Taiwan Taomee Co (ROCO:6428) Gross Margin %: 65.38% (As of Dec. 2025) — 22% Above Median

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ROCO:6428 Taiwan Taomee Co Ltd ROCO:6428
68 GF Score
Price NT$25.00
GF Value NT$11.76
Valuation Significantly Overvalued
! 2 Warning Signs
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What is Taiwan Taomee Co Gross Margin %?

Taiwan Taomee Co ROCO:6428 +1.21% 68 Gross Margin % is 65.38% as of Dec. 2025, which is 22% above its 10-year median of 53.62. GuruFocus rates ROCO:6428 with a GF Score™ of 68/100 and a GF Value™ of NT$11.76 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 497 Interactive Media companies, Taiwan Taomee Co ranks better than 52.31% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Taiwan Taomee Co's Gross Profit for the six months ended in Dec. 2025 was NT$21.93 Mil. Taiwan Taomee Co's Revenue for the six months ended in Dec. 2025 was NT$33.54 Mil. Therefore, Taiwan Taomee Co's Gross Margin % for the quarter that ended in Dec. 2025 was 65.38%.


The historical rank and industry rank for Taiwan Taomee Co's Gross Margin % or its related term are showing as below:

ROCO:6428' s Gross Margin % Range Over the Past 10 Years
Min: 20.11   Med: 53.62   Max: 64.7
Current: 64.7


During the past 13 years, the highest Gross Margin % of Taiwan Taomee Co was 64.70%. The lowest was 20.11%. And the median was 53.62%.

ROCO:6428's Gross Margin % is ranked better than
52.31% of 497 companies
in the Interactive Media industry
Industry Median: 62.58 vs ROCO:6428: 64.70

Taiwan Taomee Co had a gross margin of 65.38% for the quarter that ended in Dec. 2025 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Taiwan Taomee Co was 3.10% per year.


Taiwan Taomee Co  (ROCO:6428) 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

Taiwan Taomee Co had a gross margin of 65.38% for the quarter that ended in Dec. 2025 => 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.


Taiwan Taomee Co Gross Margin % Related Terms


Taiwan Taomee Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Taiwan Taomee Co'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.

Taiwan Taomee Co Gross Margin % Chart

Taiwan Taomee Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 51.70 56.90 53.53 55.36 64.70

Taiwan Taomee Co Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 61.41 57.26 53.37 63.95 65.38

ROCO:6428 vs NTES, EA, TTWO: Gross Margin % Comparison

For the Electronic Gaming & Multimedia subindustry, Taiwan Taomee 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.


Taiwan Taomee Co Gross Margin % vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Taiwan Taomee Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Taiwan Taomee Co's Gross Margin % falls into.


ROCO:6428
68GF Score
Taiwan Taomee Co Ltd ROCO:6428
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Taiwan Taomee Co Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Taiwan Taomee Co's Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=41.2 / 63.651
=(Revenue - Cost of Goods Sold) / Revenue
=(63.651 - 22.468) / 63.651
=64.70 %

Taiwan Taomee Co's Gross Margin for the quarter that ended in Dec. 2025 is calculated as


Gross Margin % (Q: Dec. 2025 )=Gross Profit (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=21.9 / 33.537
=(Revenue - Cost of Goods Sold) / Revenue
=(33.537 - 11.612) / 33.537
=65.38 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 65.38% mean?
Taiwan Taomee Co (ROCO:6428) has a Gross Margin % of 65.38% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Taiwan Taomee Co and its competitors. This is 22% above median its historical median of 53.62. Over the past decade, Taiwan Taomee Co's Gross Margin % has ranged from 20.11 to 64.70. According to the industry distribution chart, Taiwan Taomee Co ranks #237 out of 497 companies in the Interactive Media industry, placing it in the top 47.7%.
Is Taiwan Taomee Co's Gross Margin % too high?
Taiwan Taomee Co's current Gross Margin % of 65.38% is 22% above median its 10-year median of 53.62. Over the past 10 years, this metric has ranged from a low of 20.11 to a high of 64.70. The Interactive Media industry median Gross Margin % is 62.58. Taiwan Taomee Co's value of 65.38% is 4.5% above this industry median. Based on the distribution chart, Taiwan Taomee Co ranks #237 out of 497 companies in the Interactive Media industry, which is above the industry midpoint. Overall, Taiwan Taomee Co has a GF Score™ of 68/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Taiwan Taomee Co's Gross Margin % compare to NTES and EA?
According to the Interactive Media industry distribution chart, Taiwan Taomee Co ranks #237 out of 497 companies for Gross Margin %. This puts Taiwan Taomee Co in the upper half of its industry. The industry median Gross Margin % is 62.58. Taiwan Taomee Co's value of 65.38% is 4.5% above this benchmark. Historically, Taiwan Taomee Co's own Gross Margin % has ranged from 20.11 to 64.70 over the past decade. While the company's 10-year median is 53.62 vs. the industry median of 62.58, Taiwan Taomee Co 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 an Interactive Media company?
The median Gross Margin % among Interactive Media companies is 62.58, based on 497 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. Taiwan Taomee Co's current Gross Margin % of 65.38% is 4.5% 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 Taiwan Taomee Co and its competitors. For the Interactive Media industry, the median Gross Margin % is 62.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Taiwan Taomee Co's current Gross Margin % is 65.38%, which is 22% above median its own 10-year median of 53.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Taiwan Taomee Co stock overvalued right now?
Based on GuruFocus' analysis, Taiwan Taomee Co (ROCO:6428) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$11.76, compared to a current price of NT$25.00 — trading 112.6% above its estimated fair value. The current Gross Margin % is 65.38%, which is 22% above median its 10-year median of 53.62 and 4.5% above the Interactive Media industry median of 62.58. Taiwan Taomee Co's overall GF Score™ is 68/100 with 2 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 Taiwan Taomee Co (ROCO:6428), the current Gross Margin % is 65.38% 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 Taiwan Taomee Co (ROCO:6428) Overvalued in 2026?

Based on GuruFocus' analysis, Taiwan Taomee Co stock appears to be overvalued. The current stock price of NT$25.00 is trading 112.6% above its estimated GF Value™ of NT$11.76. GuruFocus considers Taiwan Taomee Co to be Significantly Overvalued.

Key valuation signals for ROCO:6428:

  • Gross Margin %: 65.38% (22% above median its 10-year median of 53.62)
  • GF Value™: NT$11.76 vs. price of NT$25.00 (112.6% above fair value)
  • GF Score™: 68/100 with 2 warning signs
  • Industry Position: 4.5% above the Interactive Media median (#237 of 497)

No single metric tells the full story. See the ROCO:6428 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Taiwan Taomee Co Business Description

Address No. 237, Songjiang Road, 6th Floor-1, Zhongshan District, Taipei, TWN
Taiwan Taomee Co Ltd is an online game platform operation company. It is engaged in the operation and development of online games. It provides games for mobile phones and computers.
68GF Score

Get the complete analysis for ROCO:6428

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

NT$25.00
Price
NT$11.76
GF Value