Avic Aviation High-Technology Co (SHSE:600862) Gross Margin %: 40.54% (As of Mar. 2026) — 27% Above Median

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SHSE:600862 Avic Aviation High-Technology Co Ltd SHSE:600862
71 GF Score
Price ¥18.76
GF Value ¥21.32
Valuation Modestly Undervalued
! 1 Warning Sign
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What is Avic Aviation High-Technology Co Gross Margin %?

Avic Aviation High-Technology Co SHSE:600862 +2.01% 71 Gross Margin % is 40.54% as of Mar. 2026, which is 27% above its 10-year median of 31.87. GuruFocus rates SHSE:600862 with a GF Score™ of 71/100 and a GF Value™ of ¥21.32 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 2,996 Industrial Products companies, Avic Aviation High-Technology Co ranks better than 73.93% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Avic Aviation High-Technology Co's Gross Profit for the three months ended in Mar. 2026 was ¥438 Mil. Avic Aviation High-Technology Co's Revenue for the three months ended in Mar. 2026 was ¥1,081 Mil. Therefore, Avic Aviation High-Technology Co's Gross Margin % for the quarter that ended in Mar. 2026 was 40.54%.


The historical rank and industry rank for Avic Aviation High-Technology Co's Gross Margin % or its related term are showing as below:

SHSE:600862' s Gross Margin % Range Over the Past 10 Years
Min: 19.05   Med: 31.87   Max: 38.83
Current: 37.2


During the past 13 years, the highest Gross Margin % of Avic Aviation High-Technology Co was 38.83%. The lowest was 19.05%. And the median was 31.87%.

SHSE:600862's Gross Margin % is ranked better than
73.93% of 2996 companies
in the Industrial Products industry
Industry Median: 26.82 vs SHSE:600862: 37.20

Avic Aviation High-Technology Co had a gross margin of 40.54% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Avic Aviation High-Technology Co was 6.10% per year.


Avic Aviation High-Technology Co  (SHSE:600862) 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

Avic Aviation High-Technology Co had a gross margin of 40.54% 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.


Avic Aviation High-Technology Co Gross Margin % Related Terms


Avic Aviation High-Technology Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Avic Aviation High-Technology Co's Gross Margin % can be seen below:

* 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.

Avic Aviation High-Technology Co Gross Margin % Chart

Avic Aviation High-Technology Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.07 30.94 36.75 38.83 37.60

Avic Aviation High-Technology Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 41.20 34.24 39.47 35.65 40.54

SHSE:600862 vs GEV, ETN, PH: Gross Margin % Comparison

For the Specialty Industrial Machinery subindustry, Avic Aviation High-Technology 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.


Avic Aviation High-Technology Co Gross Margin % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Avic Aviation High-Technology Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Avic Aviation High-Technology Co's Gross Margin % falls into.


SHSE:600862
71GF Score
Avic Aviation High-Technology Co Ltd SHSE:600862
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Avic Aviation High-Technology Co Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Avic Aviation High-Technology Co's Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=1882.9 / 5007.841
=(Revenue - Cost of Goods Sold) / Revenue
=(5007.841 - 3124.942) / 5007.841
=37.60 %

Avic Aviation High-Technology Co's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=438.3 / 1081.236
=(Revenue - Cost of Goods Sold) / Revenue
=(1081.236 - 642.916) / 1081.236
=40.54 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 40.54% mean?
Avic Aviation High-Technology Co (SHSE:600862) has a Gross Margin % of 40.54% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Avic Aviation High-Technology Co and its competitors. This is 27% above median its historical median of 31.87. Over the past decade, Avic Aviation High-Technology Co's Gross Margin % has ranged from 19.05 to 38.83. According to the industry distribution chart, Avic Aviation High-Technology Co ranks #781 out of 2996 companies in the Industrial Products industry, placing it in the top 26.1%.
Is Avic Aviation High-Technology Co's Gross Margin % too high?
Avic Aviation High-Technology Co's current Gross Margin % of 40.54% is 27% above median its 10-year median of 31.87. Over the past 10 years, this metric has ranged from a low of 19.05 to a high of 38.83. The Industrial Products industry median Gross Margin % is 26.82. Avic Aviation High-Technology Co's value of 40.54% is 51.2% above this industry median. Based on the distribution chart, Avic Aviation High-Technology Co ranks #781 out of 2996 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Avic Aviation High-Technology Co has a GF Score™ of 71/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Avic Aviation High-Technology Co's Gross Margin % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Avic Aviation High-Technology Co ranks #781 out of 2996 companies for Gross Margin %. This puts Avic Aviation High-Technology Co in the upper half of its industry. The industry median Gross Margin % is 26.82. Avic Aviation High-Technology Co's value of 40.54% is 51.2% above this benchmark. Historically, Avic Aviation High-Technology Co's own Gross Margin % has ranged from 19.05 to 38.83 over the past decade. While the company's 10-year median is 31.87 vs. the industry median of 26.82, Avic Aviation High-Technology 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 26.82, based on 2,996 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. Avic Aviation High-Technology Co's current Gross Margin % of 40.54% is 51.2% 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 Avic Aviation High-Technology Co and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Avic Aviation High-Technology Co's current Gross Margin % is 40.54%, which is 27% above median its own 10-year median of 31.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Avic Aviation High-Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Avic Aviation High-Technology Co (SHSE:600862) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥21.32, compared to a current price of ¥18.76 — trading 12% below its estimated fair value. The current Gross Margin % is 40.54%, which is 27% above median its 10-year median of 31.87 and 51.2% above the Industrial Products industry median of 26.82. Avic Aviation High-Technology Co's overall GF Score™ is 71/100 with 1 warning sign 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 Avic Aviation High-Technology Co (SHSE:600862), the current Gross Margin % is 40.54% 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 Avic Aviation High-Technology Co (SHSE:600862) Overvalued in 2026?

Based on GuruFocus' analysis, Avic Aviation High-Technology Co stock appears to be undervalued. The current stock price of ¥18.76 is trading 12% below its estimated GF Value™ of ¥21.32. GuruFocus considers Avic Aviation High-Technology Co to be Modestly Undervalued.

Key valuation signals for SHSE:600862:

  • Gross Margin %: 40.54% (27% above median its 10-year median of 31.87)
  • GF Value™: ¥21.32 vs. price of ¥18.76 (12% below fair value)
  • GF Score™: 71/100 with 1 warning sign
  • Industry Position: 51.2% above the Industrial Products median (#781 of 2996)

No single metric tells the full story. See the SHSE:600862 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Avic Aviation High-Technology Co Business Description

Address No. 1 YongHe Road, Gangzha District, Jiangsu Province, Nantong, CHN, 226011
Avic Aviation High-Technology Co Ltd is mainly engaged in the research and development of new aviation materials and the development and manufacture of high-end intelligent equipment in China.
71GF Score

Get the complete analysis for SHSE:600862

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

¥18.76
Price
¥21.32
GF Value