Zhejiang Mustang Battery CoSHSE:605378 -2.12%76 Gross Margin % is 10.55% as of Mar. 2026, which is 48% below its 10-year median of 20.35. GuruFocus rates SHSE:605378 with a GF Score™ of 76/100 and a GF Value™ of ¥14.38 (Fairly Valued). The stock has 8 warning signs investors should review. Among 2,993 Industrial Products companies, Zhejiang Mustang Battery Co ranks worse than 83.83% on this metric.
SHSE:605378's Gross Margin % is ranked worse than 83.83% of 2993
companies
in the Industrial Products industry
Industry Median: 26.83
vs SHSE:605378: 13.31
Zhejiang Mustang Battery Co had a gross margin of 10.55% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
Zhejiang Mustang Battery Co (SHSE:605378) 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
Zhejiang Mustang Battery Co had a gross margin of 10.55% for the quarter that ended in Mar. 2026 => No sustainable 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.
Zhejiang Mustang Battery Co Gross Margin % Related Terms
Zhejiang Mustang Battery 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.
For the Electrical Equipment & Parts subindustry, Zhejiang Mustang Battery 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.
Zhejiang Mustang Battery Co Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Zhejiang Mustang Battery Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Zhejiang Mustang Battery 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.
Zhejiang Mustang Battery Co (SHSE:605378) has a Gross Margin % of 10.55% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Zhejiang Mustang Battery Co and its competitors. This is 48% below median its historical median of 20.35. Over the past decade, Zhejiang Mustang Battery Co's Gross Margin % has ranged from 13.31 to 24.90. According to the industry distribution chart, Zhejiang Mustang Battery Co ranks #2509 out of 2993 companies in the Industrial Products industry, placing it in the top 83.8%.
Is Zhejiang Mustang Battery Co's Gross Margin % too high?
Zhejiang Mustang Battery Co's current Gross Margin % of 10.55% is 48% below median its 10-year median of 20.35. Over the past 10 years, this metric has ranged from a low of 13.31 to a high of 24.90. The Industrial Products industry median Gross Margin % is 26.83. Zhejiang Mustang Battery Co's value of 10.55% is 60.7% below this industry median. Based on the distribution chart, Zhejiang Mustang Battery Co ranks #2509 out of 2993 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Zhejiang Mustang Battery Co has a GF Score™ of 76/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Zhejiang Mustang Battery Co's Gross Margin % compare to VRT and BE?
According to the Industrial Products industry distribution chart, Zhejiang Mustang Battery Co ranks #2509 out of 2993 companies for Gross Margin %. This places Zhejiang Mustang Battery Co in the lower half of its industry. The industry median Gross Margin % is 26.83. Zhejiang Mustang Battery Co's value of 10.55% is 60.7% below this benchmark. Historically, Zhejiang Mustang Battery Co's own Gross Margin % has ranged from 13.31 to 24.90 over the past decade. While the company's 10-year median is 20.35 vs. the industry median of 26.83, Zhejiang Mustang Battery 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 Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.83, based on 2,993 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. Zhejiang Mustang Battery Co's current Gross Margin % of 10.55% is 60.7% 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 Zhejiang Mustang Battery Co and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zhejiang Mustang Battery Co's current Gross Margin % is 10.55%, which is 48% below median its own 10-year median of 20.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zhejiang Mustang Battery Co stock overvalued right now?
Based on GuruFocus' analysis, Zhejiang Mustang Battery Co (SHSE:605378) is currently considered Fairly Valued. The stock's GF Value™ is ¥14.38, compared to a current price of ¥13.36 — trading 7.1% below its estimated fair value. The current Gross Margin % is 10.55%, which is 48% below median its 10-year median of 20.35 and 60.7% below the Industrial Products industry median of 26.83. Zhejiang Mustang Battery Co's overall GF Score™ is 76/100 with 8 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 Zhejiang Mustang Battery Co (SHSE:605378), the current Gross Margin % is 10.55% 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 Zhejiang Mustang Battery Co (SHSE:605378) Overvalued in 2026?
Based on GuruFocus' analysis, Zhejiang Mustang Battery Co stock appears to be undervalued.
The current stock price of ¥13.36 is trading 7.1% below its estimated GF Value™ of ¥14.38.
GuruFocus considers Zhejiang Mustang Battery Co to be Fairly Valued.
Key valuation signals for SHSE:605378:
Gross Margin %: 10.55% (48% below median its 10-year median of 20.35)
GF Value™: ¥14.38 vs. price of ¥13.36 (7.1% below fair value)
Industry Position: 60.7% below the Industrial Products median (#2509 of 2993)
No single metric tells the full story. See the SHSE:605378 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zhejiang Mustang Battery Co Ltd is engaged in the research and development, production and sales of high-performance, environmentally friendly zinc-manganese batteries.
76GF Score
Get the complete analysis for SHSE:605378
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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