Towngas Smart Energy CoTGASF -15.69%52 Gross Margin % is 24.20% as of Dec. 2025, which is 19% below its 10-year median of 29.77. GuruFocus rates TGASF with a GF Score™ of 52/100 and a GF Value™ of $0.42 (Fairly Valued). The stock has 6 warning signs investors should review. Among 489 Utilities - Regulated companies, Towngas Smart Energy Co ranks worse than 61.35% on this metric.
TGASF's Gross Margin % is ranked worse than 61.35% of 489
companies
in the Utilities - Regulated industry
Industry Median: 30.88
vs TGASF: 24.01
Towngas Smart Energy Co had a gross margin of 24.20% for the quarter that ended in Dec. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Towngas Smart Energy Co was -4.70% per year.
Towngas Smart Energy Co (OTCPK:TGASF) 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
Towngas Smart Energy Co had a gross margin of 24.20% for the quarter that ended in Dec. 2025 => 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.
Towngas Smart Energy Co Gross Margin % Related Terms
Towngas Smart Energy 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.
For the Utilities - Regulated Gas subindustry, Towngas Smart Energy 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.
Towngas Smart Energy Co Gross Margin % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, Towngas Smart Energy Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Towngas Smart Energy 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.
Towngas Smart Energy Co (TGASF) has a Gross Margin % of 24.20% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Towngas Smart Energy Co and its competitors. This is 19% below median its historical median of 29.77. Over the past decade, Towngas Smart Energy Co's Gross Margin % has ranged from 22.75 to 39.96. According to the industry distribution chart, Towngas Smart Energy Co ranks #300 out of 489 companies in the Utilities - Regulated industry, placing it in the top 61.3%.
Is Towngas Smart Energy Co's Gross Margin % too high?
Towngas Smart Energy Co's current Gross Margin % of 24.20% is 19% below median its 10-year median of 29.77. Over the past 10 years, this metric has ranged from a low of 22.75 to a high of 39.96. The Utilities - Regulated industry median Gross Margin % is 30.88. Towngas Smart Energy Co's value of 24.20% is 21.6% below this industry median. Based on the distribution chart, Towngas Smart Energy Co ranks #300 out of 489 companies in the Utilities - Regulated industry, which is below the industry midpoint. Overall, Towngas Smart Energy Co has a GF Score™ of 52/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Towngas Smart Energy Co's Gross Margin % compare to ATO and NI?
According to the Utilities - Regulated industry distribution chart, Towngas Smart Energy Co ranks #300 out of 489 companies for Gross Margin %. This places Towngas Smart Energy Co in the lower half of its industry. The industry median Gross Margin % is 30.88. Towngas Smart Energy Co's value of 24.20% is 21.6% below this benchmark. Historically, Towngas Smart Energy Co's own Gross Margin % has ranged from 22.75 to 39.96 over the past decade. While the company's 10-year median is 29.77 vs. the industry median of 30.88, Towngas Smart Energy Co 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 an Utilities - Regulated company?
The median Gross Margin % among Utilities - Regulated companies is 30.88, based on 489 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. Towngas Smart Energy Co's current Gross Margin % of 24.20% is 21.6% 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 Towngas Smart Energy Co and its competitors. For the Utilities - Regulated industry, the median Gross Margin % is 30.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Towngas Smart Energy Co's current Gross Margin % is 24.20%, which is 19% below median its own 10-year median of 29.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Towngas Smart Energy Co stock overvalued right now?
Based on GuruFocus' analysis, Towngas Smart Energy Co (TGASF) is currently considered Fairly Valued. The stock's GF Value™ is $0.42, compared to a current price of $0.43 — trading 2.1% above its estimated fair value. The current Gross Margin % is 24.20%, which is 19% below median its 10-year median of 29.77 and 21.6% below the Utilities - Regulated industry median of 30.88. Towngas Smart Energy Co's overall GF Score™ is 52/100 with 6 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 Towngas Smart Energy Co (TGASF), the current Gross Margin % is 24.20% 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 Towngas Smart Energy Co (TGASF) Overvalued in 2026?
Based on GuruFocus' analysis, Towngas Smart Energy Co stock appears to be overvalued.
The current stock price of $0.43 is trading 2.1% above its estimated GF Value™ of $0.42.
GuruFocus considers Towngas Smart Energy Co to be Fairly Valued.
Key valuation signals for TGASF:
Gross Margin %: 24.20% (19% below median its 10-year median of 29.77)
GF Value™: $0.42 vs. price of $0.43 (2.1% above fair value)
Industry Position: 21.6% below the Utilities - Regulated median (#300 of 489)
No single metric tells the full story. See the TGASF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Towngas Smart Energy Co Ltd is an investment holding company engaged in the sales of piped gas, renewable energy, and other types of energy, the construction of gas pipelines, the sale of gas appliances and related products, and other value-added services in the People's Republic of China. The operating segment of the company are Gas business and Renewable energy business. The Renewable energy business is engaged in Sales of renewable energy (mainly photovoltaic power) and other related energy and services and the Gas business is further categorized in Sales of piped gas, Gas connection, Gas-related products and services. The company derives maximum revenue from the Sales of piped gas and other gas-related energy. All of the Group' s revenue is generated in the PRC.
52GF Score
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