H P Cotton Textile Mills (BOM:502873) Gross Margin %: 70.10% (As of Mar. 2026) — 29% Above Median

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BOM:502873 H P Cotton Textile Mills Ltd BOM:502873
62 GF Score
Price ₹103.95
GF Value ₹169.24
Valuation Significantly Undervalued
! 3 Warning Signs
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What is H P Cotton Textile Mills Gross Margin %?

H P Cotton Textile Mills BOM:502873 62 Gross Margin % is 70.10% as of Mar. 2026, which is 29% above its 10-year median of 54.34. GuruFocus rates BOM:502873 with a GF Score™ of 62/100 and a GF Value™ of ₹169.24 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 1,025 Manufacturing - Apparel & Accessories companies, H P Cotton Textile Mills ranks better than 89.46% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. H P Cotton Textile Mills's Gross Profit for the three months ended in Mar. 2026 was ₹193 Mil. H P Cotton Textile Mills's Revenue for the three months ended in Mar. 2026 was ₹276 Mil. Therefore, H P Cotton Textile Mills's Gross Margin % for the quarter that ended in Mar. 2026 was 70.10%.


The historical rank and industry rank for H P Cotton Textile Mills's Gross Margin % or its related term are showing as below:

BOM:502873' s Gross Margin % Range Over the Past 10 Years
Min: 40.24   Med: 54.34   Max: 61.58
Current: 61.57


During the past 13 years, the highest Gross Margin % of H P Cotton Textile Mills was 61.58%. The lowest was 40.24%. And the median was 54.34%.

BOM:502873's Gross Margin % is ranked better than
89.46% of 1025 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 28.34 vs BOM:502873: 61.57

H P Cotton Textile Mills had a gross margin of 70.10% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for H P Cotton Textile Mills was 2.50% per year.


H P Cotton Textile Mills  (BOM:502873) 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

H P Cotton Textile Mills had a gross margin of 70.10% for the quarter that ended in Mar. 2026 => 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.


H P Cotton Textile Mills Gross Margin % Related Terms


H P Cotton Textile Mills Gross Margin % Historical Data

* Premium members only.

The historical data trend for H P Cotton Textile Mills'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.

H P Cotton Textile Mills Gross Margin % Chart

H P Cotton Textile Mills Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 53.29 42.68 55.38 59.21 61.58

H P Cotton Textile Mills Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 56.96 56.75 59.27 62.09 70.10

H P Cotton Textile Mills Gross Margin % Competitor Comparison

For the Textile Manufacturing subindustry, H P Cotton Textile Mills'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.


H P Cotton Textile Mills Gross Margin % vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, H P Cotton Textile Mills's Gross Margin % distribution charts can be found below:

* The bar in red indicates where H P Cotton Textile Mills's Gross Margin % falls into.


BOM:502873
62GF Score
H P Cotton Textile Mills Ltd BOM:502873
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

H P Cotton Textile Mills Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

H P Cotton Textile Mills's Gross Margin for the fiscal year that ended in Mar. 2026 is calculated as

Gross Margin % (A: Mar. 2026 )=Gross Profit (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=809.8 / 1315
=(Revenue - Cost of Goods Sold) / Revenue
=(1315 - 505.2) / 1315
=61.58 %

