Sangoma TechnologiesSANG +1.80%65 Gross Margin % is 71.30% as of Mar. 2026, which is 5% above its 10-year median of 68.03. GuruFocus rates SANG with a GF Score™ of 65/100 and a GF Value™ of $4.05 (Fairly Valued). The stock has 2 warning signs investors should review. Among 2,681 Software companies, Sangoma Technologies ranks better than 80.94% 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
Sangoma Technologies had a gross margin of 71.30% 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.
Sangoma Technologies Gross Margin % Related Terms
Sangoma Technologies Gross Margin % Historical Data
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The historical data trend for Sangoma Technologies'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.
SANG vs MSFT, ORCL, PLTR: Gross Margin % Comparison
For the Software - Infrastructure subindustry, Sangoma Technologies'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.
Sangoma Technologies Gross Margin % vs Software Industry
For the Software industry and Technology sector, Sangoma Technologies's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Sangoma Technologies'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.
Sangoma Technologies (SANG) has a Gross Margin % of 71.30% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Sangoma Technologies and its competitors. This is near median its historical median of 68.03. Over the past decade, Sangoma Technologies' Gross Margin % has ranged from 53.88 to 71.24. According to the industry distribution chart, Sangoma Technologies ranks #511 out of 2681 companies in the Software industry, placing it in the top 19.1%.
Is Sangoma Technologies' Gross Margin % too high?
Sangoma Technologies' current Gross Margin % of 71.30% is near median its 10-year median of 68.03. Over the past 10 years, this metric has ranged from a low of 53.88 to a high of 71.24. The Software industry median Gross Margin % is 40.41. Sangoma Technologies' value of 71.30% is 76.4% above this industry median. Based on the distribution chart, Sangoma Technologies ranks #511 out of 2681 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Sangoma Technologies has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Sangoma Technologies' Gross Margin % compare to MSFT and ORCL?
According to the Software industry distribution chart, Sangoma Technologies ranks #511 out of 2681 companies for Gross Margin %. This places Sangoma Technologies in the top 19% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.41. Sangoma Technologies' value of 71.30% is 76.4% above this benchmark. Historically, Sangoma Technologies' own Gross Margin % has ranged from 53.88 to 71.24 over the past decade. While the company's 10-year median is 68.03 vs. the industry median of 40.41, Sangoma Technologies 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 40.41, 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. Sangoma Technologies's current Gross Margin % of 71.30% is 76.4% 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 Sangoma Technologies and its competitors. For the Software industry, the median Gross Margin % is 40.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sangoma Technologies's current Gross Margin % is 71.30%, which is near median its own 10-year median of 68.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sangoma Technologies stock overvalued right now?
Based on GuruFocus' analysis, Sangoma Technologies (SANG) is currently considered Fairly Valued. The stock's GF Value™ is $4.05, compared to a current price of $3.68 — trading 9.1% below its estimated fair value. The current Gross Margin % is 71.30%, which is near median its 10-year median of 68.03 and 76.4% above the Software industry median of 40.41. Sangoma Technologies' overall GF Score™ is 65/100 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 Sangoma Technologies (SANG), the current Gross Margin % is 71.30% 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 Sangoma Technologies (SANG) Overvalued in 2026?
Based on GuruFocus' analysis, Sangoma Technologies stock appears to be undervalued.
The current stock price of $3.68 is trading 9.1% below its estimated GF Value™ of $4.05.
GuruFocus considers Sangoma Technologies to be Fairly Valued.
Key valuation signals for SANG:
Gross Margin %: 71.30% (near median its 10-year median of 68.03)
GF Value™: $4.05 vs. price of $3.68 (9.1% below fair value)
Industry Position: 76.4% above the Software median (#511 of 2681)
No single metric tells the full story. See the SANG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sangoma Technologies Corp is a provider of hardware and software components that enable or enhance Internet Protocol Communications Systems for both telecom and datacom applications. It is engaged in the development, manufacturing, distribution, and support of voice and data connectivity components for software-based communication applications. Its product includes data and telecom boards for media and signal processing, as well as gateway appliances and software. The Company sells into two geographic centers: USA and Other countries. Key revenue is generated from USA.
65GF Score
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