Shanghai Industrial HoldingsSGHIF +4.08%50 Gross Margin % is 32.49% as of Dec. 2025, which is 13% below its 10-year median of 37.24. GuruFocus rates SGHIF with a GF Score™ of 50/100 and a GF Value™ of $1.00 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 513 Conglomerates companies, Shanghai Industrial Holdings ranks better than 59.06% 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
Shanghai Industrial Holdings had a gross margin of 32.49% for the quarter that ended in Dec. 2025 => Competition eroding margins
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.
Shanghai Industrial Holdings Gross Margin % Related Terms
Shanghai Industrial Holdings 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.
For the Conglomerates subindustry, Shanghai Industrial Holdings'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.
Shanghai Industrial Holdings Gross Margin % vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Shanghai Industrial Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Shanghai Industrial Holdings'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.
Shanghai Industrial Holdings (SGHIF) has a Gross Margin % of 32.49% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Shanghai Industrial Holdings and its competitors. This is 13% below median its historical median of 37.24. Over the past decade, Shanghai Industrial Holdings' Gross Margin % has ranged from 27.32 to 40.12. According to the industry distribution chart, Shanghai Industrial Holdings ranks #210 out of 513 companies in the Conglomerates industry, placing it in the top 40.9%.
Is Shanghai Industrial Holdings' Gross Margin % too high?
Shanghai Industrial Holdings' current Gross Margin % of 32.49% is 13% below median its 10-year median of 37.24. Over the past 10 years, this metric has ranged from a low of 27.32 to a high of 40.12. The Conglomerates industry median Gross Margin % is 25.96. Shanghai Industrial Holdings' value of 32.49% is 25.2% above this industry median. Based on the distribution chart, Shanghai Industrial Holdings ranks #210 out of 513 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Shanghai Industrial Holdings has a GF Score™ of 50/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shanghai Industrial Holdings' Gross Margin % compare to HON and MMM?
According to the Conglomerates industry distribution chart, Shanghai Industrial Holdings ranks #210 out of 513 companies for Gross Margin %. This puts Shanghai Industrial Holdings in the upper half of its industry. The industry median Gross Margin % is 25.96. Shanghai Industrial Holdings' value of 32.49% is 25.2% above this benchmark. Historically, Shanghai Industrial Holdings' own Gross Margin % has ranged from 27.32 to 40.12 over the past decade. While the company's 10-year median is 37.24 vs. the industry median of 25.96, Shanghai Industrial Holdings 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 Conglomerates company?
The median Gross Margin % among Conglomerates companies is 25.96, based on 513 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. Shanghai Industrial Holdings's current Gross Margin % of 32.49% is 25.2% 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 Shanghai Industrial Holdings and its competitors. For the Conglomerates industry, the median Gross Margin % is 25.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shanghai Industrial Holdings's current Gross Margin % is 32.49%, which is 13% below median its own 10-year median of 37.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanghai Industrial Holdings stock overvalued right now?
Based on GuruFocus' analysis, Shanghai Industrial Holdings (SGHIF) is currently considered Significantly Overvalued. The stock's GF Value™ is $1.00, compared to a current price of $1.71 — trading 71% above its estimated fair value. The current Gross Margin % is 32.49%, which is 13% below median its 10-year median of 37.24 and 25.2% above the Conglomerates industry median of 25.96. Shanghai Industrial Holdings' overall GF Score™ is 50/100 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 Shanghai Industrial Holdings (SGHIF), the current Gross Margin % is 32.49% 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 Shanghai Industrial Holdings (SGHIF) Overvalued in 2026?
Based on GuruFocus' analysis, Shanghai Industrial Holdings stock appears to be overvalued.
The current stock price of $1.71 is trading 71% above its estimated GF Value™ of $1.00.
GuruFocus considers Shanghai Industrial Holdings to be Significantly Overvalued.
Key valuation signals for SGHIF:
Gross Margin %: 32.49% (13% below median its 10-year median of 37.24)
GF Value™: $1.00 vs. price of $1.71 (71% above fair value)
Industry Position: 25.2% above the Conglomerates median (#210 of 513)
No single metric tells the full story. See the SGHIF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shanghai Industrial Holdings Ltd is engaged in the real estate sector. It operates in four segments Infrastructure and environmental protection which includes investment in toll road/bridge projects and water services/clean energy businesses, Real estate which includes property development and investment and hotel operation, Consumer products which includes manufacture and sale of cigarettes, packaging materials, and printed products, Comprehensive healthcare operations which includes manufacture and sales of pharmaceutical and healthcare products, provision of distribution and supply chain solutions services and operation and franchise of a network of retail pharmacies Its geographical segments are China, Asia, Hong Kong, and others, of which the majority of its revenue comes from China.
50GF Score
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