Shanghai Foreign Service Holding Group Co (SHSE:600662) 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 Foreign Service Holding Group Co had a gross margin of 7.83% 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.
Shanghai Foreign Service Holding Group Co Gross Margin % Related Terms
Shanghai Foreign Service Holding Group 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.
Shanghai Foreign Service Holding Group Co Gross Margin % Chart
Shanghai Foreign Service Holding Group Co Annual Data
SHSE:600662 vs ODFL, XPO, KNX: Gross Margin % Comparison
For the Trucking subindustry, Shanghai Foreign Service Holding Group 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 Foreign Service Holding Group Co Gross Margin % vs Transportation Industry
* 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 Foreign Service Holding Group Co (SHSE:600662) has a Gross Margin % of 7.83% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Shanghai Foreign Service Holding Group Co and its competitors. This is 34% below median its historical median of 11.89. Over the past decade, Shanghai Foreign Service Holding Group Co's Gross Margin % has ranged from 7.52 to 16.11. According to the industry distribution chart, Shanghai Foreign Service Holding Group Co ranks #809 out of 980 companies in the Transportation industry, placing it in the top 82.6%.
Is Shanghai Foreign Service Holding Group Co's Gross Margin % too high?
Shanghai Foreign Service Holding Group Co's current Gross Margin % of 7.83% is 34% below median its 10-year median of 11.89. Over the past 10 years, this metric has ranged from a low of 7.52 to a high of 16.11. The Transportation industry median Gross Margin % is 20.40. Shanghai Foreign Service Holding Group Co's value of 7.83% is 61.6% below this industry median. Based on the distribution chart, Shanghai Foreign Service Holding Group Co ranks #809 out of 980 companies in the Transportation industry, which is in the bottom quartile relative to peers. Overall, Shanghai Foreign Service Holding Group Co has a GF Score™ of 77/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shanghai Foreign Service Holding Group Co's Gross Margin % compare to ODFL and XPO?
According to the Transportation industry distribution chart, Shanghai Foreign Service Holding Group Co ranks #809 out of 980 companies for Gross Margin %. This places Shanghai Foreign Service Holding Group Co in the lower half of its industry. The industry median Gross Margin % is 20.40. Shanghai Foreign Service Holding Group Co's value of 7.83% is 61.6% below this benchmark. Historically, Shanghai Foreign Service Holding Group Co's own Gross Margin % has ranged from 7.52 to 16.11 over the past decade. While the company's 10-year median is 11.89 vs. the industry median of 20.40, Shanghai Foreign Service Holding Group Co 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 a Transportation company?
The median Gross Margin % among Transportation companies is 20.40, based on 980 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 Foreign Service Holding Group Co's current Gross Margin % of 7.83% is 61.6% 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 Shanghai Foreign Service Holding Group Co and its competitors. For the Transportation industry, the median Gross Margin % is 20.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shanghai Foreign Service Holding Group Co's current Gross Margin % is 7.83%, which is 34% below median its own 10-year median of 11.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanghai Foreign Service Holding Group Co stock overvalued right now?
Based on GuruFocus' analysis, Shanghai Foreign Service Holding Group Co (SHSE:600662) is currently considered Significantly Undervalued. The stock's GF Value™ is ¥6.05, compared to a current price of ¥4.09 — trading 32.4% below its estimated fair value. The current Gross Margin % is 7.83%, which is 34% below median its 10-year median of 11.89 and 61.6% below the Transportation industry median of 20.40. Shanghai Foreign Service Holding Group Co's overall GF Score™ is 77/100 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 Shanghai Foreign Service Holding Group Co (SHSE:600662), the current Gross Margin % is 7.83% 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 Foreign Service Holding Group Co (SHSE:600662) Overvalued in 2026?
Based on GuruFocus' analysis, Shanghai Foreign Service Holding Group Co stock appears to be undervalued.
The current stock price of ¥4.09 is trading 32.4% below its estimated GF Value™ of ¥6.05.
GuruFocus considers Shanghai Foreign Service Holding Group Co to be Significantly Undervalued.
Key valuation signals for SHSE:600662:
Gross Margin %: 7.83% (34% below median its 10-year median of 11.89)
GF Value™: ¥6.05 vs. price of ¥4.09 (32.4% below fair value)
Industry Position: 61.6% below the Transportation median (#809 of 980)
No single metric tells the full story. See the SHSE:600662 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shanghai Foreign Service Holding Group Co Business Description
Shanghai Foreign Service Holding Group Co Ltd is principally engaged in providing taxi services. It is also involved in the rental of cars, automobile service, tourism and housing industry. Geographically the activities are carried out through Shanghai.
77GF Score
Get the complete analysis for SHSE:600662
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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