SLCO (Sovereign Lithium) Gross Margin %: 0.00% (As of Dec. 2013)


What is Sovereign Lithium Gross Margin %?

Sovereign Lithium SLCO Gross Margin % is 0.00% as of Dec. 2013.

Gross Margin % is calculated as gross profit divided by its revenue. Sovereign Lithium's Gross Profit for the three months ended in Dec. 2013 was $0.00 Mil. Sovereign Lithium's Revenue for the three months ended in Dec. 2013 was $0.00 Mil. Therefore, Sovereign Lithium's Gross Margin % for the quarter that ended in Dec. 2013 was 0.00%. If there's no value for Cost of Goods Sold, then Gross Margin % is not calculated.


The historical rank and industry rank for Sovereign Lithium's Gross Margin % or its related term are showing as below:


SLCO's Gross Margin % is not ranked *
in the Metals & Mining industry.
Industry Median: 26.175
* Ranked among companies with meaningful Gross Margin % only.

Sovereign Lithium had a gross margin of N/A% for the quarter that ended in Dec. 2013 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Sovereign Lithium was 0.00% per year.

Sovereign Lithium  (OTCPK:SLCO) 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

Sovereign Lithium had a gross margin of N/A% for the quarter that ended in Dec. 2013 => 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.

Sovereign Lithium Gross Margin % Related Terms

Sovereign Lithium Gross Margin % Historical Data

* Premium members only.

The historical data trend for Sovereign Lithium'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.

Sovereign Lithium Gross Margin % Chart

Sovereign Lithium Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13
Gross Margin %
Get a 7-Day Free Trial -117.48 20.45 0.00 0.00 0.00

Sovereign Lithium Quarterly Data
Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 0.00 0.00 0.00 0.00

Sovereign Lithium Gross Margin % Competitor Comparison

For the Other Industrial Metals & Mining subindustry, Sovereign Lithium'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.

Sovereign Lithium Gross Margin % vs Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Sovereign Lithium's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Sovereign Lithium's Gross Margin % falls into.


Sovereign Lithium Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue. (Note that if there's no value for Cost of Goods Sold, then Gross Margin % is not calculated.)

Sovereign Lithium's Gross Margin for the fiscal year that ended in Dec. 2013 is calculated as

Gross Margin % (A: Dec. 2013 )=Gross Profit (A: Dec. 2013 ) / Revenue (A: Dec. 2013 )
=0 / 0
=(Revenue - Cost of Goods Sold) / Revenue
=(0 - 0) / 0
=N/A %

Sovereign Lithium's Gross Margin for the quarter that ended in Dec. 2013 is calculated as


Gross Margin % (Q: Dec. 2013 )=Gross Profit (Q: Dec. 2013 ) / Revenue (Q: Dec. 2013 )
=0 / 0
=(Revenue - Cost of Goods Sold) / Revenue
=(0 - 0) / 0
=N/A %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 0.00% mean?
Sovereign Lithium (SLCO) has a Gross Margin % of 0.00% as of Dec. 2013. Gross margin is the ratio of total gross profit to net sales. View historical data on Sovereign Lithium and its competitors.
Is Sovereign Lithium's Gross Margin % too high?
Sovereign Lithium's current Gross Margin % is 0.00%.
How does Sovereign Lithium's Gross Margin % compare to competitors?
Sovereign Lithium's Gross Margin % of 0.00% can be compared against companies in the Metals & Mining industry. The industry median Gross Margin % is 26.18. 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 Metals & Mining company?
The median Gross Margin % among Metals & Mining companies is 26.18, based on 730 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. 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 Sovereign Lithium and its competitors. For the Metals & Mining industry, the median Gross Margin % is 26.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sovereign Lithium's current Gross Margin % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sovereign Lithium stock overvalued right now?
Sovereign Lithium (SLCO) has a current Gross Margin % of 0.00%. The current Gross Margin % is 0.00%. 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 Sovereign Lithium (SLCO), the current Gross Margin % is 0.00% as of Dec. 2013. 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.

Sovereign Lithium Business Description

Address 999 18th Street, Suite 3000, Denver, CO, USA, 80202
Sovereign Lithium Inc is a exploration stage mineral exploration and development company.