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
Syrah Resources had a gross margin of -69.56% for the quarter that ended in Dec. 2025 => 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.
Syrah Resources Gross Margin % Related Terms
Syrah Resources Gross Margin % Historical Data
* Premium members only.
The historical data trend for Syrah Resources'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.
For the Other Industrial Metals & Mining subindustry, Syrah Resources'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.
Syrah Resources Gross Margin % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Syrah Resources's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Syrah Resources'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.
Syrah Resources (SYAAF) has a Gross Margin % of -69.56% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Syrah Resources and its competitors. According to the industry distribution chart, Syrah Resources ranks #705 out of 728 companies in the Metals & Mining industry, placing it in the top 96.8%.
Is Syrah Resources' Gross Margin % too high?
Syrah Resources' current Gross Margin % is -69.56%. Based on the distribution chart, Syrah Resources ranks #705 out of 728 companies in the Metals & Mining industry, which is in the bottom quartile relative to peers. Overall, Syrah Resources has a GF Score™ of 36/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Syrah Resources' Gross Margin % compare to competitors?
According to the Metals & Mining industry distribution chart, Syrah Resources ranks #705 out of 728 companies for Gross Margin %. This places Syrah Resources in the lower half of its industry. The industry median Gross Margin % is 26.21. 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 26.21, based on 728 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 Syrah Resources and its competitors. For the Metals & Mining industry, the median Gross Margin % is 26.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Syrah Resources's current Gross Margin % is -69.56%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Syrah Resources stock overvalued right now?
Based on GuruFocus' analysis, Syrah Resources (SYAAF) is currently considered Possible Value Trap. The stock's GF Value™ is $0.16, compared to a current price of $0.09 — trading 43.8% below its estimated fair value. The current Gross Margin % is -69.56%. Syrah Resources' overall GF Score™ is 36/100 with 8 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 Syrah Resources (SYAAF), the current Gross Margin % is -69.56% as of Dec. 2025. 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 Syrah Resources (SYAAF) Overvalued in 2026?
Based on GuruFocus' analysis, Syrah Resources stock appears to be undervalued.
The current stock price of $0.09 is trading 43.8% below its estimated GF Value™ of $0.16.
GuruFocus considers Syrah Resources to be Possible Value Trap.
Key valuation signals for SYAAF:
Gross Margin %: -69.56%
GF Value™: $0.16 vs. price of $0.09 (43.8% below fair value)
No single metric tells the full story. See the SYAAF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Syrah Resources Ltd is a vertically integrated graphite and battery anode material producer. It supplies products for battery and industrial applications. The company operates in three segments: i) Balama: Production, distribution and sale of natural graphite from the Balama Graphite Operation in Mozambique, ii) Vidalia: Production, qualification and sale of AAM from the Vidalia AAM facility, and Corporate: Corporate administration, treasury and investing activities. The majority of revenue is derived from the Balama segment. Geographically, the maximum revenue is derived from Asia (excluding China and India), and the rest from China, Europe, India, the Americas, and Other locations.
36GF Score
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