The Smarter Web CompanyTSWCF -1.31%13 Gross Margin % is 96.36% as of Oct. 2025, which is 11% above its 10-year median of 87.14. GuruFocus rates TSWCF with a GF Score™ of 13/100. The stock has 1 warning sign investors should review. Among 2,683 Software companies, The Smarter Web Company ranks better than 98.4% on this metric.
TSWCF's Gross Margin % is ranked better than 98.4% of 2683
companies
in the Software industry
Industry Median: 40.45
vs TSWCF: 98.57
The Smarter Web Company had a gross margin of 96.36% for the quarter that ended in Oct. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for The Smarter Web Company was 0.00% per year.
The Smarter Web Company (OTCPK:TSWCF) 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
The Smarter Web Company had a gross margin of 96.36% for the quarter that ended in Oct. 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.
The Smarter Web Company Gross Margin % Related Terms
The Smarter Web Company 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.
TSWCF vs CRM, SHOP, UBER: Gross Margin % Comparison
For the Software - Application subindustry, The Smarter Web Company'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.
The Smarter Web Company Gross Margin % vs Software Industry
For the Software industry and Technology sector, The Smarter Web Company's Gross Margin % distribution charts can be found below:
* The bar in red indicates where The Smarter Web Company'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.
The Smarter Web Company (TSWCF) has a Gross Margin % of 96.36% as of Oct. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on The Smarter Web Company and its competitors. This is 11% above median its historical median of 87.14. Over the past decade, The Smarter Web Company's Gross Margin % has ranged from 87.14 to 98.57. According to the industry distribution chart, The Smarter Web Company ranks #43 out of 2683 companies in the Software industry, placing it in the top 1.6%.
Is The Smarter Web Company's Gross Margin % too high?
The Smarter Web Company's current Gross Margin % of 96.36% is 11% above median its 10-year median of 87.14. Over the past 10 years, this metric has ranged from a low of 87.14 to a high of 98.57. The Software industry median Gross Margin % is 40.45. The Smarter Web Company's value of 96.36% is 138.2% above this industry median. Based on the distribution chart, The Smarter Web Company ranks #43 out of 2683 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, The Smarter Web Company has a GF Score™ of 13/100, reflecting its overall financial health beyond just this single metric.
How does The Smarter Web Company's Gross Margin % compare to CRM and SHOP?
According to the Software industry distribution chart, The Smarter Web Company ranks #43 out of 2683 companies for Gross Margin %. This places The Smarter Web Company in the top 2% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.45. The Smarter Web Company's value of 96.36% is 138.2% above this benchmark. Historically, The Smarter Web Company's own Gross Margin % has ranged from 87.14 to 98.57 over the past decade. While the company's 10-year median is 87.14 vs. the industry median of 40.45, The Smarter Web Company 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 Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,683 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. The Smarter Web Company's current Gross Margin % of 96.36% is 138.2% 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 The Smarter Web Company and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Smarter Web Company's current Gross Margin % is 96.36%, which is 11% above median its own 10-year median of 87.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Smarter Web Company stock overvalued right now?
The Smarter Web Company (TSWCF) has a current Gross Margin % of 96.36%. The current Gross Margin % is 96.36%, which is 11% above median its 10-year median of 87.14 and 138.2% above the Software industry median of 40.45. The Smarter Web Company's overall GF Score™ is 13/100 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 The Smarter Web Company (TSWCF), the current Gross Margin % is 96.36% as of Oct. 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.
The Smarter Web Company PLC is a UK-based web design and online marketing business. Through its operating subsidiary, the company provides customized, mobile-compatible websites and related digital services to small and medium-sized enterprises, start-ups, and owner-managed businesses. It has one operating segment, being the provision of website development services. The majority of the company's revenue is derived from the provision of website design services.
13GF Score
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