Falcon Machine Tools CoROCO:4513 +1.21%39 Gross Margin % is 8.95% as of Dec. 2025, which is 65% below its 10-year median of 25.34. GuruFocus rates ROCO:4513 with a GF Score™ of 39/100 and a GF Value™ of NT$16.79 (Fairly Valued). The stock has 7 warning signs investors should review. Among 2,993 Industrial Products companies, Falcon Machine Tools Co ranks worse than 64.72% on this metric.
ROCO:4513's Gross Margin % is ranked worse than 64.72% of 2993
companies
in the Industrial Products industry
Industry Median: 26.81
vs ROCO:4513: 21.56
Falcon Machine Tools Co had a gross margin of 8.95% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Falcon Machine Tools Co was 0.20% per year.
Falcon Machine Tools Co (ROCO:4513) 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
Falcon Machine Tools Co had a gross margin of 8.95% for the quarter that ended in Dec. 2025 => 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.
Falcon Machine Tools Co Gross Margin % Related Terms
Falcon Machine Tools Co 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.
ROCO:4513 vs GEV, ETN, PH: Gross Margin % Comparison
For the Specialty Industrial Machinery subindustry, Falcon Machine Tools Co'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.
Falcon Machine Tools Co Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Falcon Machine Tools Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Falcon Machine Tools Co'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.
Falcon Machine Tools Co (ROCO:4513) has a Gross Margin % of 8.95% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Falcon Machine Tools Co and its competitors. This is 65% below median its historical median of 25.34. Over the past decade, Falcon Machine Tools Co's Gross Margin % has ranged from 21.56 to 28.36. According to the industry distribution chart, Falcon Machine Tools Co ranks #1937 out of 2993 companies in the Industrial Products industry, placing it in the top 64.7%.
Is Falcon Machine Tools Co's Gross Margin % too high?
Falcon Machine Tools Co's current Gross Margin % of 8.95% is 65% below median its 10-year median of 25.34. Over the past 10 years, this metric has ranged from a low of 21.56 to a high of 28.36. The Industrial Products industry median Gross Margin % is 26.81. Falcon Machine Tools Co's value of 8.95% is 66.6% below this industry median. Based on the distribution chart, Falcon Machine Tools Co ranks #1937 out of 2993 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Falcon Machine Tools Co has a GF Score™ of 39/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Falcon Machine Tools Co's Gross Margin % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Falcon Machine Tools Co ranks #1937 out of 2993 companies for Gross Margin %. This places Falcon Machine Tools Co in the lower half of its industry. The industry median Gross Margin % is 26.81. Falcon Machine Tools Co's value of 8.95% is 66.6% below this benchmark. Historically, Falcon Machine Tools Co's own Gross Margin % has ranged from 21.56 to 28.36 over the past decade. While the company's 10-year median is 25.34 vs. the industry median of 26.81, Falcon Machine Tools Co 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 an Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.81, based on 2,993 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. Falcon Machine Tools Co's current Gross Margin % of 8.95% is 66.6% 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 Falcon Machine Tools Co and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Falcon Machine Tools Co's current Gross Margin % is 8.95%, which is 65% below median its own 10-year median of 25.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Falcon Machine Tools Co stock overvalued right now?
Based on GuruFocus' analysis, Falcon Machine Tools Co (ROCO:4513) is currently considered Fairly Valued. The stock's GF Value™ is NT$16.79, compared to a current price of NT$16.70 — trading 0.5% below its estimated fair value. The current Gross Margin % is 8.95%, which is 65% below median its 10-year median of 25.34 and 66.6% below the Industrial Products industry median of 26.81. Falcon Machine Tools Co's overall GF Score™ is 39/100 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 Falcon Machine Tools Co (ROCO:4513), the current Gross Margin % is 8.95% as of Dec. 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.
Is Falcon Machine Tools Co (ROCO:4513) Overvalued in 2026?
Based on GuruFocus' analysis, Falcon Machine Tools Co stock appears to be undervalued.
The current stock price of NT$16.70 is trading 0.5% below its estimated GF Value™ of NT$16.79.
GuruFocus considers Falcon Machine Tools Co to be Fairly Valued.
Key valuation signals for ROCO:4513:
Gross Margin %: 8.95% (65% below median its 10-year median of 25.34)
GF Value™: NT$16.79 vs. price of NT$16.70 (0.5% below fair value)
Industry Position: 66.6% below the Industrial Products median (#1937 of 2993)
No single metric tells the full story. See the ROCO:4513 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Falcon Machine Tools Co Ltd manufactures and sells grinding, milling, turning machines, and other products. Its products include grinders, lathes, millers, planers, drill presses, and saw machines among others. It is also engaged in manufacturing and trading computer accessories and electronic parts, and the development, leasing, and sale of residential housing and buildings. The company's reportable segments include Taiwan Falcon which generates key revenue, Chevalier Machinery, Inc., Mainland Region, and others. Geographically, the company derives its key revenue from America and the rest from Mainland China, Taiwan, Europe, and other regions.
39GF 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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