Farglory F T Z Investment Holding Co (TPE:5607) 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
Farglory F T Z Investment Holding Co had a gross margin of 47.07% 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.
Farglory F T Z Investment Holding Co Gross Margin % Related Terms
Farglory F T Z Investment Holding 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.
Farglory F T Z Investment Holding Co Gross Margin % Chart
TPE:5607 vs CTAS, CPRT, ULS: Gross Margin % Comparison
For the Specialty Business Services subindustry, Farglory F T Z Investment Holding 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.
Farglory F T Z Investment Holding Co Gross Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Farglory F T Z Investment Holding Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Farglory F T Z Investment Holding 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.
Farglory F T Z Investment Holding Co (TPE:5607) has a Gross Margin % of 47.07% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Farglory F T Z Investment Holding Co and its competitors. This is near median its historical median of 50.45. Over the past decade, Farglory F T Z Investment Holding Co's Gross Margin % has ranged from 46.83 to 61.31. According to the industry distribution chart, Farglory F T Z Investment Holding Co ranks #305 out of 1007 companies in the Business Services industry, placing it in the top 30.3%.
Is Farglory F T Z Investment Holding Co's Gross Margin % too high?
Farglory F T Z Investment Holding Co's current Gross Margin % of 47.07% is near median its 10-year median of 50.45. Over the past 10 years, this metric has ranged from a low of 46.83 to a high of 61.31. The Business Services industry median Gross Margin % is 34.50. Farglory F T Z Investment Holding Co's value of 47.07% is 36.4% above this industry median. Based on the distribution chart, Farglory F T Z Investment Holding Co ranks #305 out of 1007 companies in the Business Services industry, which is above the industry midpoint. Overall, Farglory F T Z Investment Holding Co has a GF Score™ of 89/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Farglory F T Z Investment Holding Co's Gross Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Farglory F T Z Investment Holding Co ranks #305 out of 1007 companies for Gross Margin %. This puts Farglory F T Z Investment Holding Co in the upper half of its industry. The industry median Gross Margin % is 34.50. Farglory F T Z Investment Holding Co's value of 47.07% is 36.4% above this benchmark. Historically, Farglory F T Z Investment Holding Co's own Gross Margin % has ranged from 46.83 to 61.31 over the past decade. While the company's 10-year median is 50.45 vs. the industry median of 34.50, Farglory F T Z Investment Holding 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 Business Services company?
The median Gross Margin % among Business Services companies is 34.50, based on 1,007 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. Farglory F T Z Investment Holding Co's current Gross Margin % of 47.07% is 36.4% 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 Farglory F T Z Investment Holding Co and its competitors. For the Business Services industry, the median Gross Margin % is 34.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Farglory F T Z Investment Holding Co's current Gross Margin % is 47.07%, which is near median its own 10-year median of 50.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Farglory F T Z Investment Holding Co stock overvalued right now?
Based on GuruFocus' analysis, Farglory F T Z Investment Holding Co (TPE:5607) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$64.22, compared to a current price of NT$51.00 — trading 20.6% below its estimated fair value. The current Gross Margin % is 47.07%, which is near median its 10-year median of 50.45 and 36.4% above the Business Services industry median of 34.50. Farglory F T Z Investment Holding Co's overall GF Score™ is 89/100 with 8 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 Farglory F T Z Investment Holding Co (TPE:5607), the current Gross Margin % is 47.07% 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 Farglory F T Z Investment Holding Co (TPE:5607) Overvalued in 2026?
Based on GuruFocus' analysis, Farglory F T Z Investment Holding Co stock appears to be undervalued.
The current stock price of NT$51.00 is trading 20.6% below its estimated GF Value™ of NT$64.22.
GuruFocus considers Farglory F T Z Investment Holding Co to be Modestly Undervalued.
Key valuation signals for TPE:5607:
Gross Margin %: 47.07% (near median its 10-year median of 50.45)
GF Value™: NT$64.22 vs. price of NT$51.00 (20.6% below fair value)
Industry Position: 36.4% above the Business Services median (#305 of 1007)
No single metric tells the full story. See the TPE:5607 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Farglory F T Z Investment Holding Co Business Description
Farglory F T Z Investment Holding Co Ltd in Taiwan-based investment holding company. The Company and subsidiaries are engaged in operating the air cargo, air container, and cargo tray (de)vanning, (un)traying, (un)loading, and export and import warehouse business, and leasing plant and office, and warehouse of Taoyuan Aviation Free Trade Port Zone. It has three reportable operating segments: Farglory Free Trade Zone Co. Ltd., which will manage the aviation free trade zone's operations. Farglory Logistics Co. Ltd, which provides rental of the warehouse, and Farglory Free Trade Zone Investment Holding Co. Ltd invest in various securities. Geographically, the group derives all of its revenue from Taiwan.
89GF Score
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