Kobe SteelKBSTF -7.05%74 Gross Margin % is 16.27% as of Mar. 2026, which is 15% above its 10-year median of 14.18. GuruFocus rates KBSTF with a GF Score™ of 74/100 and a GF Value™ of $10.59 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 598 Steel companies, Kobe Steel ranks better than 61.71% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Kobe Steel's Gross Profit for the
three
months ended in Mar. 2026 was $675 Mil. Kobe Steel's Revenue for the
three
months ended in Mar. 2026 was $4,150 Mil. Therefore, Kobe Steel's Gross Margin % for the quarter that ended in Mar. 2026 was 16.27%.
The historical rank and industry rank for Kobe Steel's Gross Margin % or its related term are showing as below:
KBSTF'
s Gross Margin % Range Over the Past 10 Years
Min: 12.36 Med: 14.18 Max: 17.14
Current: 16.55
During the past 13 years, the highestGross Margin % of Kobe Steel was 17.14%. The lowest was 12.36%. And the median was 14.18%.
KBSTF's Gross Margin % is ranked better than 61.71% of 598
companies
in the Steel industry
Industry Median: 12.61
vs KBSTF: 16.55
Kobe Steel had a gross margin of 16.27% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Kobe Steel was 5.30% per year.
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
Kobe Steel had a gross margin of 16.27% 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.
Kobe Steel Gross Margin % Related Terms
Kobe Steel Gross Margin % Historical Data
* Premium members only.
The historical data trend for Kobe Steel'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 Steel subindustry, Kobe Steel'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.
Kobe Steel Gross Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Kobe Steel's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Kobe Steel'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.
Kobe Steel (KBSTF) has a Gross Margin % of 16.27% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Kobe Steel and its competitors. This is 15% above median its historical median of 14.18. Over the past decade, Kobe Steel's Gross Margin % has ranged from 12.36 to 17.14. According to the industry distribution chart, Kobe Steel ranks #229 out of 598 companies in the Steel industry, placing it in the top 38.3%.
Is Kobe Steel's Gross Margin % too high?
Kobe Steel's current Gross Margin % of 16.27% is 15% above median its 10-year median of 14.18. Over the past 10 years, this metric has ranged from a low of 12.36 to a high of 17.14. The Steel industry median Gross Margin % is 12.61. Kobe Steel's value of 16.27% is 29% above this industry median. Based on the distribution chart, Kobe Steel ranks #229 out of 598 companies in the Steel industry, which is above the industry midpoint. Overall, Kobe Steel has a GF Score™ of 74/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kobe Steel's Gross Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Kobe Steel ranks #229 out of 598 companies for Gross Margin %. This puts Kobe Steel in the upper half of its industry. The industry median Gross Margin % is 12.61. Kobe Steel's value of 16.27% is 29% above this benchmark. Historically, Kobe Steel's own Gross Margin % has ranged from 12.36 to 17.14 over the past decade. While the company's 10-year median is 14.18 vs. the industry median of 12.61, Kobe Steel 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 a Steel company?
The median Gross Margin % among Steel companies is 12.61, based on 598 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. Kobe Steel's current Gross Margin % of 16.27% is 29% 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 Kobe Steel and its competitors. For the Steel industry, the median Gross Margin % is 12.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kobe Steel's current Gross Margin % is 16.27%, which is 15% above median its own 10-year median of 14.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kobe Steel stock overvalued right now?
Based on GuruFocus' analysis, Kobe Steel (KBSTF) is currently considered Modestly Overvalued. The stock's GF Value™ is $10.59, compared to a current price of $12.32 — trading 16.3% above its estimated fair value. The current Gross Margin % is 16.27%, which is 15% above median its 10-year median of 14.18 and 29% above the Steel industry median of 12.61. Kobe Steel's overall GF Score™ is 74/100 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 Kobe Steel (KBSTF), the current Gross Margin % is 16.27% 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 Kobe Steel (KBSTF) Overvalued in 2026?
Based on GuruFocus' analysis, Kobe Steel stock appears to be overvalued.
The current stock price of $12.32 is trading 16.3% above its estimated GF Value™ of $10.59.
GuruFocus considers Kobe Steel to be Modestly Overvalued.
Key valuation signals for KBSTF:
Gross Margin %: 16.27% (15% above median its 10-year median of 14.18)
GF Value™: $10.59 vs. price of $12.32 (16.3% above fair value)
Industry Position: 29% above the Steel median (#229 of 598)
No single metric tells the full story. See the KBSTF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kobe Steel Ltd engages in the manufacture, production, and sale of iron and steel. The company operates through seven segments. The Construction Machinery segment offers excavators, cranes, loaders, and workboats. Electric Power supplies electricity through group companies. Engineering handles plants for steel, petrochemicals, nuclear, water, and waste treatment, along with civil engineering and transport systems. Machinery provides compressors, engines, refrigeration, heat pumps, chemical and rubber machinery, and specialty materials. Materials include steel, aluminum, titanium, copper, and forged products. Steel & Aluminum delivers rolled products, plates, wires, and special steels, while Welding covers electrodes, flux, robots, power sources, and related services.
74GF Score
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