HY Electronic (Cayman)TPE:6573 +9.87%48 Gross Margin % is 19.99% as of Dec. 2025, which is 141% above its 10-year median of 8.29. GuruFocus rates TPE:6573 with a GF Score™ of 48/100 and a GF Value™ of NT$10.08 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 1,009 Semiconductors companies, HY Electronic (Cayman) ranks worse than 83.55% on this metric.
TPE:6573's Gross Margin % is ranked worse than 83.55% of 1009
companies
in the Semiconductors industry
Industry Median: 29.61
vs TPE:6573: 11.36
HY Electronic (Cayman) had a gross margin of 19.99% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for HY Electronic (Cayman) was 2.70% per year.
HY Electronic (Cayman) (TPE:6573) 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
HY Electronic (Cayman) had a gross margin of 19.99% 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.
HY Electronic (Cayman) Gross Margin % Related Terms
HY Electronic (Cayman) Gross Margin % Historical Data
* Premium members only.
The historical data trend for HY Electronic (Cayman)'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:6573 vs NVDA, AVGO, MU: Gross Margin % Comparison
For the Semiconductors subindustry, HY Electronic (Cayman)'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.
HY Electronic (Cayman) Gross Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, HY Electronic (Cayman)'s Gross Margin % distribution charts can be found below:
* The bar in red indicates where HY Electronic (Cayman)'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.
HY Electronic (Cayman) (TPE:6573) has a Gross Margin % of 19.99% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on HY Electronic (Cayman) and its competitors. This is 141% above median its historical median of 8.29. Over the past decade, HY Electronic (Cayman)'s Gross Margin % has ranged from 1.88 to 25.07. According to the industry distribution chart, HY Electronic (Cayman) ranks #843 out of 1009 companies in the Semiconductors industry, placing it in the top 83.5%.
Is HY Electronic (Cayman)'s Gross Margin % too high?
HY Electronic (Cayman)'s current Gross Margin % of 19.99% is 141% above median its 10-year median of 8.29. Over the past 10 years, this metric has ranged from a low of 1.88 to a high of 25.07. The Semiconductors industry median Gross Margin % is 29.61. HY Electronic (Cayman)'s value of 19.99% is 32.5% below this industry median. Based on the distribution chart, HY Electronic (Cayman) ranks #843 out of 1009 companies in the Semiconductors industry, which is in the bottom quartile relative to peers. Overall, HY Electronic (Cayman) has a GF Score™ of 48/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does HY Electronic (Cayman)'s Gross Margin % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, HY Electronic (Cayman) ranks #843 out of 1009 companies for Gross Margin %. This places HY Electronic (Cayman) in the lower half of its industry. The industry median Gross Margin % is 29.61. HY Electronic (Cayman)'s value of 19.99% is 32.5% below this benchmark. Historically, HY Electronic (Cayman)'s own Gross Margin % has ranged from 1.88 to 25.07 over the past decade. While the company's 10-year median is 8.29 vs. the industry median of 29.61, HY Electronic (Cayman) 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 Semiconductors company?
The median Gross Margin % among Semiconductors companies is 29.61, based on 1,009 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. HY Electronic (Cayman)'s current Gross Margin % of 19.99% is 32.5% 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 HY Electronic (Cayman) 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. HY Electronic (Cayman)'s current Gross Margin % is 19.99%, which is 141% above median its own 10-year median of 8.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HY Electronic (Cayman) stock overvalued right now?
Based on GuruFocus' analysis, HY Electronic (Cayman) (TPE:6573) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$10.08, compared to a current price of NT$21.70 — trading 115.3% above its estimated fair value. The current Gross Margin % is 19.99%, which is 141% above median its 10-year median of 8.29 and 32.5% below the Semiconductors industry median of 29.61. HY Electronic (Cayman)'s overall GF Score™ is 48/100 with 7 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 HY Electronic (Cayman) (TPE:6573), the current Gross Margin % is 19.99% 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 HY Electronic (Cayman) (TPE:6573) Overvalued in 2026?
Based on GuruFocus' analysis, HY Electronic (Cayman) stock appears to be overvalued.
The current stock price of NT$21.70 is trading 115.3% above its estimated GF Value™ of NT$10.08.
GuruFocus considers HY Electronic (Cayman) to be Significantly Overvalued.
Key valuation signals for TPE:6573:
Gross Margin %: 19.99% (141% above median its 10-year median of 8.29)
GF Value™: NT$10.08 vs. price of NT$21.70 (115.3% above fair value)
Industry Position: 32.5% below the Semiconductors median (#843 of 1009)
No single metric tells the full story. See the TPE:6573 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
HY Electronic (Cayman) Ltd engages in the manufacture and sale of rectifiers, diode and related semiconductor components. Its products include solar diode, rectifier, diode and other products. The Group operates through the Mainland China Department, Taiwan GPP Department, and Taiwan and HK Sales Department segments, with the Mainland China Department generating maximum revenue. Geographically, the Group generates maximum revenue from China (including H.K.).
48GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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