Dhanlaxmi CotexBOM:512485 54 Gross Margin % is -13.06% as of Mar. 2026. GuruFocus rates BOM:512485 with a GF Score™ of 54/100 and a GF Value™ of ₹64.83 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 616 Capital Markets companies, Dhanlaxmi Cotex ranks worse than 89.61% on this metric.
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
Dhanlaxmi Cotex had a gross margin of -13.06% 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.
Dhanlaxmi Cotex Gross Margin % Related Terms
Dhanlaxmi Cotex Gross Margin % Historical Data
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The historical data trend for Dhanlaxmi Cotex'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.
BOM:512485 vs MS, GS, SCHW: Gross Margin % Comparison
For the Capital Markets subindustry, Dhanlaxmi Cotex'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.
Dhanlaxmi Cotex Gross Margin % vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, Dhanlaxmi Cotex's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Dhanlaxmi Cotex'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.
Dhanlaxmi Cotex (BOM:512485) has a Gross Margin % of -13.06% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Dhanlaxmi Cotex and its competitors. According to the industry distribution chart, Dhanlaxmi Cotex ranks #552 out of 616 companies in the Capital Markets industry, placing it in the top 89.6%.
Is Dhanlaxmi Cotex's Gross Margin % too high?
Dhanlaxmi Cotex's current Gross Margin % is -13.06%. Based on the distribution chart, Dhanlaxmi Cotex ranks #552 out of 616 companies in the Capital Markets industry, which is in the bottom quartile relative to peers. Overall, Dhanlaxmi Cotex has a GF Score™ of 54/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Dhanlaxmi Cotex's Gross Margin % compare to MS and GS?
According to the Capital Markets industry distribution chart, Dhanlaxmi Cotex ranks #552 out of 616 companies for Gross Margin %. This places Dhanlaxmi Cotex in the lower half of its industry. The industry median Gross Margin % is 49.87. 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 Capital Markets company?
The median Gross Margin % among Capital Markets companies is 49.87, based on 616 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 Dhanlaxmi Cotex and its competitors. For the Capital Markets industry, the median Gross Margin % is 49.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dhanlaxmi Cotex's current Gross Margin % is -13.06%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dhanlaxmi Cotex stock overvalued right now?
Based on GuruFocus' analysis, Dhanlaxmi Cotex (BOM:512485) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹64.83, compared to a current price of ₹111.45 — trading 71.9% above its estimated fair value. The current Gross Margin % is -13.06%. Dhanlaxmi Cotex's overall GF Score™ is 54/100 with 4 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 Dhanlaxmi Cotex (BOM:512485), the current Gross Margin % is -13.06% 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 Dhanlaxmi Cotex (BOM:512485) Overvalued in 2026?
Based on GuruFocus' analysis, Dhanlaxmi Cotex stock appears to be overvalued.
The current stock price of ₹111.45 is trading 71.9% above its estimated GF Value™ of ₹64.83.
GuruFocus considers Dhanlaxmi Cotex to be Significantly Overvalued.
Key valuation signals for BOM:512485:
Gross Margin %: -13.06%
GF Value™: ₹64.83 vs. price of ₹111.45 (71.9% above fair value)
No single metric tells the full story. See the BOM:512485 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dhanlaxmi Cotex Ltd is an India-based company involved in trading shares and securities, investing in shares and securities, and financing activities. The group's reportable segments are Fabrics, Shares & Steel. It generates the majority of its revenue from share trading.
54GF Score
Get the complete analysis for BOM:512485
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