Wang- Zheng BhdXKLS:7203 51 Gross Margin % is 11.90% as of Mar. 2026, which is 3% below its 10-year median of 12.25. GuruFocus rates XKLS:7203 with a GF Score™ of 51/100 and a GF Value™ of RM0.57 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 279 Forest Products companies, Wang- Zheng Bhd ranks worse than 74.19% on this metric.
Wang- Zheng Bhd gross margin has been in long-term decline. The average rate of decline per year is -8.1%.
The historical rank and industry rank for Wang- Zheng Bhd's Gross Margin % or its related term are showing as below:
XKLS:7203'
s Gross Margin % Range Over the Past 10 Years
Min: 8.76 Med: 12.25 Max: 14.07
Current: 9.89
During the past 13 years, the highestGross Margin % of Wang- Zheng Bhd was 14.07%. The lowest was 8.76%. And the median was 12.25%.
XKLS:7203's Gross Margin % is ranked worse than 74.19% of 279
companies
in the Forest Products industry
Industry Median: 19.05
vs XKLS:7203: 9.89
Wang- Zheng Bhd had a gross margin of 11.90% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Wang- Zheng Bhd was -8.10% per year.
Wang- Zheng Bhd (XKLS:7203) 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
Wang- Zheng Bhd had a gross margin of 11.90% for the quarter that ended in Mar. 2026 => 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.
Wang- Zheng Bhd Gross Margin % Related Terms
Wang- Zheng Bhd Gross Margin % Historical Data
* Premium members only.
The historical data trend for Wang- Zheng 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.
For the Paper & Paper Products subindustry, Wang- Zheng 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.
Wang- Zheng Bhd Gross Margin % vs Forest Products Industry
For the Forest Products industry and Basic Materials sector, Wang- Zheng Bhd's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Wang- Zheng 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.
Wang- Zheng Bhd (XKLS:7203) has a Gross Margin % of 11.90% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Wang- Zheng Bhd and its competitors. This is near median its historical median of 12.25. Over the past decade, Wang- Zheng Bhd's Gross Margin % has ranged from 8.76 to 14.07. According to the industry distribution chart, Wang- Zheng Bhd ranks #207 out of 279 companies in the Forest Products industry, placing it in the top 74.2%.
Is Wang- Zheng Bhd's Gross Margin % too high?
Wang- Zheng Bhd's current Gross Margin % of 11.90% is near median its 10-year median of 12.25. Over the past 10 years, this metric has ranged from a low of 8.76 to a high of 14.07. The Forest Products industry median Gross Margin % is 19.05. Wang- Zheng Bhd's value of 11.90% is 37.5% below this industry median. Based on the distribution chart, Wang- Zheng Bhd ranks #207 out of 279 companies in the Forest Products industry, which is below the industry midpoint. Overall, Wang- Zheng Bhd has a GF Score™ of 51/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Wang- Zheng Bhd's Gross Margin % compare to SLVM?
According to the Forest Products industry distribution chart, Wang- Zheng Bhd ranks #207 out of 279 companies for Gross Margin %. This places Wang- Zheng Bhd in the lower half of its industry. The industry median Gross Margin % is 19.05. Wang- Zheng Bhd's value of 11.90% is 37.5% below this benchmark. Historically, Wang- Zheng Bhd's own Gross Margin % has ranged from 8.76 to 14.07 over the past decade. While the company's 10-year median is 12.25 vs. the industry median of 19.05, Wang- Zheng 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 Forest Products company?
The median Gross Margin % among Forest Products companies is 19.05, based on 279 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. Wang- Zheng Bhd's current Gross Margin % of 11.90% is 37.5% 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 Wang- Zheng Bhd and its competitors. For the Forest Products industry, the median Gross Margin % is 19.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Wang- Zheng Bhd's current Gross Margin % is 11.90%, which is near median its own 10-year median of 12.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wang- Zheng Bhd stock overvalued right now?
Based on GuruFocus' analysis, Wang- Zheng Bhd (XKLS:7203) is currently considered Significantly Undervalued. The stock's GF Value™ is RM0.57, compared to a current price of RM0.38 — trading 33.3% below its estimated fair value. The current Gross Margin % is 11.90%, which is near median its 10-year median of 12.25 and 37.5% below the Forest Products industry median of 19.05. Wang- Zheng Bhd's overall GF Score™ is 51/100 with 4 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 Wang- Zheng Bhd (XKLS:7203), the current Gross Margin % is 11.90% 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 Wang- Zheng Bhd (XKLS:7203) Overvalued in 2026?
Based on GuruFocus' analysis, Wang- Zheng Bhd stock appears to be undervalued.
The current stock price of RM0.38 is trading 33.3% below its estimated GF Value™ of RM0.57.
GuruFocus considers Wang- Zheng Bhd to be Significantly Undervalued.
Key valuation signals for XKLS:7203:
Gross Margin %: 11.90% (near median its 10-year median of 12.25)
GF Value™: RM0.57 vs. price of RM0.38 (33.3% below fair value)
Industry Position: 37.5% below the Forest Products median (#207 of 279)
No single metric tells the full story. See the XKLS:7203 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Wang- Zheng Bhd is an investment holding company. Through its subsidiaries, the company is involved in the manufacturing and processing of fiber-based products, which include disposable adult and baby diapers, sanitary protection and tissue products, cotton products, and processed papers. It has three segments, Processed Paper Products segment; which comprises of processed and distributed papers including wood-free paper and art paper; Disposable Fibre-Based products segment, which comprises of manufacture and distribution of a wide range of disposable adult and baby diapers, sanitary protection, tissue products, and cotton products; and Investment holding and others; which engages in investment holding and others. Key revenue is generated from Processed papers products segment.
51GF Score
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