Sanima Mai HydropowerXNEP:SHPC +2.43%75 Gross Margin % is 80.18% as of Jul. 2025, which is 11% below its 10-year median of 90.11. GuruFocus rates XNEP:SHPC with a GF Score™ of 75/100 and a GF Value™ of NPR231.61 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 403 Utilities - Independent Power Producers companies, Sanima Mai Hydropower ranks better than 90.82% on this metric.
XNEP:SHPC's Gross Margin % is ranked better than 90.82% of 403
companies
in the Utilities - Independent Power Producers industry
Industry Median: 31.35
vs XNEP:SHPC: 85.18
Sanima Mai Hydropower had a gross margin of 80.18% for the quarter that ended in Jul. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Sanima Mai Hydropower was -1.20% per year.
Sanima Mai Hydropower (XNEP:SHPC) 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
Sanima Mai Hydropower had a gross margin of 80.18% for the quarter that ended in Jul. 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.
Sanima Mai Hydropower Gross Margin % Related Terms
Sanima Mai Hydropower Gross Margin % Historical Data
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The historical data trend for Sanima Mai Hydropower'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.
Sanima Mai Hydropower Gross Margin % Competitor Comparison
For the Utilities - Renewable subindustry, Sanima Mai Hydropower'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.
Sanima Mai Hydropower Gross Margin % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Sanima Mai Hydropower's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Sanima Mai Hydropower'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.
Sanima Mai Hydropower (XNEP:SHPC) has a Gross Margin % of 80.18% as of Jul. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Sanima Mai Hydropower and its competitors. This is 11% below median its historical median of 90.11. Over the past decade, Sanima Mai Hydropower's Gross Margin % has ranged from 85.18 to 90.52. According to the industry distribution chart, Sanima Mai Hydropower ranks #37 out of 403 companies in the Utilities - Independent Power Producers industry, placing it in the top 9.2%.
Is Sanima Mai Hydropower's Gross Margin % too high?
Sanima Mai Hydropower's current Gross Margin % of 80.18% is 11% below median its 10-year median of 90.11. Over the past 10 years, this metric has ranged from a low of 85.18 to a high of 90.52. The Utilities - Independent Power Producers industry median Gross Margin % is 31.35. Sanima Mai Hydropower's value of 80.18% is 155.8% above this industry median. Based on the distribution chart, Sanima Mai Hydropower ranks #37 out of 403 companies in the Utilities - Independent Power Producers industry, which is in the top quartile — a strong position relative to peers. Overall, Sanima Mai Hydropower has a GF Score™ of 75/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sanima Mai Hydropower's Gross Margin % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Sanima Mai Hydropower ranks #37 out of 403 companies for Gross Margin %. This places Sanima Mai Hydropower in the top 9% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 31.35. Sanima Mai Hydropower's value of 80.18% is 155.8% above this benchmark. Historically, Sanima Mai Hydropower's own Gross Margin % has ranged from 85.18 to 90.52 over the past decade. While the company's 10-year median is 90.11 vs. the industry median of 31.35, Sanima Mai Hydropower 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 an Utilities - Independent Power Producers company?
The median Gross Margin % among Utilities - Independent Power Producers companies is 31.35, based on 403 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. Sanima Mai Hydropower's current Gross Margin % of 80.18% is 155.8% 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 Sanima Mai Hydropower and its competitors. For the Utilities - Independent Power Producers industry, the median Gross Margin % is 31.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sanima Mai Hydropower's current Gross Margin % is 80.18%, which is 11% below median its own 10-year median of 90.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sanima Mai Hydropower stock overvalued right now?
Based on GuruFocus' analysis, Sanima Mai Hydropower (XNEP:SHPC) is currently considered Significantly Overvalued. The stock's GF Value™ is NPR231.61, compared to a current price of NPR496.80 — trading 114.5% above its estimated fair value. The current Gross Margin % is 80.18%, which is 11% below median its 10-year median of 90.11 and 155.8% above the Utilities - Independent Power Producers industry median of 31.35. Sanima Mai Hydropower's overall GF Score™ is 75/100 with 5 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 Sanima Mai Hydropower (XNEP:SHPC), the current Gross Margin % is 80.18% as of Jul. 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 Sanima Mai Hydropower (XNEP:SHPC) Overvalued in 2026?
Based on GuruFocus' analysis, Sanima Mai Hydropower stock appears to be overvalued.
The current stock price of NPR496.80 is trading 114.5% above its estimated GF Value™ of NPR231.61.
GuruFocus considers Sanima Mai Hydropower to be Significantly Overvalued.
Key valuation signals for XNEP:SHPC:
Gross Margin %: 80.18% (11% below median its 10-year median of 90.11)
GF Value™: NPR231.61 vs. price of NPR496.80 (114.5% above fair value)
Industry Position: 155.8% above the Utilities - Independent Power Producers median (#37 of 403)
No single metric tells the full story. See the XNEP:SHPC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sanima Mai Hydropower Ltd is a hydropower company. Its activity is to generate and sell hydroelectricity to the Nepal Electricity Authority. The company's operating segment include Mai Hydropower Plant and Mai Cascade Hydropower Plant. It generates maximum revenue from the Mai Hydropower Plant segment. The Mai Hydropower Project is a run-of-the-river hydropower plant with an installed capacity of 22MW.
75GF Score
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