United Nova Technology Co (SHSE:688469) 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
United Nova Technology Co had a gross margin of 5.69% 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.
United Nova Technology Co Gross Margin % Related Terms
United Nova 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.
SHSE:688469 vs NVDA, AVGO, MU: Gross Margin % Comparison
For the Semiconductors subindustry, United Nova 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.
United Nova Technology Co Gross Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, United Nova Technology Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where United Nova 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.
United Nova Technology Co (SHSE:688469) has a Gross Margin % of 5.69% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on United Nova Technology Co and its competitors. According to the industry distribution chart, United Nova Technology Co ranks #908 out of 1008 companies in the Semiconductors industry, placing it in the top 90.1%.
Is United Nova Technology Co's Gross Margin % too high?
United Nova Technology Co's current Gross Margin % is 5.69%. The Semiconductors industry median Gross Margin % is 29.61. United Nova Technology Co's value of 5.69% is 80.8% below this industry median. Based on the distribution chart, United Nova Technology Co ranks #908 out of 1008 companies in the Semiconductors industry, which is in the bottom quartile relative to peers. Overall, United Nova Technology Co has a GF Score™ of 65/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does United Nova Technology Co's Gross Margin % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, United Nova Technology Co ranks #908 out of 1008 companies for Gross Margin %. This places United Nova Technology Co in the lower half of its industry. The industry median Gross Margin % is 29.61. United Nova Technology Co's value of 5.69% is 80.8% below this benchmark. 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 Semiconductors company?
The median Gross Margin % among Semiconductors companies is 29.61, based on 1,008 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. United Nova Technology Co's current Gross Margin % of 5.69% is 80.8% 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 United Nova Technology Co and its competitors. For the Semiconductors industry, the median Gross Margin % is 29.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. United Nova Technology Co's current Gross Margin % is 5.69%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is United Nova Technology Co stock overvalued right now?
Based on GuruFocus' analysis, United Nova Technology Co (SHSE:688469) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥5.76, compared to a current price of ¥9.32 — trading 61.8% above its estimated fair value. The current Gross Margin % is 5.69% and 80.8% below the Semiconductors industry median of 29.61. United Nova Technology Co's overall GF Score™ is 65/100 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 United Nova Technology Co (SHSE:688469), the current Gross Margin % is 5.69% 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 United Nova Technology Co (SHSE:688469) Overvalued in 2026?
Based on GuruFocus' analysis, United Nova Technology Co stock appears to be overvalued.
The current stock price of ¥9.32 is trading 61.8% above its estimated GF Value™ of ¥5.76.
GuruFocus considers United Nova Technology Co to be Significantly Overvalued.
Key valuation signals for SHSE:688469:
Gross Margin %: 5.69%
GF Value™: ¥5.76 vs. price of ¥9.32 (61.8% above fair value)
Industry Position: 80.8% below the Semiconductors median (#908 of 1008)
No single metric tells the full story. See the SHSE:688469 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
United Nova Technology Co Ltd provides foundry service focusing on technology solutions for power, connection, and sensor signal chains. On top of wafer foundry service, It also extended its foundry service to module packages in order to support semiconductor companies with one stop solution. It provides a complete manufacturing platform to support customer mass production as well as technology development.
65GF Score
Get the complete analysis for SHSE:688469
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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