China National MedicinesSHSE:600511 +1.62%86 Net Margin % is 3.50% as of Mar. 2026, which is 5% below its 10-year median of 3.70. GuruFocus rates SHSE:600511 with a GF Score™ of 86/100 and a GF Value™ of ¥32.74 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 117 Medical Distribution companies, China National Medicines ranks better than 71.79% on this metric.
The historical rank and industry rank for China National Medicines's Net Margin % or its related term are showing as below:
SHSE:600511'
s Net Margin % Range Over the Past 10 Years
Min: 2.86 Med: 3.7 Max: 4.32
Current: 3.77
SHSE:600511's Net Margin % is ranked better than 71.79% of 117
companies
in the Medical Distribution industry
Industry Median: 1.47
vs SHSE:600511: 3.77
China National Medicines (SHSE:600511) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
China National Medicines Net Margin % Related Terms
China National Medicines Net Margin % Historical Data
* 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.
SHSE:600511 vs MCK, CAH, COR: Net Margin % Comparison
For the Medical Distribution subindustry, China National Medicines's Net Margin %, along with its competitors' market caps and Net 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.
China National Medicines Net Margin % vs Medical Distribution Industry
For the Medical Distribution industry and Healthcare sector, China National Medicines's Net Margin % distribution charts can be found below:
* The bar in red indicates where China National Medicines's Net 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.
China National Medicines (SHSE:600511) has a Net Margin % of 3.50% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on China National Medicines and its competitors. This is near median its historical median of 3.70. Over the past decade, China National Medicines' Net Margin % has ranged from 2.86 to 4.32. According to the industry distribution chart, China National Medicines ranks #33 out of 117 companies in the Medical Distribution industry, placing it in the top 28.2%.
Is China National Medicines' Net Margin % too high?
China National Medicines' current Net Margin % of 3.50% is near median its 10-year median of 3.70. Over the past 10 years, this metric has ranged from a low of 2.86 to a high of 4.32. The Medical Distribution industry median Net Margin % is 1.47. China National Medicines' value of 3.50% is 138.1% above this industry median. Based on the distribution chart, China National Medicines ranks #33 out of 117 companies in the Medical Distribution industry, which is above the industry midpoint. Overall, China National Medicines has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does China National Medicines' Net Margin % compare to MCK and CAH?
According to the Medical Distribution industry distribution chart, China National Medicines ranks #33 out of 117 companies for Net Margin %. This puts China National Medicines in the upper half of its industry. The industry median Net Margin % is 1.47. China National Medicines' value of 3.50% is 138.1% above this benchmark. Historically, China National Medicines' own Net Margin % has ranged from 2.86 to 4.32 over the past decade. While the company's 10-year median is 3.70 vs. the industry median of 1.47, China National Medicines 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 Net Margin % for a Medical Distribution company?
The median Net Margin % among Medical Distribution companies is 1.47, based on 117 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. China National Medicines's current Net Margin % of 3.50% is 138.1% 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 Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on China National Medicines and its competitors. For the Medical Distribution industry, the median Net Margin % is 1.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China National Medicines's current Net Margin % is 3.50%, which is near median its own 10-year median of 3.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China National Medicines stock overvalued right now?
Based on GuruFocus' analysis, China National Medicines (SHSE:600511) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥32.74, compared to a current price of ¥26.94 — trading 17.7% below its estimated fair value. The current Net Margin % is 3.50%, which is near median its 10-year median of 3.70 and 138.1% above the Medical Distribution industry median of 1.47. China National Medicines' overall GF Score™ is 86/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For China National Medicines (SHSE:600511), the current Net Margin % is 3.50% 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 China National Medicines (SHSE:600511) Overvalued in 2026?
Based on GuruFocus' analysis, China National Medicines stock appears to be undervalued.
The current stock price of ¥26.94 is trading 17.7% below its estimated GF Value™ of ¥32.74.
GuruFocus considers China National Medicines to be Modestly Undervalued.
Key valuation signals for SHSE:600511:
Net Margin %: 3.50% (near median its 10-year median of 3.70)
GF Value™: ¥32.74 vs. price of ¥26.94 (17.7% below fair value)
Industry Position: 138.1% above the Medical Distribution median (#33 of 117)
No single metric tells the full story. See the SHSE:600511 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China National Medicines Corp Ltd focuses on producing special drugs and high-end prescription drugs. Its main goal is to provide customers with professional medical services. The company conducts its operations through two primary segments. The Commercial segment is mainly engaged in the sale of pharmaceuticals. The Others segment focuses on pharmaceutical manufacturing and logistics operations.
86GF Score
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