SHSE:600539's Gross Margin % is ranked better than 68.43% of 396
companies
in the Building Materials industry
Industry Median: 26.155
vs SHSE:600539: 33.53
Lionhead Technology Development Co had a gross margin of 33.54% for the quarter that ended in Mar. 2026 => Competition eroding margins
Lionhead Technology Development Co (SHSE:600539) 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
Lionhead Technology Development Co had a gross margin of 33.54% for the quarter that ended in Mar. 2026 => 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.
Lionhead Technology Development Co Gross Margin % Related Terms
Lionhead Technology Development Co 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.
Lionhead Technology Development Co Gross Margin % Chart
SHSE:600539 vs CRH, VMC, MLM: Gross Margin % Comparison
For the Building Materials subindustry, Lionhead Technology Development 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.
Lionhead Technology Development Co Gross Margin % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Lionhead Technology Development Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Lionhead Technology Development Co'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.
Lionhead Technology Development Co (SHSE:600539) has a Gross Margin % of 33.54% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Lionhead Technology Development Co and its competitors. This is 38% above median its historical median of 24.38. Over the past decade, Lionhead Technology Development Co's Gross Margin % has ranged from 4.60 to 33.82. According to the industry distribution chart, Lionhead Technology Development Co ranks #125 out of 396 companies in the Building Materials industry, placing it in the top 31.6%.
Is Lionhead Technology Development Co's Gross Margin % too high?
Lionhead Technology Development Co's current Gross Margin % of 33.54% is 38% above median its 10-year median of 24.38. Over the past 10 years, this metric has ranged from a low of 4.60 to a high of 33.82. The Building Materials industry median Gross Margin % is 26.16. Lionhead Technology Development Co's value of 33.54% is 28.2% above this industry median. Based on the distribution chart, Lionhead Technology Development Co ranks #125 out of 396 companies in the Building Materials industry, which is above the industry midpoint. Overall, Lionhead Technology Development Co has a GF Score™ of 40/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lionhead Technology Development Co's Gross Margin % compare to CRH and VMC?
According to the Building Materials industry distribution chart, Lionhead Technology Development Co ranks #125 out of 396 companies for Gross Margin %. This puts Lionhead Technology Development Co in the upper half of its industry. The industry median Gross Margin % is 26.16. Lionhead Technology Development Co's value of 33.54% is 28.2% above this benchmark. Historically, Lionhead Technology Development Co's own Gross Margin % has ranged from 4.60 to 33.82 over the past decade. While the company's 10-year median is 24.38 vs. the industry median of 26.16, Lionhead Technology Development 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 a Building Materials company?
The median Gross Margin % among Building Materials companies is 26.16, based on 396 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. Lionhead Technology Development Co's current Gross Margin % of 33.54% is 28.2% 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 Lionhead Technology Development Co and its competitors. For the Building Materials industry, the median Gross Margin % is 26.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lionhead Technology Development Co's current Gross Margin % is 33.54%, which is 38% above median its own 10-year median of 24.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lionhead Technology Development Co stock overvalued right now?
Based on GuruFocus' analysis, Lionhead Technology Development Co (SHSE:600539) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥5.89, compared to a current price of ¥17.45 — trading 196.3% above its estimated fair value. The current Gross Margin % is 33.54%, which is 38% above median its 10-year median of 24.38 and 28.2% above the Building Materials industry median of 26.16. Lionhead Technology Development Co's overall GF Score™ is 40/100 with 4 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 Lionhead Technology Development Co (SHSE:600539), the current Gross Margin % is 33.54% 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 Lionhead Technology Development Co (SHSE:600539) Overvalued in 2026?
Based on GuruFocus' analysis, Lionhead Technology Development Co stock appears to be overvalued.
The current stock price of ¥17.45 is trading 196.3% above its estimated GF Value™ of ¥5.89.
GuruFocus considers Lionhead Technology Development Co to be Significantly Overvalued.
Key valuation signals for SHSE:600539:
Gross Margin %: 33.54% (38% above median its 10-year median of 24.38)
GF Value™: ¥5.89 vs. price of ¥17.45 (196.3% above fair value)
Industry Position: 28.2% above the Building Materials median (#125 of 396)
No single metric tells the full story. See the SHSE:600539 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lionhead Technology Development Co Business Description
Lionhead Technology Development Co Ltd is engaged in the e-commerce business. E-commerce distribution business refers to obtaining authorization from brand companies or their authorized agents in some or all channels in the field of e-commerce, and the company purchases products from brand companies, opens stores on third-party e-commerce platforms under its own name within the scope of authorization, and sells to end consumers, or sells to third-party e-commerce platforms such as JD.com, Tmall Supermarket, and other distributors.
40GF Score
Get the complete analysis for SHSE:600539
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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