SHSE:688248's Gross Margin % is ranked better than 59.78% of 2991
companies
in the Industrial Products industry
Industry Median: 26.81
vs SHSE:688248: 30.49
China Southern Power Grid Technology Co had a gross margin of 38.58% for the quarter that ended in Mar. 2026 => Competition eroding margins
China Southern Power Grid Technology Co (SHSE:688248) 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
China Southern Power Grid Technology Co had a gross margin of 38.58% 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.
China Southern Power Grid Technology Co Gross Margin % Related Terms
China Southern Power Grid 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.
China Southern Power Grid Technology Co Gross Margin % Chart
China Southern Power Grid Technology Co Annual Data
For the Electrical Equipment & Parts subindustry, China Southern Power Grid 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.
China Southern Power Grid Technology Co Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, China Southern Power Grid Technology Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where China Southern Power Grid 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.
China Southern Power Grid Technology Co (SHSE:688248) has a Gross Margin % of 38.58% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on China Southern Power Grid Technology Co and its competitors. This is 33% above median its historical median of 29.02. Over the past decade, China Southern Power Grid Technology Co's Gross Margin % has ranged from 25.90 to 30.83. According to the industry distribution chart, China Southern Power Grid Technology Co ranks #1203 out of 2991 companies in the Industrial Products industry, placing it in the top 40.2%.
Is China Southern Power Grid Technology Co's Gross Margin % too high?
China Southern Power Grid Technology Co's current Gross Margin % of 38.58% is 33% above median its 10-year median of 29.02. Over the past 10 years, this metric has ranged from a low of 25.90 to a high of 30.83. The Industrial Products industry median Gross Margin % is 26.81. China Southern Power Grid Technology Co's value of 38.58% is 43.9% above this industry median. Based on the distribution chart, China Southern Power Grid Technology Co ranks #1203 out of 2991 companies in the Industrial Products industry, which is above the industry midpoint. Overall, China Southern Power Grid Technology Co has a GF Score™ of 90/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does China Southern Power Grid Technology Co's Gross Margin % compare to VRT and BE?
According to the Industrial Products industry distribution chart, China Southern Power Grid Technology Co ranks #1203 out of 2991 companies for Gross Margin %. This puts China Southern Power Grid Technology Co in the upper half of its industry. The industry median Gross Margin % is 26.81. China Southern Power Grid Technology Co's value of 38.58% is 43.9% above this benchmark. Historically, China Southern Power Grid Technology Co's own Gross Margin % has ranged from 25.90 to 30.83 over the past decade. While the company's 10-year median is 29.02 vs. the industry median of 26.81, China Southern Power Grid 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 an Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.81, based on 2,991 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. China Southern Power Grid Technology Co's current Gross Margin % of 38.58% is 43.9% 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 China Southern Power Grid Technology Co and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Southern Power Grid Technology Co's current Gross Margin % is 38.58%, which is 33% above median its own 10-year median of 29.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Southern Power Grid Technology Co stock overvalued right now?
Based on GuruFocus' analysis, China Southern Power Grid Technology Co (SHSE:688248) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥46.66, compared to a current price of ¥63.70 — trading 36.5% above its estimated fair value. The current Gross Margin % is 38.58%, which is 33% above median its 10-year median of 29.02 and 43.9% above the Industrial Products industry median of 26.81. China Southern Power Grid Technology Co's overall GF Score™ is 90/100 with 4 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 China Southern Power Grid Technology Co (SHSE:688248), the current Gross Margin % is 38.58% 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 China Southern Power Grid Technology Co (SHSE:688248) Overvalued in 2026?
Based on GuruFocus' analysis, China Southern Power Grid Technology Co stock appears to be overvalued.
The current stock price of ¥63.70 is trading 36.5% above its estimated GF Value™ of ¥46.66.
GuruFocus considers China Southern Power Grid Technology Co to be Significantly Overvalued.
Key valuation signals for SHSE:688248:
Gross Margin %: 38.58% (33% above median its 10-year median of 29.02)
GF Value™: ¥46.66 vs. price of ¥63.70 (36.5% above fair value)
Industry Position: 43.9% above the Industrial Products median (#1203 of 2991)
No single metric tells the full story. See the SHSE:688248 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Southern Power Grid Technology Co Business Description
China Southern Power Grid Technology Co Ltd is engaged in providing a comprehensive solution of technical services and smart equipment to ensure the safe operation and efficiency improvement of the power energy system.
90GF Score
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