RichWave TechnologyTPE:4968 -4.24%75 Gross Margin % is 39.23% as of Dec. 2025, which is 16% above its 10-year median of 33.70. GuruFocus rates TPE:4968 with a GF Score™ of 75/100 and a GF Value™ of NT$195.38 (Possible Value Trap). The stock has 1 warning sign investors should review. Among 1,008 Semiconductors companies, RichWave Technology ranks better than 62.3% on this metric.
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
RichWave Technology had a gross margin of 39.23% 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.
RichWave Technology Gross Margin % Related Terms
RichWave Technology Gross Margin % Historical Data
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The historical data trend for RichWave Technology'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.
TPE:4968 vs NVDA, AVGO, MU: Gross Margin % Comparison
For the Semiconductors subindustry, RichWave Technology'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.
RichWave Technology Gross Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, RichWave Technology's Gross Margin % distribution charts can be found below:
* The bar in red indicates where RichWave Technology'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.
RichWave Technology (TPE:4968) has a Gross Margin % of 39.23% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on RichWave Technology and its competitors. This is 16% above median its historical median of 33.70. Over the past decade, RichWave Technology's Gross Margin % has ranged from 26.87 to 36.27. According to the industry distribution chart, RichWave Technology ranks #380 out of 1008 companies in the Semiconductors industry, placing it in the top 37.7%.
Is RichWave Technology's Gross Margin % too high?
RichWave Technology's current Gross Margin % of 39.23% is 16% above median its 10-year median of 33.70. Over the past 10 years, this metric has ranged from a low of 26.87 to a high of 36.27. The Semiconductors industry median Gross Margin % is 29.61. RichWave Technology's value of 39.23% is 32.5% above this industry median. Based on the distribution chart, RichWave Technology ranks #380 out of 1008 companies in the Semiconductors industry, which is above the industry midpoint. Overall, RichWave Technology has a GF Score™ of 75/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does RichWave Technology's Gross Margin % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, RichWave Technology ranks #380 out of 1008 companies for Gross Margin %. This puts RichWave Technology in the upper half of its industry. The industry median Gross Margin % is 29.61. RichWave Technology's value of 39.23% is 32.5% above this benchmark. Historically, RichWave Technology's own Gross Margin % has ranged from 26.87 to 36.27 over the past decade. While the company's 10-year median is 33.70 vs. the industry median of 29.61, RichWave Technology 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 Semiconductors company?
The median Gross Margin % among Semiconductors companies is 29.61, based on 1,008 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. RichWave Technology's current Gross Margin % of 39.23% is 32.5% 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 RichWave Technology and its competitors. For the Semiconductors industry, the median Gross Margin % is 29.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RichWave Technology's current Gross Margin % is 39.23%, which is 16% above median its own 10-year median of 33.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RichWave Technology stock overvalued right now?
Based on GuruFocus' analysis, RichWave Technology (TPE:4968) is currently considered Possible Value Trap. The stock's GF Value™ is NT$195.38, compared to a current price of NT$113.00 — trading 42.2% below its estimated fair value. The current Gross Margin % is 39.23%, which is 16% above median its 10-year median of 33.70 and 32.5% above the Semiconductors industry median of 29.61. RichWave Technology's overall GF Score™ is 75/100 with 1 warning sign 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 RichWave Technology (TPE:4968), the current Gross Margin % is 39.23% 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 RichWave Technology (TPE:4968) Overvalued in 2026?
Based on GuruFocus' analysis, RichWave Technology stock appears to be undervalued.
The current stock price of NT$113.00 is trading 42.2% below its estimated GF Value™ of NT$195.38.
GuruFocus considers RichWave Technology to be Possible Value Trap.
Key valuation signals for TPE:4968:
Gross Margin %: 39.23% (16% above median its 10-year median of 33.70)
GF Value™: NT$195.38 vs. price of NT$113.00 (42.2% below fair value)
Industry Position: 32.5% above the Semiconductors median (#380 of 1008)
No single metric tells the full story. See the TPE:4968 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
RichWave Technology Corp is a fabless IC design company. The company is engaged in the research and development, design, integration, and manufacturing and sales of integrated circuits for wireless communication products. Its product includes a front-end module, power amplifier, switch, and GPS LNA. Its products are used in networking, mobile phones, broadcasting, surveillance, and automotive rearview applications. The company operates majorly in Taiwan, China, Korea, and Others, with the majority of revenue from Taiwan and China.
75GF Score
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