Transact TechnologiesTACT 69 Gross Margin % is 50.32% as of Mar. 2026, which is 6% above its 10-year median of 47.65. GuruFocus rates TACT with a GF Score™ of 69/100 and a GF Value™ of $4.46 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 2,449 Hardware companies, Transact Technologies ranks better than 86.53% 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
Transact Technologies had a gross margin of 50.32% 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.
Transact Technologies Gross Margin % Related Terms
Transact Technologies Gross Margin % Historical Data
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The historical data trend for Transact Technologies'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.
TACT vs KTCC, QCLS, YIBO: Gross Margin % Comparison
For the Computer Hardware subindustry, Transact Technologies'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.
Transact Technologies Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Transact Technologies's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Transact Technologies'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.
Transact Technologies (TACT) has a Gross Margin % of 50.32% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Transact Technologies and its competitors. This is near median its historical median of 47.65. Over the past decade, Transact Technologies' Gross Margin % has ranged from 39.05 to 52.87. According to the industry distribution chart, Transact Technologies ranks #330 out of 2449 companies in the Hardware industry, placing it in the top 13.5%.
Is Transact Technologies' Gross Margin % too high?
Transact Technologies' current Gross Margin % of 50.32% is near median its 10-year median of 47.65. Over the past 10 years, this metric has ranged from a low of 39.05 to a high of 52.87. The Hardware industry median Gross Margin % is 24.52. Transact Technologies' value of 50.32% is 105.2% above this industry median. Based on the distribution chart, Transact Technologies ranks #330 out of 2449 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Transact Technologies has a GF Score™ of 69/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Transact Technologies' Gross Margin % compare to KTCC and QCLS?
According to the Hardware industry distribution chart, Transact Technologies ranks #330 out of 2449 companies for Gross Margin %. This places Transact Technologies in the top 14% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 24.52. Transact Technologies' value of 50.32% is 105.2% above this benchmark. Historically, Transact Technologies' own Gross Margin % has ranged from 39.05 to 52.87 over the past decade. While the company's 10-year median is 47.65 vs. the industry median of 24.52, Transact Technologies 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.52, based on 2,449 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. Transact Technologies's current Gross Margin % of 50.32% is 105.2% 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 Transact Technologies and its competitors. For the Hardware industry, the median Gross Margin % is 24.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Transact Technologies's current Gross Margin % is 50.32%, which is near median its own 10-year median of 47.65. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Transact Technologies stock overvalued right now?
Based on GuruFocus' analysis, Transact Technologies (TACT) is currently considered Modestly Overvalued. The stock's GF Value™ is $4.46, compared to a current price of $5.34 — trading 19.7% above its estimated fair value. The current Gross Margin % is 50.32%, which is near median its 10-year median of 47.65 and 105.2% above the Hardware industry median of 24.52. Transact Technologies' overall GF Score™ is 69/100 with 4 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 Transact Technologies (TACT), the current Gross Margin % is 50.32% 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 Transact Technologies (TACT) Overvalued in 2026?
Based on GuruFocus' analysis, Transact Technologies stock appears to be overvalued.
The current stock price of $5.34 is trading 19.7% above its estimated GF Value™ of $4.46.
GuruFocus considers Transact Technologies to be Modestly Overvalued.
Key valuation signals for TACT:
Gross Margin %: 50.32% (near median its 10-year median of 47.65)
GF Value™: $4.46 vs. price of $5.34 (19.7% above fair value)
Industry Position: 105.2% above the Hardware median (#330 of 2449)
No single metric tells the full story. See the TACT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Transact Technologies Inc develops and sells software-driven technology and printing solutions. The company's software is sold under BOHA, AccuDate, Epic, EPICENTRAL, Ithaca, and Printrex brand names. It also provides supplies and consumables used in the printing and scanning activities to restaurant and hospitality, banking, retail, casino and gaming, point of sale automation, lottery, medical, mobile, oil, and gas markets. Majority of the revenue is derived from the casinos and gaming industry followed by the Foodservice technology market. Its geographical segments are the United States and International, of which the majority of its revenue comes from the United States.
69GF Score
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