Centum ElectronicsBOM:517544 +2.40%48 Gross Margin % is 30.52% as of Mar. 2026, which is 43% below its 10-year median of 53.86. GuruFocus rates BOM:517544 with a GF Score™ of 48/100 and a GF Value™ of ₹1,301.34 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 2,450 Hardware companies, Centum Electronics ranks better than 78.86% on this metric.
Centum Electronics Ltd gross margin has been in long-term decline. The average rate of decline per year is -9.8%.
The historical rank and industry rank for Centum Electronics's Gross Margin % or its related term are showing as below:
BOM:517544'
s Gross Margin % Range Over the Past 10 Years
Min: 34.58 Med: 53.86 Max: 58.28
Current: 41.63
During the past 13 years, the highestGross Margin % of Centum Electronics was 58.28%. The lowest was 34.58%. And the median was 53.86%.
BOM:517544's Gross Margin % is ranked better than 78.86% of 2450
companies
in the Hardware industry
Industry Median: 24.53
vs BOM:517544: 41.63
Centum Electronics had a gross margin of 30.52% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Centum Electronics was -9.80% per year.
Centum Electronics (BOM:517544) 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
Centum Electronics had a gross margin of 30.52% for the quarter that ended in Mar. 2026 => Competition eroding margins
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.
Centum Electronics Gross Margin % Related Terms
Centum Electronics Gross Margin % Historical Data
* Premium members only.
The historical data trend for Centum Electronics'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 Electronic Components subindustry, Centum Electronics'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.
Centum Electronics Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Centum Electronics's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Centum Electronics'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.
Centum Electronics (BOM:517544) has a Gross Margin % of 30.52% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Centum Electronics and its competitors. This is 43% below median its historical median of 53.86. Over the past decade, Centum Electronics' Gross Margin % has ranged from 34.58 to 58.28. According to the industry distribution chart, Centum Electronics ranks #518 out of 2450 companies in the Hardware industry, placing it in the top 21.1%.
Is Centum Electronics' Gross Margin % too high?
Centum Electronics' current Gross Margin % of 30.52% is 43% below median its 10-year median of 53.86. Over the past 10 years, this metric has ranged from a low of 34.58 to a high of 58.28. The Hardware industry median Gross Margin % is 24.53. Centum Electronics' value of 30.52% is 24.4% above this industry median. Based on the distribution chart, Centum Electronics ranks #518 out of 2450 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Centum Electronics has a GF Score™ of 48/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Centum Electronics' Gross Margin % compare to APH and GLW?
According to the Hardware industry distribution chart, Centum Electronics ranks #518 out of 2450 companies for Gross Margin %. This places Centum Electronics in the top 21% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 24.53. Centum Electronics' value of 30.52% is 24.4% above this benchmark. Historically, Centum Electronics' own Gross Margin % has ranged from 34.58 to 58.28 over the past decade. While the company's 10-year median is 53.86 vs. the industry median of 24.53, Centum Electronics 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.53, based on 2,450 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. Centum Electronics's current Gross Margin % of 30.52% is 24.4% 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 Centum Electronics and its competitors. For the Hardware industry, the median Gross Margin % is 24.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Centum Electronics's current Gross Margin % is 30.52%, which is 43% below median its own 10-year median of 53.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Centum Electronics stock overvalued right now?
Based on GuruFocus' analysis, Centum Electronics (BOM:517544) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹1,301.34, compared to a current price of ₹3,645.05 — trading 180.1% above its estimated fair value. The current Gross Margin % is 30.52%, which is 43% below median its 10-year median of 53.86 and 24.4% above the Hardware industry median of 24.53. Centum Electronics' overall GF Score™ is 48/100 with 6 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 Centum Electronics (BOM:517544), the current Gross Margin % is 30.52% 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 Centum Electronics (BOM:517544) Overvalued in 2026?
Based on GuruFocus' analysis, Centum Electronics stock appears to be overvalued.
The current stock price of ₹3,645.05 is trading 180.1% above its estimated GF Value™ of ₹1,301.34.
GuruFocus considers Centum Electronics to be Significantly Overvalued.
Key valuation signals for BOM:517544:
Gross Margin %: 30.52% (43% below median its 10-year median of 53.86)
GF Value™: ₹1,301.34 vs. price of ₹3,645.05 (180.1% above fair value)
Industry Position: 24.4% above the Hardware median (#518 of 2450)
No single metric tells the full story. See the BOM:517544 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Centum Electronics Ltd designs, manufactures, and exports electronic products. It also provides design services to its customers, and these include systems, subsystems, modules, and complex electronic components. It provides mission-critical services and solutions to customers engaged in the Defence, Aerospace, Space, Medical, Transportation, and Industrial segments. The company's only operating segment is Electronic System Design and Manufacturing. Its geographical segments include India, its key revenue-generating market; Europe and the UK; North America; and the Rest of the world.
48GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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