Shanghai Huitong Energy CoSHSE:600605 +1.71%63 Gross Margin % is 48.20% as of Mar. 2026, which is 4% below its 10-year median of 50.07. GuruFocus rates SHSE:600605 with a GF Score™ of 63/100 and a GF Value™ of ¥26.34 (Fairly Valued). The stock has 8 warning signs investors should review. Among 2,993 Industrial Products companies, Shanghai Huitong Energy Co ranks better than 90.28% on this metric.
SHSE:600605's Gross Margin % is ranked better than 90.28% of 2993
companies
in the Industrial Products industry
Industry Median: 26.83
vs SHSE:600605: 50.98
Shanghai Huitong Energy Co had a gross margin of 48.20% for the quarter that ended in Mar. 2026 => Durable competitive advantage
Shanghai Huitong Energy Co (SHSE:600605) 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
Shanghai Huitong Energy Co had a gross margin of 48.20% 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.
Shanghai Huitong Energy Co Gross Margin % Related Terms
Shanghai Huitong Energy 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.
SHSE:600605 vs GEV, ETN, PH: Gross Margin % Comparison
For the Specialty Industrial Machinery subindustry, Shanghai Huitong Energy 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.
Shanghai Huitong Energy Co Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Shanghai Huitong Energy Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Shanghai Huitong Energy 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.
Shanghai Huitong Energy Co (SHSE:600605) has a Gross Margin % of 48.20% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Shanghai Huitong Energy Co and its competitors. This is near median its historical median of 50.07. Over the past decade, Shanghai Huitong Energy Co's Gross Margin % has ranged from 3.65 to 71.31. According to the industry distribution chart, Shanghai Huitong Energy Co ranks #291 out of 2993 companies in the Industrial Products industry, placing it in the top 9.7%.
Is Shanghai Huitong Energy Co's Gross Margin % too high?
Shanghai Huitong Energy Co's current Gross Margin % of 48.20% is near median its 10-year median of 50.07. Over the past 10 years, this metric has ranged from a low of 3.65 to a high of 71.31. The Industrial Products industry median Gross Margin % is 26.83. Shanghai Huitong Energy Co's value of 48.20% is 79.6% above this industry median. Based on the distribution chart, Shanghai Huitong Energy Co ranks #291 out of 2993 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Shanghai Huitong Energy Co has a GF Score™ of 63/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Shanghai Huitong Energy Co's Gross Margin % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Shanghai Huitong Energy Co ranks #291 out of 2993 companies for Gross Margin %. This places Shanghai Huitong Energy Co in the top 10% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 26.83. Shanghai Huitong Energy Co's value of 48.20% is 79.6% above this benchmark. Historically, Shanghai Huitong Energy Co's own Gross Margin % has ranged from 3.65 to 71.31 over the past decade. While the company's 10-year median is 50.07 vs. the industry median of 26.83, Shanghai Huitong Energy 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 an Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.83, based on 2,993 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 Huitong Energy Co's current Gross Margin % of 48.20% is 79.6% 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 Huitong Energy Co and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shanghai Huitong Energy Co's current Gross Margin % is 48.20%, which is near median its own 10-year median of 50.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanghai Huitong Energy Co stock overvalued right now?
Based on GuruFocus' analysis, Shanghai Huitong Energy Co (SHSE:600605) is currently considered Fairly Valued. The stock's GF Value™ is ¥26.34, compared to a current price of ¥27.29 — trading 3.6% above its estimated fair value. The current Gross Margin % is 48.20%, which is near median its 10-year median of 50.07 and 79.6% above the Industrial Products industry median of 26.83. Shanghai Huitong Energy Co's overall GF Score™ is 63/100 with 8 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 Huitong Energy Co (SHSE:600605), the current Gross Margin % is 48.20% 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 Shanghai Huitong Energy Co (SHSE:600605) Overvalued in 2026?
Based on GuruFocus' analysis, Shanghai Huitong Energy Co stock appears to be overvalued.
The current stock price of ¥27.29 is trading 3.6% above its estimated GF Value™ of ¥26.34.
GuruFocus considers Shanghai Huitong Energy Co to be Fairly Valued.
Key valuation signals for SHSE:600605:
Gross Margin %: 48.20% (near median its 10-year median of 50.07)
GF Value™: ¥26.34 vs. price of ¥27.29 (3.6% above fair value)
Industry Position: 79.6% above the Industrial Products median (#291 of 2993)
No single metric tells the full story. See the SHSE:600605 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shanghai Huitong Energy Co Ltd is a large-scale enterprise engaged in the research and production of light industrial machinery. The company's main business includes wind power investment and operation, trade, property leasing and property management.
63GF Score
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