VTech Holdings (FRA:VTCB) Moat Score: 6/10 (As of Jul. 04, 2026)


FRA:VTCB VTech Holdings Ltd FRA:VTCB
80 GF Score
Price €5.70
GF Value €5.70
Valuation Fairly Valued
! 3 Warning Signs
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What is VTech Holdings Moat Score?

VTech Holdings FRA:VTCB 80 Moat Score is 6 as of Jul. 04, 2026. GuruFocus rates FRA:VTCB with a GF Score™ of 80/100 and a GF Value™ of €5.70 (Fairly Valued). The stock has 3 warning signs investors should review. Among 2,470 Hardware companies, VTech Holdings ranks better than 98.79% on this metric.

VTech Holdings has the Moat Score of 6, which implies that the company might have Narrow Moat - Strong narrow moat, clearly distinguishable but not wide.

VTech Holdings has Narrow Moat: VTech Holdings Ltd has a strong narrow moat with a well-established brand in electronic learning products and telecommunication equipment. It benefits from economies of scale and some customer loyalty, but lacks the regulatory barriers and pricing power to be considered a wide moat.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes VTech Holdings might have Narrow Moat - Strong narrow moat, clearly distinguishable but not wide.

VTech Holdings  (FRA:VTCB) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

VTech Holdings Moat Score Related Terms

FRA:VTCB vs CSCO, CIEN, MSI: Moat Score Comparison

For the Communication Equipment subindustry, VTech Holdings's Moat Score, along with its competitors' market caps and Moat Score 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.

VTech Holdings Moat Score vs Hardware Industry

For the Hardware industry and Technology sector, VTech Holdings's Moat Score distribution charts can be found below:

* The bar in red indicates where VTech Holdings's Moat Score falls into.


FRA:VTCB
80GF Score
VTech Holdings Ltd FRA:VTCB
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 6 mean?
VTech Holdings (FRA:VTCB) has a Moat Score of 6 as of Jul. 04, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, VTech Holdings ranks #30 out of 2470 companies in the Hardware industry, placing it in the top 1.2%.
Is VTech Holdings' Moat Score too high?
VTech Holdings' current Moat Score is 6. Based on the distribution chart, VTech Holdings ranks #30 out of 2470 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, VTech Holdings has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does VTech Holdings' Moat Score compare to CSCO and CIEN?
According to the Hardware industry distribution chart, VTech Holdings ranks #30 out of 2470 companies for Moat Score. This places VTech Holdings in the top 1% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Hardware company?
A good Moat Score depends on the Hardware industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. VTech Holdings's current Moat Score is 6. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is VTech Holdings stock overvalued right now?
Based on GuruFocus' analysis, VTech Holdings (FRA:VTCB) is currently considered Fairly Valued. The stock's GF Value™ is €5.70, compared to a current price of €5.70 — trading right at its estimated fair value. The current Moat Score is 6. VTech Holdings' overall GF Score™ is 80/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For VTech Holdings (FRA:VTCB), the current Moat Score is 6 as of Jul. 04, 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 VTech Holdings (FRA:VTCB) Overvalued in 2026?

Based on GuruFocus' analysis, VTech Holdings stock appears to be undervalued. The current stock price of €5.70 is trading 0% below its estimated GF Value™ of €5.70. GuruFocus considers VTech Holdings to be Fairly Valued.

Key valuation signals for FRA:VTCB:

  • Moat Score: 6
  • GF Value™: €5.70 vs. price of €5.70 (0% below fair value)
  • GF Score™: 80/100 with 3 warning signs

No single metric tells the full story. See the FRA:VTCB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

VTech Holdings Business Description

Address Block 1, 57 Ting Kok Road, 23rd Floor, Tai Ping Industrial Centre, Tai Po, New Territories, Hong Kong, HKG
VTech Holdings Ltd is engaged in the designing, manufacturing, and distribution of consumer electronic products. It also provides contract manufacturing services. The company's diverse collection of products includes Telephone Products, Business Phones, Electronic Learning Toys, Baby Monitors, and Hospitality Products. In addition, it offers turnkey services to customers in several product categories. The company operates through four reportable segments: North America, (including the United States and Canada), Europe, Asia Pacific, and Others, which covers sales of electronic products to the rest of the world. It generates maximum revenue from Europe.
80GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€5.70
Price
€5.70
GF Value