Vista Group International (OTCPK:VGLIF) 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
Vista Group International had a gross margin of 60.78% 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.
Vista Group International Gross Margin % Related Terms
Vista Group International 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.
VGLIF vs CRM, SHOP, UBER: Gross Margin % Comparison
For the Software - Application subindustry, Vista Group International'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.
Vista Group International Gross Margin % vs Software Industry
For the Software industry and Technology sector, Vista Group International's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Vista Group International'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.
Vista Group International (VGLIF) has a Gross Margin % of 60.78% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Vista Group International and its competitors. This is 30% below median its historical median of 87.00. Over the past decade, Vista Group International's Gross Margin % has ranged from 58.00 to 87.27. According to the industry distribution chart, Vista Group International ranks #845 out of 2683 companies in the Software industry, placing it in the top 31.5%.
Is Vista Group International's Gross Margin % too high?
Vista Group International's current Gross Margin % of 60.78% is 30% below median its 10-year median of 87.00. Over the past 10 years, this metric has ranged from a low of 58.00 to a high of 87.27. The Software industry median Gross Margin % is 40.45. Vista Group International's value of 60.78% is 50.3% above this industry median. Based on the distribution chart, Vista Group International ranks #845 out of 2683 companies in the Software industry, which is above the industry midpoint. Overall, Vista Group International has a GF Score™ of 83/100, reflecting its overall financial health beyond just this single metric.
How does Vista Group International's Gross Margin % compare to CRM and SHOP?
According to the Software industry distribution chart, Vista Group International ranks #845 out of 2683 companies for Gross Margin %. This puts Vista Group International in the upper half of its industry. The industry median Gross Margin % is 40.45. Vista Group International's value of 60.78% is 50.3% above this benchmark. Historically, Vista Group International's own Gross Margin % has ranged from 58.00 to 87.27 over the past decade. While the company's 10-year median is 87.00 vs. the industry median of 40.45, Vista Group International 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. Vista Group International's current Gross Margin % of 60.78% is 50.3% 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 Vista Group International 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. Vista Group International's current Gross Margin % is 60.78%, which is 30% below median its own 10-year median of 87.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vista Group International stock overvalued right now?
Vista Group International (VGLIF) has a current Gross Margin % of 60.78%. The stock's GF Value™ is $1.44, compared to a current price of $1.25 — trading 13.2% below its estimated fair value. The current Gross Margin % is 60.78%, which is 30% below median its 10-year median of 87.00 and 50.3% above the Software industry median of 40.45. Vista Group International's overall GF Score™ is 83/100 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 Vista Group International (VGLIF), the current Gross Margin % is 60.78% 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 Vista Group International (VGLIF) Overvalued in 2026?
Based on GuruFocus' analysis, Vista Group International stock appears to be undervalued.
The current stock price of $1.25 is trading 13.2% below its estimated GF Value™ of $1.44.
Key valuation signals for VGLIF:
Gross Margin %: 60.78% (30% below median its 10-year median of 87.00)
GF Value™: $1.44 vs. price of $1.25 (13.2% below fair value)
Industry Position: 50.3% above the Software median (#845 of 2683)
No single metric tells the full story. See the VGLIF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Vista Group International Ltd provides software and technology solutions across the global film industry sectors of distribution, exhibition, and the end consumer, moviegoers. The principal activity is the sale, support, and associated development of software for the film industry. The company operates in the vertical cinema/film market in the following reportable segments namely the Cinema segment and Film segment. The company has offices in New Zealand, with additional offices located in Sydney, Cape Town, London, Amsterdam, Beijing, Shanghai, Kuala Lumpur, Los Angeles, and Mexico City.
83GF Score
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