Tonlin Department Store CoTPE:2910 -1.13%74 Gross Margin % is 87.61% as of Dec. 2025, which is 38% above its 10-year median of 63.36. GuruFocus rates TPE:2910 with a GF Score™ of 74/100 and a GF Value™ of NT$19.50 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 1,109 Retail - Cyclical companies, Tonlin Department Store Co ranks better than 98.83% on this metric.
Tonlin Department Store Co (TPE:2910) 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
Tonlin Department Store Co had a gross margin of 87.61% for the quarter that ended in Dec. 2025 => 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.
Tonlin Department Store Co Gross Margin % Related Terms
Tonlin Department Store 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 Department Stores subindustry, Tonlin Department Store 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.
Tonlin Department Store Co Gross Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Tonlin Department Store Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Tonlin Department Store 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.
Tonlin Department Store Co (TPE:2910) has a Gross Margin % of 87.61% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Tonlin Department Store Co and its competitors. This is 38% above median its historical median of 63.36. Over the past decade, Tonlin Department Store Co's Gross Margin % has ranged from 49.36 to 88.16. According to the industry distribution chart, Tonlin Department Store Co ranks #13 out of 1109 companies in the Retail - Cyclical industry, placing it in the top 1.2%.
Is Tonlin Department Store Co's Gross Margin % too high?
Tonlin Department Store Co's current Gross Margin % of 87.61% is 38% above median its 10-year median of 63.36. Over the past 10 years, this metric has ranged from a low of 49.36 to a high of 88.16. The Retail - Cyclical industry median Gross Margin % is 36.26. Tonlin Department Store Co's value of 87.61% is 141.6% above this industry median. Based on the distribution chart, Tonlin Department Store Co ranks #13 out of 1109 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Tonlin Department Store Co has a GF Score™ of 74/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tonlin Department Store Co's Gross Margin % compare to DDS and M?
According to the Retail - Cyclical industry distribution chart, Tonlin Department Store Co ranks #13 out of 1109 companies for Gross Margin %. This places Tonlin Department Store Co in the top 1% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 36.26. Tonlin Department Store Co's value of 87.61% is 141.6% above this benchmark. Historically, Tonlin Department Store Co's own Gross Margin % has ranged from 49.36 to 88.16 over the past decade. While the company's 10-year median is 63.36 vs. the industry median of 36.26, Tonlin Department Store Co 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 Retail - Cyclical company?
The median Gross Margin % among Retail - Cyclical companies is 36.26, based on 1,109 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. Tonlin Department Store Co's current Gross Margin % of 87.61% is 141.6% 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 Tonlin Department Store Co and its competitors. For the Retail - Cyclical industry, the median Gross Margin % is 36.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tonlin Department Store Co's current Gross Margin % is 87.61%, which is 38% above median its own 10-year median of 63.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tonlin Department Store Co stock overvalued right now?
Based on GuruFocus' analysis, Tonlin Department Store Co (TPE:2910) is currently considered Modestly Overvalued. The stock's GF Value™ is NT$19.50, compared to a current price of NT$21.95 — trading 12.6% above its estimated fair value. The current Gross Margin % is 87.61%, which is 38% above median its 10-year median of 63.36 and 141.6% above the Retail - Cyclical industry median of 36.26. Tonlin Department Store Co's overall GF Score™ is 74/100 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 Tonlin Department Store Co (TPE:2910), the current Gross Margin % is 87.61% 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 Tonlin Department Store Co (TPE:2910) Overvalued in 2026?
Based on GuruFocus' analysis, Tonlin Department Store Co stock appears to be overvalued.
The current stock price of NT$21.95 is trading 12.6% above its estimated GF Value™ of NT$19.50.
GuruFocus considers Tonlin Department Store Co to be Modestly Overvalued.
Key valuation signals for TPE:2910:
Gross Margin %: 87.61% (38% above median its 10-year median of 63.36)
GF Value™: NT$19.50 vs. price of NT$21.95 (12.6% above fair value)
Industry Position: 141.6% above the Retail - Cyclical median (#13 of 1109)
No single metric tells the full story. See the TPE:2910 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tonlin Department Store Co Ltd operates department stores offering men's and women's apparel and accessories, food, gifts, and general merchandise, among others. The reporting segments for the company are: Department store and Construction segment. Maximum revenue is generated from the Department store segment.
74GF Score
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