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Xinhuanet CoSHSE:603888 +3.29%85 Gross Margin % is 36.12% as of Mar. 2026, which is 6% below its 10-year median of 38.63. GuruFocus rates SHSE:603888 with a GF Score™ of 85/100 and a GF Value™ of ¥18.22 (Fairly Valued). The stock has 2 warning signs investors should review. Among 498 Interactive Media companies, Xinhuanet Co ranks worse than 75.1% on this metric.
The historical rank and industry rank for Xinhuanet Co's Gross Margin % or its related term are showing as below:
SHSE:603888'
s Gross Margin % Range Over the Past 10 Years
Min: 30.57 Med: 38.63 Max: 50.32
Current: 38.71
During the past 13 years, the highestGross Margin % of Xinhuanet Co was 50.32%. The lowest was 30.57%. And the median was 38.63%.
SHSE:603888's Gross Margin % is ranked worse than 75.1% of 498
companies
in the Interactive Media industry
Industry Median: 62.67
vs SHSE:603888: 38.71
Xinhuanet Co had a gross margin of 36.12% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Xinhuanet Co was 2.10% per year.
Xinhuanet Co (SHSE:603888) 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
Xinhuanet Co had a gross margin of 36.12% 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.
Xinhuanet Co Gross Margin % Related Terms
Xinhuanet Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Xinhuanet 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.
SHSE:603888 vs GOOGL, META, SPOT: Gross Margin % Comparison
For the Internet Content & Information subindustry, Xinhuanet 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.
Xinhuanet Co Gross Margin % vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, Xinhuanet Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Xinhuanet 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.
Xinhuanet Co (SHSE:603888) has a Gross Margin % of 36.12% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Xinhuanet Co and its competitors. This is near median its historical median of 38.63. Over the past decade, Xinhuanet Co's Gross Margin % has ranged from 30.57 to 50.32. According to the industry distribution chart, Xinhuanet Co ranks #374 out of 498 companies in the Interactive Media industry, placing it in the top 75.1%.
Is Xinhuanet Co's Gross Margin % too high?
Xinhuanet Co's current Gross Margin % of 36.12% is near median its 10-year median of 38.63. Over the past 10 years, this metric has ranged from a low of 30.57 to a high of 50.32. The Interactive Media industry median Gross Margin % is 62.67. Xinhuanet Co's value of 36.12% is 42.4% below this industry median. Based on the distribution chart, Xinhuanet Co ranks #374 out of 498 companies in the Interactive Media industry, which is in the bottom quartile relative to peers. Overall, Xinhuanet Co has a GF Score™ of 85/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Xinhuanet Co's Gross Margin % compare to GOOGL and META?
According to the Interactive Media industry distribution chart, Xinhuanet Co ranks #374 out of 498 companies for Gross Margin %. This places Xinhuanet Co in the lower half of its industry. The industry median Gross Margin % is 62.67. Xinhuanet Co's value of 36.12% is 42.4% below this benchmark. Historically, Xinhuanet Co's own Gross Margin % has ranged from 30.57 to 50.32 over the past decade. While the company's 10-year median is 38.63 vs. the industry median of 62.67, Xinhuanet 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 an Interactive Media company?
The median Gross Margin % among Interactive Media companies is 62.67, based on 498 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. Xinhuanet Co's current Gross Margin % of 36.12% is 42.4% 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 Xinhuanet Co and its competitors. For the Interactive Media industry, the median Gross Margin % is 62.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Xinhuanet Co's current Gross Margin % is 36.12%, which is near median its own 10-year median of 38.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Xinhuanet Co stock overvalued right now?
Based on GuruFocus' analysis, Xinhuanet Co (SHSE:603888) is currently considered Fairly Valued. The stock's GF Value™ is ¥18.22, compared to a current price of ¥16.62 — trading 8.8% below its estimated fair value. The current Gross Margin % is 36.12%, which is near median its 10-year median of 38.63 and 42.4% below the Interactive Media industry median of 62.67. Xinhuanet Co's overall GF Score™ is 85/100 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 Xinhuanet Co (SHSE:603888), the current Gross Margin % is 36.12% 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 Xinhuanet Co (SHSE:603888) Overvalued in 2026?
Based on GuruFocus' analysis, Xinhuanet Co stock appears to be undervalued.
The current stock price of ¥16.62 is trading 8.8% below its estimated GF Value™ of ¥18.22.
GuruFocus considers Xinhuanet Co to be Fairly Valued.
Key valuation signals for SHSE:603888:
Gross Margin %: 36.12% (near median its 10-year median of 38.63)
GF Value™: ¥18.22 vs. price of ¥16.62 (8.8% below fair value)
Industry Position: 42.4% below the Interactive Media median (#374 of 498)
No single metric tells the full story. See the SHSE:603888 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Xinhuanet Co Ltd operates in the internet content and information industry. It owns and manages a news information service portals in China. Its business activities are divided into the following: online advertising, information services, website construction, technical services and mobile internet. Its online advertising business provides full-screen shrink, rear projection, streaming media and other forms of advertising. Its information services include multimedia information services and data intelligent analysis services. The website construction and technical service business engage in website construction, content management and operation. The mobile internet business provides mobile internet content information services through text, images, voice, video and other forms.
85GF Score
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