Simple Mart Retail CoTPE:2945 -2.91%81 Gross Margin % is 27.39% as of Dec. 2025, which is 10% above its 10-year median of 24.93. GuruFocus rates TPE:2945 with a GF Score™ of 81/100 and a GF Value™ of NT$43.09 (Fairly Valued). The stock has 4 warning signs investors should review. Among 303 Retail - Defensive companies, Simple Mart Retail Co ranks better than 61.39% on this metric.
TPE:2945's Gross Margin % is ranked better than 61.39% of 303
companies
in the Retail - Defensive industry
Industry Median: 24.08
vs TPE:2945: 27.32
Simple Mart Retail Co had a gross margin of 27.39% for the quarter that ended in Dec. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Simple Mart Retail Co was 2.00% per year.
Simple Mart Retail Co (TPE:2945) 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
Simple Mart Retail Co had a gross margin of 27.39% 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.
Simple Mart Retail Co Gross Margin % Related Terms
Simple Mart Retail Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Simple Mart Retail Co'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.
For the Grocery Stores subindustry, Simple Mart Retail 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.
Simple Mart Retail Co Gross Margin % vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Simple Mart Retail Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Simple Mart Retail 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.
Simple Mart Retail Co (TPE:2945) has a Gross Margin % of 27.39% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Simple Mart Retail Co and its competitors. This is 10% above median its historical median of 24.93. Over the past decade, Simple Mart Retail Co's Gross Margin % has ranged from 23.51 to 27.32. According to the industry distribution chart, Simple Mart Retail Co ranks #117 out of 303 companies in the Retail - Defensive industry, placing it in the top 38.6%.
Is Simple Mart Retail Co's Gross Margin % too high?
Simple Mart Retail Co's current Gross Margin % of 27.39% is 10% above median its 10-year median of 24.93. Over the past 10 years, this metric has ranged from a low of 23.51 to a high of 27.32. The Retail - Defensive industry median Gross Margin % is 24.08. Simple Mart Retail Co's value of 27.39% is 13.7% above this industry median. Based on the distribution chart, Simple Mart Retail Co ranks #117 out of 303 companies in the Retail - Defensive industry, which is above the industry midpoint. Overall, Simple Mart Retail Co has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Simple Mart Retail Co's Gross Margin % compare to KR and SFM?
According to the Retail - Defensive industry distribution chart, Simple Mart Retail Co ranks #117 out of 303 companies for Gross Margin %. This puts Simple Mart Retail Co in the upper half of its industry. The industry median Gross Margin % is 24.08. Simple Mart Retail Co's value of 27.39% is 13.7% above this benchmark. Historically, Simple Mart Retail Co's own Gross Margin % has ranged from 23.51 to 27.32 over the past decade. While the company's 10-year median is 24.93 vs. the industry median of 24.08, Simple Mart Retail 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 - Defensive company?
The median Gross Margin % among Retail - Defensive companies is 24.08, based on 303 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. Simple Mart Retail Co's current Gross Margin % of 27.39% is 13.7% 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 Simple Mart Retail Co and its competitors. For the Retail - Defensive industry, the median Gross Margin % is 24.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Simple Mart Retail Co's current Gross Margin % is 27.39%, which is 10% above median its own 10-year median of 24.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Simple Mart Retail Co stock overvalued right now?
Based on GuruFocus' analysis, Simple Mart Retail Co (TPE:2945) is currently considered Fairly Valued. The stock's GF Value™ is NT$43.09, compared to a current price of NT$41.75 — trading 3.1% below its estimated fair value. The current Gross Margin % is 27.39%, which is 10% above median its 10-year median of 24.93 and 13.7% above the Retail - Defensive industry median of 24.08. Simple Mart Retail Co's overall GF Score™ is 81/100 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 Simple Mart Retail Co (TPE:2945), the current Gross Margin % is 27.39% 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 Simple Mart Retail Co (TPE:2945) Overvalued in 2026?
Based on GuruFocus' analysis, Simple Mart Retail Co stock appears to be undervalued.
The current stock price of NT$41.75 is trading 3.1% below its estimated GF Value™ of NT$43.09.
GuruFocus considers Simple Mart Retail Co to be Fairly Valued.
Key valuation signals for TPE:2945:
Gross Margin %: 27.39% (10% above median its 10-year median of 24.93)
GF Value™: NT$43.09 vs. price of NT$41.75 (3.1% below fair value)
Industry Position: 13.7% above the Retail - Defensive median (#117 of 303)
No single metric tells the full story. See the TPE:2945 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Simple Mart Retail Co Ltd operates a retail chain of stores in Taiwan. The group has two reportable segments which mainly engage in selling daily commodities to customers; while the other segment engages in home shopping, health supplements, over-the-counter medicines, cosmetics, and organic products, as well as retail business on pet food and supplies.
81GF Score
Get the complete analysis for TPE:2945
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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