Tong Ren Tang Technologies CoTGRNF 50 Gross Margin % is 37.85% as of Dec. 2025, which is 14% below its 10-year median of 44.07. GuruFocus rates TGRNF with a GF Score™ of 50/100 and a GF Value™ of $0.84 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 937 Drug Manufacturers companies, Tong Ren Tang Technologies Co ranks worse than 68.3% on this metric.
Tong Ren Tang Technologies Co (OTCPK:TGRNF) 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
Tong Ren Tang Technologies Co had a gross margin of 37.85% 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.
Tong Ren Tang Technologies Co Gross Margin % Related Terms
Tong Ren Tang Technologies 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.
Tong Ren Tang Technologies Co Gross Margin % Chart
TGRNF vs LLY, JNJ, ABBV: Gross Margin % Comparison
For the Drug Manufacturers - General subindustry, Tong Ren Tang Technologies 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.
Tong Ren Tang Technologies Co Gross Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Tong Ren Tang Technologies Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Tong Ren Tang Technologies 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.
Tong Ren Tang Technologies Co (TGRNF) has a Gross Margin % of 37.85% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Tong Ren Tang Technologies Co and its competitors. This is 14% below median its historical median of 44.07. Over the past decade, Tong Ren Tang Technologies Co's Gross Margin % has ranged from 38.02 to 50.71. According to the industry distribution chart, Tong Ren Tang Technologies Co ranks #640 out of 937 companies in the Drug Manufacturers industry, placing it in the top 68.3%.
Is Tong Ren Tang Technologies Co's Gross Margin % too high?
Tong Ren Tang Technologies Co's current Gross Margin % of 37.85% is 14% below median its 10-year median of 44.07. Over the past 10 years, this metric has ranged from a low of 38.02 to a high of 50.71. The Drug Manufacturers industry median Gross Margin % is 48.46. Tong Ren Tang Technologies Co's value of 37.85% is 21.9% below this industry median. Based on the distribution chart, Tong Ren Tang Technologies Co ranks #640 out of 937 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Tong Ren Tang Technologies Co has a GF Score™ of 50/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Tong Ren Tang Technologies Co's Gross Margin % compare to LLY and JNJ?
According to the Drug Manufacturers industry distribution chart, Tong Ren Tang Technologies Co ranks #640 out of 937 companies for Gross Margin %. This places Tong Ren Tang Technologies Co in the lower half of its industry. The industry median Gross Margin % is 48.46. Tong Ren Tang Technologies Co's value of 37.85% is 21.9% below this benchmark. Historically, Tong Ren Tang Technologies Co's own Gross Margin % has ranged from 38.02 to 50.71 over the past decade. While the company's 10-year median is 44.07 vs. the industry median of 48.46, Tong Ren Tang Technologies 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 a Drug Manufacturers company?
The median Gross Margin % among Drug Manufacturers companies is 48.46, based on 937 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. Tong Ren Tang Technologies Co's current Gross Margin % of 37.85% is 21.9% 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 Tong Ren Tang Technologies Co and its competitors. For the Drug Manufacturers industry, the median Gross Margin % is 48.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tong Ren Tang Technologies Co's current Gross Margin % is 37.85%, which is 14% below median its own 10-year median of 44.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tong Ren Tang Technologies Co stock overvalued right now?
Based on GuruFocus' analysis, Tong Ren Tang Technologies Co (TGRNF) is currently considered Significantly Undervalued. The stock's GF Value™ is $0.84, compared to a current price of $0.49 — trading 41.1% below its estimated fair value. The current Gross Margin % is 37.85%, which is 14% below median its 10-year median of 44.07 and 21.9% below the Drug Manufacturers industry median of 48.46. Tong Ren Tang Technologies Co's overall GF Score™ is 50/100 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 Tong Ren Tang Technologies Co (TGRNF), the current Gross Margin % is 37.85% 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 Tong Ren Tang Technologies Co (TGRNF) Overvalued in 2026?
Based on GuruFocus' analysis, Tong Ren Tang Technologies Co stock appears to be undervalued.
The current stock price of $0.49 is trading 41.1% below its estimated GF Value™ of $0.84.
GuruFocus considers Tong Ren Tang Technologies Co to be Significantly Undervalued.
Key valuation signals for TGRNF:
Gross Margin %: 37.85% (14% below median its 10-year median of 44.07)
GF Value™: $0.84 vs. price of $0.49 (41.1% below fair value)
Industry Position: 21.9% below the Drug Manufacturers median (#640 of 937)
No single metric tells the full story. See the TGRNF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tong Ren Tang Technologies Co Business Description
Tong Ren Tang Technologies Co Ltd is engaged in the production and distribution of Chinese medicine and predominantly operates in Mainland China and Hong Kong. The operating segments derive their revenue predominantly from the manufacture and sale of Chinese medicine of the company in Mainland China and Tong Ren Tang Chinese Medicine and its subsidiaries engaged in manufacturing, retail, and wholesale of Chinese medicine products and healthcare products, and provision of Chinese medical consultation and treatments outside Mainland China and wholesale of healthcare products in Mainland China.
50GF Score
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