111YI -5.65%51 Gross Margin % is 5.33% as of Mar. 2026, which is 7% below its 10-year median of 5.76. GuruFocus rates YI with a GF Score™ of 51/100 and a GF Value™ of $6.67 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 118 Medical Distribution companies, 111 ranks worse than 92.37% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. 111's Gross Profit for the
three
months ended in Mar. 2026 was $18 Mil. 111's Revenue for the
three
months ended in Mar. 2026 was $343 Mil. Therefore, 111's Gross Margin % for the quarter that ended in Mar. 2026 was 5.33%.
The historical rank and industry rank for 111's Gross Margin % or its related term are showing as below:
YI'
s Gross Margin % Range Over the Past 10 Years
Min: 4.18 Med: 5.76 Max: 9.46
Current: 5.74
During the past 10 years, the highestGross Margin % of 111 was 9.46%. The lowest was 4.18%. And the median was 5.76%.
YI's Gross Margin % is ranked worse than 92.37% of 118
companies
in the Medical Distribution industry
Industry Median: 14.975
vs YI: 5.74
111 had a gross margin of 5.33% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for 111 was 4.70% per year.
111 (NAS:YI) 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
111 had a gross margin of 5.33% 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.
111 Gross Margin % Related Terms
111 Gross Margin % Historical Data
* Premium members only.
The historical data trend for 111'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 Medical Distribution subindustry, 111'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.
111 Gross Margin % vs Medical Distribution Industry
For the Medical Distribution industry and Healthcare sector, 111's Gross Margin % distribution charts can be found below:
* The bar in red indicates where 111'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.
111 (YI) has a Gross Margin % of 5.33% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on 111 and its competitors. This is near median its historical median of 5.76. Over the past decade, 111's Gross Margin % has ranged from 4.18 to 9.46. According to the industry distribution chart, 111 ranks #109 out of 118 companies in the Medical Distribution industry, placing it in the top 92.4%.
Is 111's Gross Margin % too high?
111's current Gross Margin % of 5.33% is near median its 10-year median of 5.76. Over the past 10 years, this metric has ranged from a low of 4.18 to a high of 9.46. The Medical Distribution industry median Gross Margin % is 14.98. 111's value of 5.33% is 64.4% below this industry median. Based on the distribution chart, 111 ranks #109 out of 118 companies in the Medical Distribution industry, which is in the bottom quartile relative to peers. Overall, 111 has a GF Score™ of 51/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does 111's Gross Margin % compare to COSM and HKPD?
According to the Medical Distribution industry distribution chart, 111 ranks #109 out of 118 companies for Gross Margin %. This places 111 in the lower half of its industry. The industry median Gross Margin % is 14.98. 111's value of 5.33% is 64.4% below this benchmark. Historically, 111's own Gross Margin % has ranged from 4.18 to 9.46 over the past decade. While the company's 10-year median is 5.76 vs. the industry median of 14.98, 111 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 Medical Distribution company?
The median Gross Margin % among Medical Distribution companies is 14.98, based on 118 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. 111's current Gross Margin % of 5.33% is 64.4% 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 111 and its competitors. For the Medical Distribution industry, the median Gross Margin % is 14.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. 111's current Gross Margin % is 5.33%, which is near median its own 10-year median of 5.76. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is 111 stock overvalued right now?
Based on GuruFocus' analysis, 111 (YI) is currently considered Possible Value Trap. The stock's GF Value™ is $6.67, compared to a current price of $4.01 — trading 39.9% below its estimated fair value. The current Gross Margin % is 5.33%, which is near median its 10-year median of 5.76 and 64.4% below the Medical Distribution industry median of 14.98. 111's overall GF Score™ is 51/100 with 3 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 111 (YI), the current Gross Margin % is 5.33% 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 111 (YI) Overvalued in 2026?
Based on GuruFocus' analysis, 111 stock appears to be undervalued.
The current stock price of $4.01 is trading 39.9% below its estimated GF Value™ of $6.67.
GuruFocus considers 111 to be Possible Value Trap.
Key valuation signals for YI:
Gross Margin %: 5.33% (near median its 10-year median of 5.76)
GF Value™: $6.67 vs. price of $4.01 (39.9% below fair value)
Industry Position: 64.4% below the Medical Distribution median (#109 of 118)
No single metric tells the full story. See the YI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
111 Inc operates an integrated online and offline platform in the healthcare ecosystem in China, whereby the Group is engaged in the sales of medical and wellness products through online retail and wholesale pharmacies and offline retail pharmacies, as well as the provision of certain value-added services, such as online consultation services and e-prescription services to consumers in the People's Republic of China. The company has two operating segments: the B2C segment and B2B segment whereby the B2C business represents revenue generated from individual consumers while the B2B business represents revenue generated from corporate customers. It derives a majority of its revenue from the B2B segment.
51GF Score
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