Magle Chemoswed Holding AB (OSTO:MAGLE) 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
Magle Chemoswed Holding AB had a gross margin of 87.75% 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.
Magle Chemoswed Holding AB Gross Margin % Related Terms
Magle Chemoswed Holding 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.
OSTO:MAGLE vs VRTX, REGN, ALNY: Gross Margin % Comparison
For the Biotechnology subindustry, Magle Chemoswed Holding 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.
Magle Chemoswed Holding AB Gross Margin % vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Magle Chemoswed Holding AB's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Magle Chemoswed Holding 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.
Magle Chemoswed Holding AB (OSTO:MAGLE) has a Gross Margin % of 87.75% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Magle Chemoswed Holding AB and its competitors. This is near median its historical median of 86.08. Over the past decade, Magle Chemoswed Holding AB's Gross Margin % has ranged from 75.74 to 93.86. According to the industry distribution chart, Magle Chemoswed Holding AB ranks #194 out of 732 companies in the Biotechnology industry, placing it in the top 26.5%.
Is Magle Chemoswed Holding AB's Gross Margin % too high?
Magle Chemoswed Holding AB's current Gross Margin % of 87.75% is near median its 10-year median of 86.08. Over the past 10 years, this metric has ranged from a low of 75.74 to a high of 93.86. The Biotechnology industry median Gross Margin % is 60.91. Magle Chemoswed Holding AB's value of 87.75% is 44.1% above this industry median. Based on the distribution chart, Magle Chemoswed Holding AB ranks #194 out of 732 companies in the Biotechnology industry, which is above the industry midpoint. Overall, Magle Chemoswed Holding AB has a GF Score™ of 38/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Magle Chemoswed Holding AB's Gross Margin % compare to VRTX and REGN?
According to the Biotechnology industry distribution chart, Magle Chemoswed Holding AB ranks #194 out of 732 companies for Gross Margin %. This puts Magle Chemoswed Holding AB in the upper half of its industry. The industry median Gross Margin % is 60.91. Magle Chemoswed Holding AB's value of 87.75% is 44.1% above this benchmark. Historically, Magle Chemoswed Holding AB's own Gross Margin % has ranged from 75.74 to 93.86 over the past decade. While the company's 10-year median is 86.08 vs. the industry median of 60.91, Magle Chemoswed Holding 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 Biotechnology company?
The median Gross Margin % among Biotechnology companies is 60.91, based on 732 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. Magle Chemoswed Holding AB's current Gross Margin % of 87.75% is 44.1% 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 Magle Chemoswed Holding AB and its competitors. For the Biotechnology industry, the median Gross Margin % is 60.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Magle Chemoswed Holding AB's current Gross Margin % is 87.75%, which is near median its own 10-year median of 86.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Magle Chemoswed Holding AB stock overvalued right now?
Based on GuruFocus' analysis, Magle Chemoswed Holding AB (OSTO:MAGLE) is currently considered Possible Value Trap. The stock's GF Value™ is kr23.19, compared to a current price of kr1.00 — trading 95.7% below its estimated fair value. The current Gross Margin % is 87.75%, which is near median its 10-year median of 86.08 and 44.1% above the Biotechnology industry median of 60.91. Magle Chemoswed Holding AB's overall GF Score™ is 38/100 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 Magle Chemoswed Holding AB (OSTO:MAGLE), the current Gross Margin % is 87.75% 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 Magle Chemoswed Holding AB (OSTO:MAGLE) Overvalued in 2026?
Based on GuruFocus' analysis, Magle Chemoswed Holding AB stock appears to be undervalued.
The current stock price of kr1.00 is trading 95.7% below its estimated GF Value™ of kr23.19.
GuruFocus considers Magle Chemoswed Holding AB to be Possible Value Trap.
Key valuation signals for OSTO:MAGLE:
Gross Margin %: 87.75% (near median its 10-year median of 86.08)
GF Value™: kr23.19 vs. price of kr1.00 (95.7% below fair value)
Industry Position: 44.1% above the Biotechnology median (#194 of 732)
No single metric tells the full story. See the OSTO:MAGLE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Magle Chemoswed Holding AB is a contract development and manufacturing organization that serves companies in the pharmaceutical and medical device industry on a contract basis. It provides comprehensive services from product development through product manufacturing. The company's products portfolio includes Warfarin sodium, Melperone hydrochloride, Isradipine, Amantadine sulfate, and Benserazide hydrochloride.
38GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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