Neway Valve (Suzhou) CoSHSE:603699 -4.96%91 Gross Margin % is 39.16% as of Mar. 2026, which is 14% above its 10-year median of 34.49. GuruFocus rates SHSE:603699 with a GF Score™ of 91/100 and a GF Value™ of ¥32.18 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 2,998 Industrial Products companies, Neway Valve (Suzhou) Co ranks better than 78.59% on this metric.
SHSE:603699's Gross Margin % is ranked better than 78.59% of 2998
companies
in the Industrial Products industry
Industry Median: 26.84
vs SHSE:603699: 40.01
Neway Valve (Suzhou) Co had a gross margin of 39.16% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Neway Valve (Suzhou) Co was 4.70% per year.
Neway Valve (Suzhou) Co (SHSE:603699) 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
Neway Valve (Suzhou) Co had a gross margin of 39.16% for the quarter that ended in Mar. 2026 => Competition eroding margins
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.
Neway Valve (Suzhou) Co Gross Margin % Related Terms
Neway Valve (Suzhou) 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:603699 vs GEV, ETN, PH: Gross Margin % Comparison
For the Specialty Industrial Machinery subindustry, Neway Valve (Suzhou) 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.
Neway Valve (Suzhou) Co Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Neway Valve (Suzhou) Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Neway Valve (Suzhou) 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.
Neway Valve (Suzhou) Co (SHSE:603699) has a Gross Margin % of 39.16% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Neway Valve (Suzhou) Co and its competitors. This is 14% above median its historical median of 34.49. Over the past decade, Neway Valve (Suzhou) Co's Gross Margin % has ranged from 27.85 to 40.01. According to the industry distribution chart, Neway Valve (Suzhou) Co ranks #642 out of 2998 companies in the Industrial Products industry, placing it in the top 21.4%.
Is Neway Valve (Suzhou) Co's Gross Margin % too high?
Neway Valve (Suzhou) Co's current Gross Margin % of 39.16% is 14% above median its 10-year median of 34.49. Over the past 10 years, this metric has ranged from a low of 27.85 to a high of 40.01. The Industrial Products industry median Gross Margin % is 26.84. Neway Valve (Suzhou) Co's value of 39.16% is 45.9% above this industry median. Based on the distribution chart, Neway Valve (Suzhou) Co ranks #642 out of 2998 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Neway Valve (Suzhou) Co has a GF Score™ of 91/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Neway Valve (Suzhou) Co's Gross Margin % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Neway Valve (Suzhou) Co ranks #642 out of 2998 companies for Gross Margin %. This places Neway Valve (Suzhou) Co in the top 21% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 26.84. Neway Valve (Suzhou) Co's value of 39.16% is 45.9% above this benchmark. Historically, Neway Valve (Suzhou) Co's own Gross Margin % has ranged from 27.85 to 40.01 over the past decade. While the company's 10-year median is 34.49 vs. the industry median of 26.84, Neway Valve (Suzhou) 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 26.84, based on 2,998 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. Neway Valve (Suzhou) Co's current Gross Margin % of 39.16% is 45.9% 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 Neway Valve (Suzhou) Co and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Neway Valve (Suzhou) Co's current Gross Margin % is 39.16%, which is 14% above median its own 10-year median of 34.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Neway Valve (Suzhou) Co stock overvalued right now?
Based on GuruFocus' analysis, Neway Valve (Suzhou) Co (SHSE:603699) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥32.18, compared to a current price of ¥44.48 — trading 38.2% above its estimated fair value. The current Gross Margin % is 39.16%, which is 14% above median its 10-year median of 34.49 and 45.9% above the Industrial Products industry median of 26.84. Neway Valve (Suzhou) Co's overall GF Score™ is 91/100 with 2 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 Neway Valve (Suzhou) Co (SHSE:603699), the current Gross Margin % is 39.16% 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 Neway Valve (Suzhou) Co (SHSE:603699) Overvalued in 2026?
Based on GuruFocus' analysis, Neway Valve (Suzhou) Co stock appears to be overvalued.
The current stock price of ¥44.48 is trading 38.2% above its estimated GF Value™ of ¥32.18.
GuruFocus considers Neway Valve (Suzhou) Co to be Significantly Overvalued.
Key valuation signals for SHSE:603699:
Gross Margin %: 39.16% (14% above median its 10-year median of 34.49)
GF Value™: ¥32.18 vs. price of ¥44.48 (38.2% above fair value)
Industry Position: 45.9% above the Industrial Products median (#642 of 2998)
No single metric tells the full story. See the SHSE:603699 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Neway Valve (Suzhou) Co Ltd is a manufacturer and exporter of industrial valves. Its main products include Gate valve, globe valve, check valve, Cast steel valves, API602 forged steel valves, API603 stainless steel valves, Cryogenic Valves, Bellows Valves, Floating ball - Steel. Geographically it operates through China, however its business presence is also seen internationally.
91GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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