Grace Fabric Technology Co (SHSE:603256) Gross Margin %: 55.65% (As of Mar. 2026) — 56% Above Median

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SHSE:603256 Grace Fabric Technology Co Ltd SHSE:603256
66 GF Score
Price ¥139.07
GF Value ¥20.91
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Grace Fabric Technology Co Gross Margin %?

Grace Fabric Technology Co SHSE:603256 -6.44% 66 Gross Margin % is 55.65% as of Mar. 2026, which is 56% above its 10-year median of 35.73. GuruFocus rates SHSE:603256 with a GF Score™ of 66/100 and a GF Value™ of ¥20.91 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,558 Chemicals companies, Grace Fabric Technology Co ranks better than 85.75% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Grace Fabric Technology Co's Gross Profit for the three months ended in Mar. 2026 was ¥246 Mil. Grace Fabric Technology Co's Revenue for the three months ended in Mar. 2026 was ¥442 Mil. Therefore, Grace Fabric Technology Co's Gross Margin % for the quarter that ended in Mar. 2026 was 55.65%.

Warning Sign:

Grace Fabric Technology Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -9.4%.


The historical rank and industry rank for Grace Fabric Technology Co's Gross Margin % or its related term are showing as below:

SHSE:603256' s Gross Margin % Range Over the Past 10 Years
Min: 8.83   Med: 35.73   Max: 43.42
Current: 43.42


During the past 12 years, the highest Gross Margin % of Grace Fabric Technology Co was 43.42%. The lowest was 8.83%. And the median was 35.73%.

SHSE:603256's Gross Margin % is ranked better than
85.75% of 1558 companies
in the Chemicals industry
Industry Median: 23.505 vs SHSE:603256: 43.42

Grace Fabric Technology Co had a gross margin of 55.65% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Grace Fabric Technology Co was -9.40% per year.


Grace Fabric Technology Co  (SHSE:603256) 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

Grace Fabric Technology Co had a gross margin of 55.65% 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.


Grace Fabric Technology Co Gross Margin % Related Terms


Grace Fabric Technology Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Grace Fabric 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.

Grace Fabric Technology Co Gross Margin % Chart

Grace Fabric 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 35.88 28.82 8.83 17.37 35.57

Grace Fabric 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 28.06 34.02 34.92 43.47 55.65

SHSE:603256 vs LIN, SHW, ECL: Gross Margin % Comparison

For the Specialty Chemicals subindustry, Grace Fabric 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.


Grace Fabric Technology Co Gross Margin % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Grace Fabric Technology Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Grace Fabric Technology Co's Gross Margin % falls into.


SHSE:603256
66GF Score
Grace Fabric Technology Co Ltd SHSE:603256
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Grace Fabric Technology Co Gross Margin % Calculation

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

Grace Fabric 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 )
=416.6 / 1171.034
=(Revenue - Cost of Goods Sold) / Revenue
=(1171.034 - 754.469) / 1171.034
=35.57 %

Grace Fabric 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 )
=246 / 442.1
=(Revenue - Cost of Goods Sold) / Revenue
=(442.1 - 196.051) / 442.1
=55.65 %

* 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 55.65% mean?
Grace Fabric Technology Co (SHSE:603256) has a Gross Margin % of 55.65% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Grace Fabric Technology Co and its competitors. This is 56% above median its historical median of 35.73. Over the past decade, Grace Fabric Technology Co's Gross Margin % has ranged from 8.83 to 43.42. According to the industry distribution chart, Grace Fabric Technology Co ranks #222 out of 1558 companies in the Chemicals industry, placing it in the top 14.2%.
Is Grace Fabric Technology Co's Gross Margin % too high?
Grace Fabric Technology Co's current Gross Margin % of 55.65% is 56% above median its 10-year median of 35.73. Over the past 10 years, this metric has ranged from a low of 8.83 to a high of 43.42. The Chemicals industry median Gross Margin % is 23.51. Grace Fabric Technology Co's value of 55.65% is 136.8% above this industry median. Based on the distribution chart, Grace Fabric Technology Co ranks #222 out of 1558 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Grace Fabric Technology Co has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Grace Fabric Technology Co's Gross Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Grace Fabric Technology Co ranks #222 out of 1558 companies for Gross Margin %. This places Grace Fabric Technology Co in the top 14% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 23.51. Grace Fabric Technology Co's value of 55.65% is 136.8% above this benchmark. Historically, Grace Fabric Technology Co's own Gross Margin % has ranged from 8.83 to 43.42 over the past decade. While the company's 10-year median is 35.73 vs. the industry median of 23.51, Grace Fabric 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 a Chemicals company?
The median Gross Margin % among Chemicals companies is 23.51, based on 1,558 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. Grace Fabric Technology Co's current Gross Margin % of 55.65% is 136.8% 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 Grace Fabric Technology Co and its competitors. For the Chemicals industry, the median Gross Margin % is 23.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Grace Fabric Technology Co's current Gross Margin % is 55.65%, which is 56% above median its own 10-year median of 35.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Grace Fabric Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Grace Fabric Technology Co (SHSE:603256) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥20.91, compared to a current price of ¥139.07 — trading 565.1% above its estimated fair value. The current Gross Margin % is 55.65%, which is 56% above median its 10-year median of 35.73 and 136.8% above the Chemicals industry median of 23.51. Grace Fabric Technology Co's overall GF Score™ is 66/100 with 6 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 Grace Fabric Technology Co (SHSE:603256), the current Gross Margin % is 55.65% 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 Grace Fabric Technology Co (SHSE:603256) Overvalued in 2026?

Based on GuruFocus' analysis, Grace Fabric Technology Co stock appears to be overvalued. The current stock price of ¥139.07 is trading 565.1% above its estimated GF Value™ of ¥20.91. GuruFocus considers Grace Fabric Technology Co to be Significantly Overvalued.

Key valuation signals for SHSE:603256:

  • Gross Margin %: 55.65% (56% above median its 10-year median of 35.73)
  • GF Value™: ¥20.91 vs. price of ¥139.07 (565.1% above fair value)
  • GF Score™: 66/100 with 6 warning signs
  • Industry Position: 136.8% above the Chemicals median (#222 of 1558)

No single metric tells the full story. See the SHSE:603256 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Grace Fabric Technology Co Business Description

Address 123 Xiuyan Road, Kangqiao Industrial Zone, Pudong, Shanghai, CHN, 20315
Grace Fabric Technology Co Ltd is mainly engaged in the research and development, production and sales of electronic grade glass fiber cloth. The company's main products are high-end electronic grade glass fiber cloth products, mainly including ultra-thin, ultra-thin, thin electronic grade fiberglass cloth.
66GF Score

Get the complete analysis for SHSE:603256

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

¥139.07
Price
¥20.91
GF Value