Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
TKD Science And Technology Co (SHSE:603738) 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
TKD Science And Technology Co had a gross margin of 20.25% 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.
TKD Science And Technology Co Gross Margin % Related Terms
TKD Science And Technology 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.
TKD Science And Technology Co Gross Margin % Chart
SHSE:603738 vs APH, GLW, TEL: Gross Margin % Comparison
For the Electronic Components subindustry, TKD Science And 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.
TKD Science And Technology Co Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, TKD Science And Technology Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where TKD Science And Technology 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.
TKD Science And Technology Co (SHSE:603738) has a Gross Margin % of 20.25% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on TKD Science And Technology Co and its competitors. This is 20% below median its historical median of 25.20. Over the past decade, TKD Science And Technology Co's Gross Margin % has ranged from 18.63 to 39.38. According to the industry distribution chart, TKD Science And Technology Co ranks #1536 out of 2451 companies in the Hardware industry, placing it in the top 62.7%.
Is TKD Science And Technology Co's Gross Margin % too high?
TKD Science And Technology Co's current Gross Margin % of 20.25% is 20% below median its 10-year median of 25.20. Over the past 10 years, this metric has ranged from a low of 18.63 to a high of 39.38. The Hardware industry median Gross Margin % is 24.49. TKD Science And Technology Co's value of 20.25% is 17.3% below this industry median. Based on the distribution chart, TKD Science And Technology Co ranks #1536 out of 2451 companies in the Hardware industry, which is below the industry midpoint. Overall, TKD Science And Technology Co has a GF Score™ of 60/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does TKD Science And Technology Co's Gross Margin % compare to APH and GLW?
According to the Hardware industry distribution chart, TKD Science And Technology Co ranks #1536 out of 2451 companies for Gross Margin %. This places TKD Science And Technology Co in the lower half of its industry. The industry median Gross Margin % is 24.49. TKD Science And Technology Co's value of 20.25% is 17.3% below this benchmark. Historically, TKD Science And Technology Co's own Gross Margin % has ranged from 18.63 to 39.38 over the past decade. While the company's 10-year median is 25.20 vs. the industry median of 24.49, TKD Science And Technology 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.49, based on 2,451 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. TKD Science And Technology Co's current Gross Margin % of 20.25% is 17.3% 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 TKD Science And Technology Co and its competitors. For the Hardware industry, the median Gross Margin % is 24.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TKD Science And Technology Co's current Gross Margin % is 20.25%, which is 20% below median its own 10-year median of 25.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TKD Science And Technology Co stock overvalued right now?
Based on GuruFocus' analysis, TKD Science And Technology Co (SHSE:603738) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥20.78, compared to a current price of ¥31.81 — trading 53.1% above its estimated fair value. The current Gross Margin % is 20.25%, which is 20% below median its 10-year median of 25.20 and 17.3% below the Hardware industry median of 24.49. TKD Science And Technology Co's overall GF Score™ is 60/100 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 TKD Science And Technology Co (SHSE:603738), the current Gross Margin % is 20.25% 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 TKD Science And Technology Co (SHSE:603738) Overvalued in 2026?
Based on GuruFocus' analysis, TKD Science And Technology Co stock appears to be overvalued.
The current stock price of ¥31.81 is trading 53.1% above its estimated GF Value™ of ¥20.78.
GuruFocus considers TKD Science And Technology Co to be Significantly Overvalued.
Key valuation signals for SHSE:603738:
Gross Margin %: 20.25% (20% below median its 10-year median of 25.20)
GF Value™: ¥20.78 vs. price of ¥31.81 (53.1% above fair value)
Industry Position: 17.3% below the Hardware median (#1536 of 2451)
No single metric tells the full story. See the SHSE:603738 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
TKD Science And Technology Co Ltd formerly known as Hubei TKD Crystal Electronic Science and Technology Co Ltd is engaged in the production, sale, research and development of quartz crystal resonator in China. Its products line includes quartz crystal resonator, products containing DIP, SMD encapsulation of high frequency crystal resonator, the upstream chip, WAFER, pedestal, and shell. Its products are widely used in information devices, mobile terminals, network equipment, automotive electronics, consumer electronics, small electronic devices.
60GF Score
Get the complete analysis for SHSE:603738
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SHSE:603738 has been successfully added to your 
