Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Netclass TechnologyNTCL -6.98%14 Gross Margin % is 31.46% as of Sep. 2025, which is 37% above its 10-year median of 22.92. GuruFocus rates NTCL with a GF Score™ of 14/100. The stock has 8 warning signs investors should review. Among 2,685 Software companies, Netclass Technology ranks worse than 74.79% 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
Netclass Technology had a gross margin of 31.46% 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.
Netclass Technology Gross Margin % Related Terms
Netclass Technology Gross Margin % Historical Data
* Premium members only.
The historical data trend for Netclass Technology'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.
NTCL vs TWOH, IDAI, BTTC: Gross Margin % Comparison
For the Software - Application subindustry, Netclass Technology'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.
Netclass Technology Gross Margin % vs Software Industry
For the Software industry and Technology sector, Netclass Technology's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Netclass Technology'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.
Netclass Technology (NTCL) has a Gross Margin % of 31.46% as of Sep. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Netclass Technology and its competitors. This is 37% above median its historical median of 22.92. Over the past decade, Netclass Technology's Gross Margin % has ranged from 21.28 to 34.41. According to the industry distribution chart, Netclass Technology ranks #2008 out of 2685 companies in the Software industry, placing it in the top 74.8%.
Is Netclass Technology's Gross Margin % too high?
Netclass Technology's current Gross Margin % of 31.46% is 37% above median its 10-year median of 22.92. Over the past 10 years, this metric has ranged from a low of 21.28 to a high of 34.41. The Software industry median Gross Margin % is 40.49. Netclass Technology's value of 31.46% is 22.3% below this industry median. Based on the distribution chart, Netclass Technology ranks #2008 out of 2685 companies in the Software industry, which is below the industry midpoint. Overall, Netclass Technology has a GF Score™ of 14/100, reflecting its overall financial health beyond just this single metric.
How does Netclass Technology's Gross Margin % compare to TWOH and IDAI?
According to the Software industry distribution chart, Netclass Technology ranks #2008 out of 2685 companies for Gross Margin %. This places Netclass Technology in the lower half of its industry. The industry median Gross Margin % is 40.49. Netclass Technology's value of 31.46% is 22.3% below this benchmark. Historically, Netclass Technology's own Gross Margin % has ranged from 21.28 to 34.41 over the past decade. While the company's 10-year median is 22.92 vs. the industry median of 40.49, Netclass Technology 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 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. Netclass Technology's current Gross Margin % of 31.46% is 22.3% 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 Netclass Technology 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. Netclass Technology's current Gross Margin % is 31.46%, which is 37% above median its own 10-year median of 22.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Netclass Technology stock overvalued right now?
Netclass Technology (NTCL) has a current Gross Margin % of 31.46%. The current Gross Margin % is 31.46%, which is 37% above median its 10-year median of 22.92 and 22.3% below the Software industry median of 40.49. Netclass Technology's overall GF Score™ is 14/100 with 8 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 Netclass Technology (NTCL), the current Gross Margin % is 31.46% 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.
Netclass Technology Inc is a business-to-business smart education specialist, providing IT solutions to schools, training institutions, corporations, public agencies and other institutions or corporate customers. It offers SaaS subscription service and application development. The solution's modules include teaching management, campus management, online teaching, online examination, epidemic prevention and control, education credit blockchain system, and lecturer evaluation services.
14GF Score
Get the complete analysis for NTCL
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
NTCL has been successfully added to your 
