Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Southgobi ResourcesSGQRF 62 Gross Margin % is 5.47% as of Mar. 2026, which is 78% below its 10-year median of 25.00. GuruFocus rates SGQRF with a GF Score™ of 62/100 and a GF Value™ of $0.64. The stock has 7 warning signs investors should review. Among 124 Other Energy Sources companies, Southgobi Resources ranks worse than 86.29% 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
Southgobi Resources had a gross margin of 5.47% for the quarter that ended in Mar. 2026 => 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.
Southgobi Resources Gross Margin % Related Terms
Southgobi Resources Gross Margin % Historical Data
* Premium members only.
The historical data trend for Southgobi Resources'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.
For the Thermal Coal subindustry, Southgobi Resources'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.
Southgobi Resources Gross Margin % vs Other Energy Sources Industry
For the Other Energy Sources industry and Energy sector, Southgobi Resources's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Southgobi Resources'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.
Southgobi Resources (SGQRF) has a Gross Margin % of 5.47% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Southgobi Resources and its competitors. This is 78% below median its historical median of 25.00. According to the industry distribution chart, Southgobi Resources ranks #107 out of 124 companies in the Other Energy Sources industry, placing it in the top 86.3%.
Is Southgobi Resources' Gross Margin % too high?
Southgobi Resources' current Gross Margin % of 5.47% is 78% below median its 10-year median of 25.00. The Other Energy Sources industry median Gross Margin % is 18.78. Southgobi Resources' value of 5.47% is 70.9% below this industry median. Based on the distribution chart, Southgobi Resources ranks #107 out of 124 companies in the Other Energy Sources industry, which is in the bottom quartile relative to peers. Overall, Southgobi Resources has a GF Score™ of 62/100, reflecting its overall financial health beyond just this single metric.
How does Southgobi Resources' Gross Margin % compare to competitors?
According to the Other Energy Sources industry distribution chart, Southgobi Resources ranks #107 out of 124 companies for Gross Margin %. This places Southgobi Resources in the lower half of its industry. The industry median Gross Margin % is 18.78. Southgobi Resources' value of 5.47% is 70.9% below this benchmark. While the company's 10-year median is 25.00 vs. the industry median of 18.78, Southgobi Resources 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 Other Energy Sources company?
The median Gross Margin % among Other Energy Sources companies is 18.78, based on 124 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. Southgobi Resources's current Gross Margin % of 5.47% is 70.9% 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 Southgobi Resources and its competitors. For the Other Energy Sources industry, the median Gross Margin % is 18.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Southgobi Resources's current Gross Margin % is 5.47%, which is 78% below median its own 10-year median of 25.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Southgobi Resources stock overvalued right now?
Southgobi Resources (SGQRF) has a current Gross Margin % of 5.47%. The stock's GF Value™ is $0.64, compared to a current price of $0.28 — trading 56.3% below its estimated fair value. The current Gross Margin % is 5.47%, which is 78% below median its 10-year median of 25.00 and 70.9% below the Other Energy Sources industry median of 18.78. Southgobi Resources' overall GF Score™ is 62/100 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 Southgobi Resources (SGQRF), the current Gross Margin % is 5.47% 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 Southgobi Resources (SGQRF) Overvalued in 2026?
Based on GuruFocus' analysis, Southgobi Resources stock appears to be undervalued.
The current stock price of $0.28 is trading 56.3% below its estimated GF Value™ of $0.64.
Key valuation signals for SGQRF:
Gross Margin %: 5.47% (78% below median its 10-year median of 25.00)
GF Value™: $0.64 vs. price of $0.28 (56.3% below fair value)
Industry Position: 70.9% below the Other Energy Sources median (#107 of 124)
No single metric tells the full story. See the SGQRF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Southgobi Resources Ltd together with its subsidiaries is an integrated coal mining, development, and exploration company. Its reportable operating segment is its Coal Division which is principally engaged in coal mining, development, and exploration in Mongolia and logistics and trading of coal in Mongolia and China. The company also holds the mining and exploration licenses of other metallurgical and thermal coal deposits in the South Gobi Province of Mongolia. The company owns the following operating coal mine and coal projects in Mongolia: the Ovoot Tolgoi Mine, Zag Suuj Project, and the Soumber Project.
62GF Score
Get the complete analysis for SGQRF
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SGQRF has been successfully added to your 
