Hunan Warrant Pharmaceutical CoSHSE:688799 +4.38%80 Gross Margin % is 57.28% as of Mar. 2026, which is 12% below its 10-year median of 64.79. GuruFocus rates SHSE:688799 with a GF Score™ of 80/100 and a GF Value™ of ¥33.16 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 935 Drug Manufacturers companies, Hunan Warrant Pharmaceutical Co ranks better than 67.06% on this metric.
SHSE:688799's Gross Margin % is ranked better than 67.06% of 935
companies
in the Drug Manufacturers industry
Industry Median: 48.46
vs SHSE:688799: 58.97
Hunan Warrant Pharmaceutical Co had a gross margin of 57.28% for the quarter that ended in Mar. 2026 => Durable competitive advantage
Hunan Warrant Pharmaceutical Co (SHSE:688799) 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
Hunan Warrant Pharmaceutical Co had a gross margin of 57.28% for the quarter that ended in Mar. 2026 => Durable 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.
Hunan Warrant Pharmaceutical Co Gross Margin % Related Terms
Hunan Warrant Pharmaceutical 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.
Hunan Warrant Pharmaceutical Co Gross Margin % Chart
SHSE:688799 vs ZTS, UTHR: Gross Margin % Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Hunan Warrant Pharmaceutical 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.
Hunan Warrant Pharmaceutical Co Gross Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Hunan Warrant Pharmaceutical Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Hunan Warrant Pharmaceutical 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.
Hunan Warrant Pharmaceutical Co (SHSE:688799) has a Gross Margin % of 57.28% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Hunan Warrant Pharmaceutical Co and its competitors. This is 12% below median its historical median of 64.79. Over the past decade, Hunan Warrant Pharmaceutical Co's Gross Margin % has ranged from 49.69 to 72.70. According to the industry distribution chart, Hunan Warrant Pharmaceutical Co ranks #308 out of 935 companies in the Drug Manufacturers industry, placing it in the top 32.9%.
Is Hunan Warrant Pharmaceutical Co's Gross Margin % too high?
Hunan Warrant Pharmaceutical Co's current Gross Margin % of 57.28% is 12% below median its 10-year median of 64.79. Over the past 10 years, this metric has ranged from a low of 49.69 to a high of 72.70. The Drug Manufacturers industry median Gross Margin % is 48.46. Hunan Warrant Pharmaceutical Co's value of 57.28% is 18.2% above this industry median. Based on the distribution chart, Hunan Warrant Pharmaceutical Co ranks #308 out of 935 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Hunan Warrant Pharmaceutical Co has a GF Score™ of 80/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hunan Warrant Pharmaceutical Co's Gross Margin % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Hunan Warrant Pharmaceutical Co ranks #308 out of 935 companies for Gross Margin %. This puts Hunan Warrant Pharmaceutical Co in the upper half of its industry. The industry median Gross Margin % is 48.46. Hunan Warrant Pharmaceutical Co's value of 57.28% is 18.2% above this benchmark. Historically, Hunan Warrant Pharmaceutical Co's own Gross Margin % has ranged from 49.69 to 72.70 over the past decade. While the company's 10-year median is 64.79 vs. the industry median of 48.46, Hunan Warrant Pharmaceutical 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 Drug Manufacturers company?
The median Gross Margin % among Drug Manufacturers companies is 48.46, based on 935 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. Hunan Warrant Pharmaceutical Co's current Gross Margin % of 57.28% is 18.2% 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 Hunan Warrant Pharmaceutical Co and its competitors. For the Drug Manufacturers industry, the median Gross Margin % is 48.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hunan Warrant Pharmaceutical Co's current Gross Margin % is 57.28%, which is 12% below median its own 10-year median of 64.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hunan Warrant Pharmaceutical Co stock overvalued right now?
Based on GuruFocus' analysis, Hunan Warrant Pharmaceutical Co (SHSE:688799) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥33.16, compared to a current price of ¥52.71 — trading 59% above its estimated fair value. The current Gross Margin % is 57.28%, which is 12% below median its 10-year median of 64.79 and 18.2% above the Drug Manufacturers industry median of 48.46. Hunan Warrant Pharmaceutical Co's overall GF Score™ is 80/100 with 7 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 Hunan Warrant Pharmaceutical Co (SHSE:688799), the current Gross Margin % is 57.28% 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 Hunan Warrant Pharmaceutical Co (SHSE:688799) Overvalued in 2026?
Based on GuruFocus' analysis, Hunan Warrant Pharmaceutical Co stock appears to be overvalued.
The current stock price of ¥52.71 is trading 59% above its estimated GF Value™ of ¥33.16.
GuruFocus considers Hunan Warrant Pharmaceutical Co to be Significantly Overvalued.
Key valuation signals for SHSE:688799:
Gross Margin %: 57.28% (12% below median its 10-year median of 64.79)
GF Value™: ¥33.16 vs. price of ¥52.71 (59% above fair value)
Industry Position: 18.2% above the Drug Manufacturers median (#308 of 935)
No single metric tells the full story. See the SHSE:688799 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hunan Warrant Pharmaceutical Co Business Description
Hunan Warrant Pharmaceutical Co Ltd is a pharmaceutical manufacturer. It is engaged in the research and development, production and sales of chemical raw materials, chemical medicine preparations and Chinese medicine preparations.
80GF Score
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