Jinan High-tech Development Co (SHSE:600807) 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
Jinan High-tech Development Co had a gross margin of 13.00% 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.
Jinan High-tech Development Co Gross Margin % Related Terms
Jinan High-tech 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.
Jinan High-tech Development Co Gross Margin % Chart
Jinan High-tech Development Co Gross Margin % Competitor Comparison
For the Real Estate - Development subindustry, Jinan High-tech 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.
Jinan High-tech Development Co Gross Margin % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Jinan High-tech Development Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Jinan High-tech 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.
Jinan High-tech Development Co (SHSE:600807) has a Gross Margin % of 13.00% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Jinan High-tech Development Co and its competitors. This is 61% below median its historical median of 33.46. Over the past decade, Jinan High-tech Development Co's Gross Margin % has ranged from 16.72 to 38.31. According to the industry distribution chart, Jinan High-tech Development Co ranks #1311 out of 1641 companies in the Real Estate industry, placing it in the top 79.9%.
Is Jinan High-tech Development Co's Gross Margin % too high?
Jinan High-tech Development Co's current Gross Margin % of 13.00% is 61% below median its 10-year median of 33.46. Over the past 10 years, this metric has ranged from a low of 16.72 to a high of 38.31. The Real Estate industry median Gross Margin % is 36.97. Jinan High-tech Development Co's value of 13.00% is 64.8% below this industry median. Based on the distribution chart, Jinan High-tech Development Co ranks #1311 out of 1641 companies in the Real Estate industry, which is in the bottom quartile relative to peers. Overall, Jinan High-tech Development Co has a GF Score™ of 53/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Jinan High-tech Development Co's Gross Margin % compare to competitors?
According to the Real Estate industry distribution chart, Jinan High-tech Development Co ranks #1311 out of 1641 companies for Gross Margin %. This places Jinan High-tech Development Co in the lower half of its industry. The industry median Gross Margin % is 36.97. Jinan High-tech Development Co's value of 13.00% is 64.8% below this benchmark. Historically, Jinan High-tech Development Co's own Gross Margin % has ranged from 16.72 to 38.31 over the past decade. While the company's 10-year median is 33.46 vs. the industry median of 36.97, Jinan High-tech Development 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 Real Estate company?
The median Gross Margin % among Real Estate companies is 36.97, based on 1,641 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. Jinan High-tech Development Co's current Gross Margin % of 13.00% is 64.8% 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 Jinan High-tech Development Co and its competitors. For the Real Estate industry, the median Gross Margin % is 36.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Jinan High-tech Development Co's current Gross Margin % is 13.00%, which is 61% below median its own 10-year median of 33.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Jinan High-tech Development Co stock overvalued right now?
Based on GuruFocus' analysis, Jinan High-tech Development Co (SHSE:600807) is currently considered Modestly Overvalued. The stock's GF Value™ is ¥1.90, compared to a current price of ¥2.37 — trading 24.7% above its estimated fair value. The current Gross Margin % is 13.00%, which is 61% below median its 10-year median of 33.46 and 64.8% below the Real Estate industry median of 36.97. Jinan High-tech Development Co's overall GF Score™ is 53/100 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 Jinan High-tech Development Co (SHSE:600807), the current Gross Margin % is 13.00% 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 Jinan High-tech Development Co (SHSE:600807) Overvalued in 2026?
Based on GuruFocus' analysis, Jinan High-tech Development Co stock appears to be overvalued.
The current stock price of ¥2.37 is trading 24.7% above its estimated GF Value™ of ¥1.90.
GuruFocus considers Jinan High-tech Development Co to be Modestly Overvalued.
Key valuation signals for SHSE:600807:
Gross Margin %: 13.00% (61% below median its 10-year median of 33.46)
GF Value™: ¥1.90 vs. price of ¥2.37 (24.7% above fair value)
Industry Position: 64.8% below the Real Estate median (#1311 of 1641)
No single metric tells the full story. See the SHSE:600807 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Jinan High-tech Development Co Business Description
AddressNo. 1 Xinyu South Road, International Exhibition Center, 3rd Floor, High and New Technology Industrial Development Zon, Shandong, Jinan, CHN, 250101
Jinan High-tech Development Co Ltd is engaged in real estate development, mining, finance, and venture capital businesses. The company is also involved in developing residential, commercial, tourism, and education real estate properties.
53GF Score
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