H P Cotton Textile Mills's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=193.2 / 275.6
=(Revenue - Cost of Goods Sold) / Revenue
=(275.6 - 82.4) / 275.6
=70.10 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 70.10% mean?
H P Cotton Textile Mills (BOM:502873) has a Gross Margin % of 70.10% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on H P Cotton Textile Mills and its competitors. This is 29% above median its historical median of 54.34. Over the past decade, H P Cotton Textile Mills' Gross Margin % has ranged from 40.24 to 61.58. According to the industry distribution chart, H P Cotton Textile Mills ranks #108 out of 1025 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 10.5%.
Is H P Cotton Textile Mills' Gross Margin % too high?
H P Cotton Textile Mills' current Gross Margin % of 70.10% is 29% above median its 10-year median of 54.34. Over the past 10 years, this metric has ranged from a low of 40.24 to a high of 61.58. The Manufacturing - Apparel & Accessories industry median Gross Margin % is 28.34. H P Cotton Textile Mills' value of 70.10% is 147.4% above this industry median. Based on the distribution chart, H P Cotton Textile Mills ranks #108 out of 1025 companies in the Manufacturing - Apparel & Accessories industry, which is in the top quartile — a strong position relative to peers. Overall, H P Cotton Textile Mills has a GF Score™ of 62/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does H P Cotton Textile Mills' Gross Margin % compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, H P Cotton Textile Mills ranks #108 out of 1025 companies for Gross Margin %. This places H P Cotton Textile Mills in the top 11% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 28.34. H P Cotton Textile Mills' value of 70.10% is 147.4% above this benchmark. Historically, H P Cotton Textile Mills' own Gross Margin % has ranged from 40.24 to 61.58 over the past decade. While the company's 10-year median is 54.34 vs. the industry median of 28.34, H P Cotton Textile Mills 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 Manufacturing - Apparel & Accessories company?
The median Gross Margin % among Manufacturing - Apparel & Accessories companies is 28.34, based on 1,025 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. H P Cotton Textile Mills's current Gross Margin % of 70.10% is 147.4% 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 H P Cotton Textile Mills and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Gross Margin % is 28.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. H P Cotton Textile Mills's current Gross Margin % is 70.10%, which is 29% above median its own 10-year median of 54.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is H P Cotton Textile Mills stock overvalued right now?
Based on GuruFocus' analysis, H P Cotton Textile Mills (BOM:502873) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹169.24, compared to a current price of ₹103.95 — trading 38.6% below its estimated fair value. The current Gross Margin % is 70.10%, which is 29% above median its 10-year median of 54.34 and 147.4% above the Manufacturing - Apparel & Accessories industry median of 28.34. H P Cotton Textile Mills' overall GF Score™ is 62/100 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 H P Cotton Textile Mills (BOM:502873), the current Gross Margin % is 70.10% 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 H P Cotton Textile Mills (BOM:502873) Overvalued in 2026?

Based on GuruFocus' analysis, H P Cotton Textile Mills stock appears to be undervalued. The current stock price of ₹103.95 is trading 38.6% below its estimated GF Value™ of ₹169.24. GuruFocus considers H P Cotton Textile Mills to be Significantly Undervalued.

Key valuation signals for BOM:502873:

  • Gross Margin %: 70.10% (29% above median its 10-year median of 54.34)
  • GF Value™: ₹169.24 vs. price of ₹103.95 (38.6% below fair value)
  • GF Score™: 62/100 with 3 warning signs
  • Industry Position: 147.4% above the Manufacturing - Apparel & Accessories median (#108 of 1025)

No single metric tells the full story. See the BOM:502873 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


H P Cotton Textile Mills Business Description

Address 1 & 2, Old Ishwar Nagar, Mathura Road, F (0), The Mira Corporate Suites, New Delhi, IND, 110065
H P Cotton Textile Mills Ltd manufactures cotton yarns and threads and is an exporter of cotton specialty yarns and cotton sewing threads. The Company operates in only one segment, which is the manufacturing of Threads. It manufactures two types of threads namely sewing threads and hosiery yarn. Its product portfolio includes Crocheta Crochet Threads, Peecock Hand Knitting Yarn, Embroidery Threads, Lace Threads, Patchwork and Quilting, Kite Flying Thread, Cotton Sewing Threads, and Mercerized Cotton RFD Threads. Geographically, the company generates sales both in India and internationally, with a vast majority of its revenue derived from sewing thread products exported to markets outside India.
62GF Score

Get the complete analysis for BOM:502873

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

₹103.95
Price
₹169.24
GF Value