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Genew Technologies CoSHSE:688418 -6.64%71 Gross Margin % is 38.75% as of Mar. 2026, which is 17% below its 10-year median of 46.91. GuruFocus rates SHSE:688418 with a GF Score™ of 71/100 and a GF Value™ of ¥35.67 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 2,453 Hardware companies, Genew Technologies Co ranks better than 73.75% on this metric.
SHSE:688418's Gross Margin % is ranked better than 73.75% of 2453
companies
in the Hardware industry
Industry Median: 24.49
vs SHSE:688418: 37.71
Genew Technologies Co had a gross margin of 38.75% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Genew Technologies Co was -4.20% per year.
Genew Technologies Co (SHSE:688418) 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
Genew Technologies Co had a gross margin of 38.75% 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.
Genew Technologies Co Gross Margin % Related Terms
Genew Technologies Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Genew Technologies 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:688418 vs CSCO, MSI, HPE: Gross Margin % Comparison
For the Communication Equipment subindustry, Genew Technologies 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.
Genew Technologies Co Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Genew Technologies Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Genew Technologies 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.
Genew Technologies Co (SHSE:688418) has a Gross Margin % of 38.75% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Genew Technologies Co and its competitors. This is 17% below median its historical median of 46.91. Over the past decade, Genew Technologies Co's Gross Margin % has ranged from 37.71 to 55.58. According to the industry distribution chart, Genew Technologies Co ranks #644 out of 2453 companies in the Hardware industry, placing it in the top 26.3%.
Is Genew Technologies Co's Gross Margin % too high?
Genew Technologies Co's current Gross Margin % of 38.75% is 17% below median its 10-year median of 46.91. Over the past 10 years, this metric has ranged from a low of 37.71 to a high of 55.58. The Hardware industry median Gross Margin % is 24.49. Genew Technologies Co's value of 38.75% is 58.2% above this industry median. Based on the distribution chart, Genew Technologies Co ranks #644 out of 2453 companies in the Hardware industry, which is above the industry midpoint. Overall, Genew Technologies Co has a GF Score™ of 71/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Genew Technologies Co's Gross Margin % compare to CSCO and MSI?
According to the Hardware industry distribution chart, Genew Technologies Co ranks #644 out of 2453 companies for Gross Margin %. This puts Genew Technologies Co in the upper half of its industry. The industry median Gross Margin % is 24.49. Genew Technologies Co's value of 38.75% is 58.2% above this benchmark. Historically, Genew Technologies Co's own Gross Margin % has ranged from 37.71 to 55.58 over the past decade. While the company's 10-year median is 46.91 vs. the industry median of 24.49, Genew Technologies 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 a Hardware company?
The median Gross Margin % among Hardware companies is 24.49, based on 2,453 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. Genew Technologies Co's current Gross Margin % of 38.75% is 58.2% 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 Genew Technologies 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. Genew Technologies Co's current Gross Margin % is 38.75%, which is 17% below median its own 10-year median of 46.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Genew Technologies Co stock overvalued right now?
Based on GuruFocus' analysis, Genew Technologies Co (SHSE:688418) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥35.67, compared to a current price of ¥31.50 — trading 11.7% below its estimated fair value. The current Gross Margin % is 38.75%, which is 17% below median its 10-year median of 46.91 and 58.2% above the Hardware industry median of 24.49. Genew Technologies Co's overall GF Score™ is 71/100 with 5 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 Genew Technologies Co (SHSE:688418), the current Gross Margin % is 38.75% 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 Genew Technologies Co (SHSE:688418) Overvalued in 2026?
Based on GuruFocus' analysis, Genew Technologies Co stock appears to be undervalued.
The current stock price of ¥31.50 is trading 11.7% below its estimated GF Value™ of ¥35.67.
GuruFocus considers Genew Technologies Co to be Modestly Undervalued.
Key valuation signals for SHSE:688418:
Gross Margin %: 38.75% (17% below median its 10-year median of 46.91)
GF Value™: ¥35.67 vs. price of ¥31.50 (11.7% below fair value)
Industry Position: 58.2% above the Hardware median (#644 of 2453)
No single metric tells the full story. See the SHSE:688418 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Genew Technologies Co Ltd is engaged in design and sales of communication system equipment, and provide customers with professional and complete customized communication technology solutions. The company's product categories include Core Network; Copper Access Network; Unified Communication; Optical Transmission Network; Optical Access Network; and Ethernet Switch.
71GF Score
Get the complete analysis for SHSE:688418
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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