Comba Telecom Systems Holdings (SGX:STC) 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
Comba Telecom Systems Holdings had a gross margin of 28.02% 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.
Comba Telecom Systems Holdings Gross Margin % Related Terms
Comba Telecom Systems 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.
Comba Telecom Systems Holdings Gross Margin % Chart
SGX:STC vs CSCO, CIEN, MSI: Gross Margin % Comparison
For the Communication Equipment subindustry, Comba Telecom Systems 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.
Comba Telecom Systems Holdings Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Comba Telecom Systems Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Comba Telecom Systems 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.
Comba Telecom Systems Holdings (SGX:STC) has a Gross Margin % of 28.02% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Comba Telecom Systems Holdings and its competitors. This is near median its historical median of 28.19. Over the past decade, Comba Telecom Systems Holdings' Gross Margin % has ranged from 24.24 to 30.73. According to the industry distribution chart, Comba Telecom Systems Holdings ranks #1043 out of 2453 companies in the Hardware industry, placing it in the top 42.5%.
Is Comba Telecom Systems Holdings' Gross Margin % too high?
Comba Telecom Systems Holdings' current Gross Margin % of 28.02% is near median its 10-year median of 28.19. Over the past 10 years, this metric has ranged from a low of 24.24 to a high of 30.73. The Hardware industry median Gross Margin % is 24.52. Comba Telecom Systems Holdings' value of 28.02% is 14.3% above this industry median. Based on the distribution chart, Comba Telecom Systems Holdings ranks #1043 out of 2453 companies in the Hardware industry, which is above the industry midpoint. Overall, Comba Telecom Systems Holdings has a GF Score™ of 45/100, reflecting its overall financial health beyond just this single metric.
How does Comba Telecom Systems Holdings' Gross Margin % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, Comba Telecom Systems Holdings ranks #1043 out of 2453 companies for Gross Margin %. This puts Comba Telecom Systems Holdings in the upper half of its industry. The industry median Gross Margin % is 24.52. Comba Telecom Systems Holdings' value of 28.02% is 14.3% above this benchmark. Historically, Comba Telecom Systems Holdings' own Gross Margin % has ranged from 24.24 to 30.73 over the past decade. While the company's 10-year median is 28.19 vs. the industry median of 24.52, Comba Telecom Systems 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.52, based on 2,453 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. Comba Telecom Systems Holdings's current Gross Margin % of 28.02% is 14.3% 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 Comba Telecom Systems Holdings and its competitors. For the Hardware industry, the median Gross Margin % is 24.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Comba Telecom Systems Holdings's current Gross Margin % is 28.02%, which is near median its own 10-year median of 28.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Comba Telecom Systems Holdings stock overvalued right now?
Comba Telecom Systems Holdings (SGX:STC) has a current Gross Margin % of 28.02%. The stock's GF Value™ is S$0.19, compared to a current price of S$0.22 — trading 15.8% above its estimated fair value. The current Gross Margin % is 28.02%, which is near median its 10-year median of 28.19 and 14.3% above the Hardware industry median of 24.52. Comba Telecom Systems Holdings' overall GF Score™ is 45/100 with 3 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 Comba Telecom Systems Holdings (SGX:STC), the current Gross Margin % is 28.02% 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 Comba Telecom Systems Holdings (SGX:STC) Overvalued in 2026?
Based on GuruFocus' analysis, Comba Telecom Systems Holdings stock appears to be overvalued.
The current stock price of S$0.22 is trading 15.8% above its estimated GF Value™ of S$0.19.
Key valuation signals for SGX:STC:
Gross Margin %: 28.02% (near median its 10-year median of 28.19)
GF Value™: S$0.19 vs. price of S$0.22 (15.8% above fair value)
Industry Position: 14.3% above the Hardware median (#1043 of 2453)
No single metric tells the full story. See the SGX:STC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Comba Telecom Systems Holdings Business Description
Comba Telecom Systems Holdings Ltd is an investment holding company. It operates in two segments: Wireless telecommunications network system equipment & services, and Operator telecommunication services. Its solutions include Antenna Site, In-Vehicle Broadband, Indoor Coverage Enhancement, Large Venue Coverage, LTE Upgrade, Railway/Tunnel Coverage, Wireless Backhaul, and Small Cell. It serves various industries such as airports, Education, Government and Public, Hospitality, stadiums, Transportation, and others. The company generates maximum revenue from the Wireless telecommunications network system equipment & services segment. Its geographical segments are Mainland China, Other countries/areas in the Asia Pacific, Americas, European Union, Middle East, and Other countries.
45GF Score
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