Stockholm Nordtech Group ABOSTO:NTECH -2.21%7 Gross Margin % is 51.51% as of Mar. 2026, which is 23% below its 10-year median of 67.13. GuruFocus rates OSTO:NTECH with a GF Score™ of 7/100. Among 2,681 Software companies, Stockholm Nordtech Group AB ranks better than 62.63% on this metric.
Stockholm Nordtech Group AB (OSTO:NTECH) 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
Stockholm Nordtech Group AB had a gross margin of 51.51% 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.
Stockholm Nordtech Group AB Gross Margin % Related Terms
Stockholm Nordtech Group 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:NTECH vs MSFT, ORCL, PLTR: Gross Margin % Comparison
For the Software - Infrastructure subindustry, Stockholm Nordtech Group 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.
Stockholm Nordtech Group AB Gross Margin % vs Software Industry
For the Software industry and Technology sector, Stockholm Nordtech Group AB's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Stockholm Nordtech Group 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.
Stockholm Nordtech Group AB (OSTO:NTECH) has a Gross Margin % of 51.51% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Stockholm Nordtech Group AB and its competitors. This is 23% below median its historical median of 67.13. Over the past decade, Stockholm Nordtech Group AB's Gross Margin % has ranged from 49.94 to 67.93. According to the industry distribution chart, Stockholm Nordtech Group AB ranks #1002 out of 2681 companies in the Software industry, placing it in the top 37.4%.
Is Stockholm Nordtech Group AB's Gross Margin % too high?
Stockholm Nordtech Group AB's current Gross Margin % of 51.51% is 23% below median its 10-year median of 67.13. Over the past 10 years, this metric has ranged from a low of 49.94 to a high of 67.93. The Software industry median Gross Margin % is 40.45. Stockholm Nordtech Group AB's value of 51.51% is 27.3% above this industry median. Based on the distribution chart, Stockholm Nordtech Group AB ranks #1002 out of 2681 companies in the Software industry, which is above the industry midpoint. Overall, Stockholm Nordtech Group AB has a GF Score™ of 7/100, reflecting its overall financial health beyond just this single metric.
How does Stockholm Nordtech Group AB's Gross Margin % compare to MSFT and ORCL?
According to the Software industry distribution chart, Stockholm Nordtech Group AB ranks #1002 out of 2681 companies for Gross Margin %. This puts Stockholm Nordtech Group AB in the upper half of its industry. The industry median Gross Margin % is 40.45. Stockholm Nordtech Group AB's value of 51.51% is 27.3% above this benchmark. Historically, Stockholm Nordtech Group AB's own Gross Margin % has ranged from 49.94 to 67.93 over the past decade. While the company's 10-year median is 67.13 vs. the industry median of 40.45, Stockholm Nordtech Group 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 Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,681 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. Stockholm Nordtech Group AB's current Gross Margin % of 51.51% is 27.3% 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 Stockholm Nordtech Group AB and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Stockholm Nordtech Group AB's current Gross Margin % is 51.51%, which is 23% below median its own 10-year median of 67.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Stockholm Nordtech Group AB stock overvalued right now?
Stockholm Nordtech Group AB (OSTO:NTECH) has a current Gross Margin % of 51.51%. The current Gross Margin % is 51.51%, which is 23% below median its 10-year median of 67.13 and 27.3% above the Software industry median of 40.45. Stockholm Nordtech Group AB's overall GF Score™ is 7/100. 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 Stockholm Nordtech Group AB (OSTO:NTECH), the current Gross Margin % is 51.51% 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.
Nordtech Group AB develops and acquires small and medium sized companies that provide mission-critical B2B software solutions in resilient niche markets. Its portfolio includes software businesses serving a range of industries across the Business Platforms, Operational Solutions, and Public Infrastructure segments. The majority of revenue is derived from the Operational solutions segment. The company's software products are used in customer operations and include recurring-revenue business models. The company also supports the adoption of artificial intelligence technologies across its portfolio companies. Its operating model combines ownership oversight with decentralized operations, allowing portfolio companies to manage their day-to-day activities independently.
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