Darwin PrecisionsTPE:6120 +0.35%75 Gross Margin % is 5.63% as of Dec. 2025, which is 13% above its 10-year median of 4.98. GuruFocus rates TPE:6120 with a GF Score™ of 75/100 and a GF Value™ of NT$13.15 (Fairly Valued). The stock has 3 warning signs investors should review. Among 2,453 Hardware companies, Darwin Precisions ranks worse than 93.48% on this metric.
The historical rank and industry rank for Darwin Precisions's Gross Margin % or its related term are showing as below:
TPE:6120'
s Gross Margin % Range Over the Past 10 Years
Min: -2.41 Med: 4.98 Max: 6.98
Current: 5.03
During the past 13 years, the highestGross Margin % of Darwin Precisions was 6.98%. The lowest was -2.41%. And the median was 4.98%.
TPE:6120's Gross Margin % is ranked worse than 93.48% of 2453
companies
in the Hardware industry
Industry Median: 24.52
vs TPE:6120: 5.03
Darwin Precisions had a gross margin of 5.63% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Darwin Precisions was 0.00% per year.
Darwin Precisions (TPE:6120) 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
Darwin Precisions had a gross margin of 5.63% for the quarter that ended in Dec. 2025 => No sustainable 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.
Darwin Precisions Gross Margin % Related Terms
Darwin Precisions Gross Margin % Historical Data
* Premium members only.
The historical data trend for Darwin Precisions'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 Electronic Components subindustry, Darwin Precisions'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.
Darwin Precisions Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Darwin Precisions's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Darwin Precisions'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.
Darwin Precisions (TPE:6120) has a Gross Margin % of 5.63% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Darwin Precisions and its competitors. This is 13% above median its historical median of 4.98. According to the industry distribution chart, Darwin Precisions ranks #2293 out of 2453 companies in the Hardware industry, placing it in the top 93.5%.
Is Darwin Precisions' Gross Margin % too high?
Darwin Precisions' current Gross Margin % of 5.63% is 13% above median its 10-year median of 4.98. The Hardware industry median Gross Margin % is 24.52. Darwin Precisions' value of 5.63% is 77% below this industry median. Based on the distribution chart, Darwin Precisions ranks #2293 out of 2453 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, Darwin Precisions has a GF Score™ of 75/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Darwin Precisions' Gross Margin % compare to APH and GLW?
According to the Hardware industry distribution chart, Darwin Precisions ranks #2293 out of 2453 companies for Gross Margin %. This places Darwin Precisions in the lower half of its industry. The industry median Gross Margin % is 24.52. Darwin Precisions' value of 5.63% is 77% below this benchmark. While the company's 10-year median is 4.98 vs. the industry median of 24.52, Darwin Precisions 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.52, based on 2,453 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. Darwin Precisions's current Gross Margin % of 5.63% is 77% 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 Darwin Precisions and its competitors. For the Hardware industry, the median Gross Margin % is 24.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Darwin Precisions's current Gross Margin % is 5.63%, which is 13% above median its own 10-year median of 4.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Darwin Precisions stock overvalued right now?
Based on GuruFocus' analysis, Darwin Precisions (TPE:6120) is currently considered Fairly Valued. The stock's GF Value™ is NT$13.15, compared to a current price of NT$14.25 — trading 8.4% above its estimated fair value. The current Gross Margin % is 5.63%, which is 13% above median its 10-year median of 4.98 and 77% below the Hardware industry median of 24.52. Darwin Precisions' overall GF Score™ is 75/100 with 3 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 Darwin Precisions (TPE:6120), the current Gross Margin % is 5.63% 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 Darwin Precisions (TPE:6120) Overvalued in 2026?
Based on GuruFocus' analysis, Darwin Precisions stock appears to be overvalued.
The current stock price of NT$14.25 is trading 8.4% above its estimated GF Value™ of NT$13.15.
GuruFocus considers Darwin Precisions to be Fairly Valued.
Key valuation signals for TPE:6120:
Gross Margin %: 5.63% (13% above median its 10-year median of 4.98)
GF Value™: NT$13.15 vs. price of NT$14.25 (8.4% above fair value)
Industry Position: 77% below the Hardware median (#2293 of 2453)
No single metric tells the full story. See the TPE:6120 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Darwin Precisions Corp is a Taiwanese company engaged in the manufacturing, assembling, processing, and trading of backlight modules, computer peripherals, and communication equipment. The company's product users are manufacturers of liquid crystal displays, or LCDs, panels, and scanners, among others. The company's geographical markets include Korea, Taiwan, China, Japan, and Others, with the majority of revenue from China.
75GF Score
Get the complete analysis for TPE:6120
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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