextSource Materials'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 Other Industrial Metals & Mining subindustry, NextSource Materials'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.
NextSource Materials Gross Margin % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, NextSource Materials's Gross Margin % distribution charts can be found below:
* The bar in red indicates where NextSource Materials'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.
NextSource Materials (NSRCF) has a Gross Margin % of -80.14% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on NextSource Materials and its competitors. According to the industry distribution chart, NextSource Materials ranks #711 out of 728 companies in the Metals & Mining industry, placing it in the top 97.7%.
Is NextSource Materials' Gross Margin % too high?
NextSource Materials' current Gross Margin % is -80.14%. Based on the distribution chart, NextSource Materials ranks #711 out of 728 companies in the Metals & Mining industry, which is in the bottom quartile relative to peers. Overall, NextSource Materials has a GF Score™ of 29/100, reflecting its overall financial health beyond just this single metric.
How does NextSource Materials' Gross Margin % compare to competitors?
According to the Metals & Mining industry distribution chart, NextSource Materials ranks #711 out of 728 companies for Gross Margin %. This places NextSource Materials in the lower half of its industry. The industry median Gross Margin % is 26.21. 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 Metals & Mining company?
The median Gross Margin % among Metals & Mining companies is 26.21, based on 728 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. 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 NextSource Materials and its competitors. For the Metals & Mining industry, the median Gross Margin % is 26.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NextSource Materials's current Gross Margin % is -80.14%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NextSource Materials stock overvalued right now?
NextSource Materials (NSRCF) has a current Gross Margin % of -80.14%. The current Gross Margin % is -80.14%. NextSource Materials' overall GF Score™ is 29/100 with 7 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 NextSource Materials (NSRCF), the current Gross Margin % is -80.14% 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.
NextSource Materials Inc is a strategic materials development company based in Toronto, Canada. The Company has two operating segments, consisting of mine development and BAF development. No commercial revenues have been generated by the Companys' segments. The company's Molo graphite project in Madagascar is one of the widely known and highest-quality graphite deposits globally and contains SuperFlake graphite. It also holds an interest in Green Giant Vanadium Project. Maximum of revenue is earned from Canada, followed by Madagascar, and Mauritius.
29GF Score
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