BOM:502933's Gross Margin % is ranked worse than 81.12% of 1022
companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 28.545
vs BOM:502933: 11.82
Katare Spinning Mills had a gross margin of -42.28% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Katare Spinning Mills was 10.80% 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
Katare Spinning Mills had a gross margin of -42.28% 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.
Katare Spinning Mills Gross Margin % Related Terms
Katare Spinning Mills Gross Margin % Historical Data
* Premium members only.
The historical data trend for Katare Spinning 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.
For the Textile Manufacturing subindustry, Katare Spinning 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.
Katare Spinning Mills Gross Margin % vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Katare Spinning Mills's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Katare Spinning Mills'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.
Katare Spinning Mills (BOM:502933) has a Gross Margin % of -42.28% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Katare Spinning Mills and its competitors. Over the past decade, Katare Spinning Mills' Gross Margin % has ranged from 5.10 to 18.29. According to the industry distribution chart, Katare Spinning Mills ranks #829 out of 1022 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 81.1%.
Is Katare Spinning Mills' Gross Margin % too high?
Katare Spinning Mills' current Gross Margin % is -42.28%. Over the past 10 years, this metric has ranged from a low of 5.10 to a high of 18.29. Based on the distribution chart, Katare Spinning Mills ranks #829 out of 1022 companies in the Manufacturing - Apparel & Accessories industry, which is in the bottom quartile relative to peers. Overall, Katare Spinning Mills has a GF Score™ of 48/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Katare Spinning Mills' Gross Margin % compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Katare Spinning Mills ranks #829 out of 1022 companies for Gross Margin %. This places Katare Spinning Mills in the lower half of its industry. The industry median Gross Margin % is 28.55. Historically, Katare Spinning Mills' own Gross Margin % has ranged from 5.10 to 18.29 over the past decade. 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 28.55, based on 1,022 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. 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 Katare Spinning Mills and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Gross Margin % is 28.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Katare Spinning Mills's current Gross Margin % is -42.28%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Katare Spinning Mills stock overvalued right now?
Based on GuruFocus' analysis, Katare Spinning Mills (BOM:502933) is currently considered Fairly Valued. The stock's GF Value™ is ₹102.03, compared to a current price of ₹105.60 — trading 3.5% above its estimated fair value. The current Gross Margin % is -42.28%. Katare Spinning Mills' overall GF Score™ is 48/100 with 10 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 Katare Spinning Mills (BOM:502933), the current Gross Margin % is -42.28% 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 Katare Spinning Mills (BOM:502933) Overvalued in 2026?
Based on GuruFocus' analysis, Katare Spinning Mills stock appears to be overvalued.
The current stock price of ₹105.60 is trading 3.5% above its estimated GF Value™ of ₹102.03.
GuruFocus considers Katare Spinning Mills to be Fairly Valued.
Key valuation signals for BOM:502933:
Gross Margin %: -42.28%
GF Value™: ₹102.03 vs. price of ₹105.60 (3.5% above fair value)
No single metric tells the full story. See the BOM:502933 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Katare Spinning Mills Ltd is an India-based company. It is engaged in the business of manufacturing of cotton yarn, solar power generation, and hospitality. Katare Spinning Mills operates through various segments that are Spinning Division and Solar Power. The Spinning Mill segment generates maximum revenue for the company.
48GF Score
Get the complete analysis for BOM:502933
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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