TOP Financial GroupTOP -0.62%65 Gross Margin % is 31.75% as of Sep. 2025, which is 29% below its 10-year median of 44.68. GuruFocus rates TOP with a GF Score™ of 65/100 and a GF Value™ of $1.45 (Fairly Valued). The stock has 9 warning signs investors should review. Among 620 Capital Markets companies, TOP Financial Group ranks worse than 72.74% on this metric.
TOP Financial Group Ltd gross margin has been in long-term decline. The average rate of decline per year is -10.2%.
The historical rank and industry rank for TOP Financial Group's Gross Margin % or its related term are showing as below:
TOP'
s Gross Margin % Range Over the Past 10 Years
Min: 7.39 Med: 44.68 Max: 60.52
Current: 18.88
During the past 6 years, the highestGross Margin % of TOP Financial Group was 60.52%. The lowest was 7.39%. And the median was 44.68%.
TOP's Gross Margin % is ranked worse than 72.74% of 620
companies
in the Capital Markets industry
Industry Median: 49.63
vs TOP: 18.88
TOP Financial Group had a gross margin of 31.75% for the quarter that ended in Sep. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for TOP Financial Group was -10.20% per year.
TOP Financial Group (NAS:TOP) 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
TOP Financial Group had a gross margin of 31.75% for the quarter that ended in Sep. 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.
TOP Financial Group Gross Margin % Related Terms
TOP Financial Group Gross Margin % Historical Data
* Premium members only.
The historical data trend for TOP Financial Group'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.
TOP vs NCTY, AURE, SIEB: Gross Margin % Comparison
For the Capital Markets subindustry, TOP Financial Group'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.
TOP Financial Group Gross Margin % vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, TOP Financial Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where TOP Financial Group'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.
TOP Financial Group (TOP) has a Gross Margin % of 31.75% as of Sep. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on TOP Financial Group and its competitors. This is 29% below median its historical median of 44.68. Over the past decade, TOP Financial Group's Gross Margin % has ranged from 7.39 to 60.52. According to the industry distribution chart, TOP Financial Group ranks #451 out of 620 companies in the Capital Markets industry, placing it in the top 72.7%.
Is TOP Financial Group's Gross Margin % too high?
TOP Financial Group's current Gross Margin % of 31.75% is 29% below median its 10-year median of 44.68. Over the past 10 years, this metric has ranged from a low of 7.39 to a high of 60.52. The Capital Markets industry median Gross Margin % is 49.63. TOP Financial Group's value of 31.75% is 36% below this industry median. Based on the distribution chart, TOP Financial Group ranks #451 out of 620 companies in the Capital Markets industry, which is below the industry midpoint. Overall, TOP Financial Group has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does TOP Financial Group's Gross Margin % compare to NCTY and AURE?
According to the Capital Markets industry distribution chart, TOP Financial Group ranks #451 out of 620 companies for Gross Margin %. This places TOP Financial Group in the lower half of its industry. The industry median Gross Margin % is 49.63. TOP Financial Group's value of 31.75% is 36% below this benchmark. Historically, TOP Financial Group's own Gross Margin % has ranged from 7.39 to 60.52 over the past decade. While the company's 10-year median is 44.68 vs. the industry median of 49.63, TOP Financial Group 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 Capital Markets company?
The median Gross Margin % among Capital Markets companies is 49.63, based on 620 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. TOP Financial Group's current Gross Margin % of 31.75% is 36% 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 TOP Financial Group and its competitors. For the Capital Markets industry, the median Gross Margin % is 49.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TOP Financial Group's current Gross Margin % is 31.75%, which is 29% below median its own 10-year median of 44.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TOP Financial Group stock overvalued right now?
Based on GuruFocus' analysis, TOP Financial Group (TOP) is currently considered Fairly Valued. The stock's GF Value™ is $1.45, compared to a current price of $1.59 — trading 9.7% above its estimated fair value. The current Gross Margin % is 31.75%, which is 29% below median its 10-year median of 44.68 and 36% below the Capital Markets industry median of 49.63. TOP Financial Group's overall GF Score™ is 65/100 with 9 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 TOP Financial Group (TOP), the current Gross Margin % is 31.75% as of Sep. 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 TOP Financial Group (TOP) Overvalued in 2026?
Based on GuruFocus' analysis, TOP Financial Group stock appears to be overvalued.
The current stock price of $1.59 is trading 9.7% above its estimated GF Value™ of $1.45.
GuruFocus considers TOP Financial Group to be Fairly Valued.
Key valuation signals for TOP:
Gross Margin %: 31.75% (29% below median its 10-year median of 44.68)
GF Value™: $1.45 vs. price of $1.59 (9.7% above fair value)
Industry Position: 36% below the Capital Markets median (#451 of 620)
No single metric tells the full story. See the TOP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
TOP Financial Group Ltd is an online brokerage firm in Hong Kong specializing in trading local and overseas equities, futures, and options products. The Company generates brokerage commission income by enabling its customers to trade on multiple exchanges present globally. The company operates in only one segment which is the futures brokerage service.
65GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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