SolarMax TechnologySMXT +0.03%17 Gross Margin % is 20.54% as of Mar. 2026, which is 64% above its 10-year median of 12.50. GuruFocus rates SMXT with a GF Score™ of 17/100. The stock has 5 warning signs investors should review. Among 1,011 Semiconductors companies, SolarMax Technology ranks worse than 90.21% on this metric.
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
SolarMax Technology had a gross margin of 20.54% 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.
SolarMax Technology Gross Margin % Related Terms
SolarMax Technology Gross Margin % Historical Data
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The historical data trend for SolarMax Technology'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.
SMXT vs ZEO, BEEM, SPRU: Gross Margin % Comparison
For the Solar subindustry, SolarMax Technology'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.
SolarMax Technology Gross Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, SolarMax Technology's Gross Margin % distribution charts can be found below:
* The bar in red indicates where SolarMax Technology'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.
SolarMax Technology (SMXT) has a Gross Margin % of 20.54% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on SolarMax Technology and its competitors. This is 64% above median its historical median of 12.50. Over the past decade, SolarMax Technology's Gross Margin % has ranged from 4.65 to 20.59. According to the industry distribution chart, SolarMax Technology ranks #912 out of 1011 companies in the Semiconductors industry, placing it in the top 90.2%.
Is SolarMax Technology's Gross Margin % too high?
SolarMax Technology's current Gross Margin % of 20.54% is 64% above median its 10-year median of 12.50. Over the past 10 years, this metric has ranged from a low of 4.65 to a high of 20.59. The Semiconductors industry median Gross Margin % is 29.61. SolarMax Technology's value of 20.54% is 30.6% below this industry median. Based on the distribution chart, SolarMax Technology ranks #912 out of 1011 companies in the Semiconductors industry, which is in the bottom quartile relative to peers. Overall, SolarMax Technology has a GF Score™ of 17/100, reflecting its overall financial health beyond just this single metric.
How does SolarMax Technology's Gross Margin % compare to ZEO and BEEM?
According to the Semiconductors industry distribution chart, SolarMax Technology ranks #912 out of 1011 companies for Gross Margin %. This places SolarMax Technology in the lower half of its industry. The industry median Gross Margin % is 29.61. SolarMax Technology's value of 20.54% is 30.6% below this benchmark. Historically, SolarMax Technology's own Gross Margin % has ranged from 4.65 to 20.59 over the past decade. While the company's 10-year median is 12.50 vs. the industry median of 29.61, SolarMax Technology has consistently been below 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 Semiconductors company?
The median Gross Margin % among Semiconductors companies is 29.61, based on 1,011 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. SolarMax Technology's current Gross Margin % of 20.54% is 30.6% 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 SolarMax Technology 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. SolarMax Technology's current Gross Margin % is 20.54%, which is 64% above median its own 10-year median of 12.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SolarMax Technology stock overvalued right now?
SolarMax Technology (SMXT) has a current Gross Margin % of 20.54%. The current Gross Margin % is 20.54%, which is 64% above median its 10-year median of 12.50 and 30.6% below the Semiconductors industry median of 29.61. SolarMax Technology's overall GF Score™ is 17/100 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 SolarMax Technology (SMXT), the current Gross Margin % is 20.54% 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.
SolarMax Technology Inc is an integrated solar and renewable energy company. The United States business includes the sale and installation of photovoltaic and battery backup systems. China operations consist of operating and maintaining solar farm projects and identifying and procuring solar farm projects for resale to third parties. Some of its products are LG Solar Panels, Q-CELL Solar Panels, Panasonic Solar Panels, and others. The company generates a majority of its revenue from solar energy systems.
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