Dagang NeXchange BhdXKLS:4456 -1.19%56 Gross Margin % is 24.81% as of Mar. 2026, which is 41% below its 10-year median of 41.84. GuruFocus rates XKLS:4456 with a GF Score™ of 56/100 and a GF Value™ of RM0.29 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 2,680 Software companies, Dagang NeXchange Bhd ranks worse than 87.09% on this metric.
Dagang NeXchange Bhd gross margin has been in long-term decline. The average rate of decline per year is -19.2%.
The historical rank and industry rank for Dagang NeXchange Bhd's Gross Margin % or its related term are showing as below:
XKLS:4456'
s Gross Margin % Range Over the Past 10 Years
Min: 14.13 Med: 41.84 Max: 76.78
Current: 14.13
During the past 13 years, the highestGross Margin % of Dagang NeXchange Bhd was 76.78%. The lowest was 14.13%. And the median was 41.84%.
XKLS:4456's Gross Margin % is ranked worse than 87.09% of 2680
companies
in the Software industry
Industry Median: 40.45
vs XKLS:4456: 14.13
Dagang NeXchange Bhd had a gross margin of 24.81% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Dagang NeXchange Bhd was -19.20% per year.
Dagang NeXchange Bhd (XKLS:4456) 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
Dagang NeXchange Bhd had a gross margin of 24.81% for the quarter that ended in Mar. 2026 => Competition eroding margins
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.
Dagang NeXchange Bhd Gross Margin % Related Terms
Dagang NeXchange Bhd Gross Margin % Historical Data
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The historical data trend for Dagang NeXchange Bhd'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.
XKLS:4456 vs IBM, ACN, FISV: Gross Margin % Comparison
For the Information Technology Services subindustry, Dagang NeXchange Bhd'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.
Dagang NeXchange Bhd Gross Margin % vs Software Industry
For the Software industry and Technology sector, Dagang NeXchange Bhd's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Dagang NeXchange Bhd'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.
Dagang NeXchange Bhd (XKLS:4456) has a Gross Margin % of 24.81% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Dagang NeXchange Bhd and its competitors. This is 41% below median its historical median of 41.84. Over the past decade, Dagang NeXchange Bhd's Gross Margin % has ranged from 14.13 to 76.78. According to the industry distribution chart, Dagang NeXchange Bhd ranks #2334 out of 2680 companies in the Software industry, placing it in the top 87.1%.
Is Dagang NeXchange Bhd's Gross Margin % too high?
Dagang NeXchange Bhd's current Gross Margin % of 24.81% is 41% below median its 10-year median of 41.84. Over the past 10 years, this metric has ranged from a low of 14.13 to a high of 76.78. The Software industry median Gross Margin % is 40.45. Dagang NeXchange Bhd's value of 24.81% is 38.7% below this industry median. Based on the distribution chart, Dagang NeXchange Bhd ranks #2334 out of 2680 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Dagang NeXchange Bhd has a GF Score™ of 56/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Dagang NeXchange Bhd's Gross Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Dagang NeXchange Bhd ranks #2334 out of 2680 companies for Gross Margin %. This places Dagang NeXchange Bhd in the lower half of its industry. The industry median Gross Margin % is 40.45. Dagang NeXchange Bhd's value of 24.81% is 38.7% below this benchmark. Historically, Dagang NeXchange Bhd's own Gross Margin % has ranged from 14.13 to 76.78 over the past decade. While the company's 10-year median is 41.84 vs. the industry median of 40.45, Dagang NeXchange Bhd 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 Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,680 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. Dagang NeXchange Bhd's current Gross Margin % of 24.81% is 38.7% 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 Dagang NeXchange Bhd 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. Dagang NeXchange Bhd's current Gross Margin % is 24.81%, which is 41% below median its own 10-year median of 41.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dagang NeXchange Bhd stock overvalued right now?
Based on GuruFocus' analysis, Dagang NeXchange Bhd (XKLS:4456) is currently considered Significantly Overvalued. The stock's GF Value™ is RM0.29, compared to a current price of RM0.42 — trading 43.1% above its estimated fair value. The current Gross Margin % is 24.81%, which is 41% below median its 10-year median of 41.84 and 38.7% below the Software industry median of 40.45. Dagang NeXchange Bhd's overall GF Score™ is 56/100 with 9 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 Dagang NeXchange Bhd (XKLS:4456), the current Gross Margin % is 24.81% as of Mar. 2026. 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 Dagang NeXchange Bhd (XKLS:4456) Overvalued in 2026?
Based on GuruFocus' analysis, Dagang NeXchange Bhd stock appears to be overvalued.
The current stock price of RM0.42 is trading 43.1% above its estimated GF Value™ of RM0.29.
GuruFocus considers Dagang NeXchange Bhd to be Significantly Overvalued.
Key valuation signals for XKLS:4456:
Gross Margin %: 24.81% (41% below median its 10-year median of 41.84)
GF Value™: RM0.29 vs. price of RM0.42 (43.1% above fair value)
Industry Position: 38.7% below the Software median (#2334 of 2680)
No single metric tells the full story. See the XKLS:4456 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dagang NeXchange Bhd is a Malaysia based company. The business operates in various segments that include Corporate, Information technology, Energy and Semiconductor. Corporate is in provision of corporate services to the entities within the group. Information technology which include Supply, delivery, installation, testing, commissioning and maintenance of IT hardware, development, management and B2G e-commerce. Energy includes providing upstream oil and gas exploration, production, sale of oil and gas related equipment and services, provision of engineering, technical support and energy related business. Key revenue is generated from Semiconductor segment which consists manufacturing of semiconductor wafers ,supplies multinational fables, sales of semiconductor related tools and others.
56GF Score
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