Premier ExplosivesBOM:526247 -1.92%70 Gross Margin % is 41.55% as of Mar. 2026, which is 9% below its 10-year median of 45.55. GuruFocus rates BOM:526247 with a GF Score™ of 70/100 and a GF Value™ of ₹531.87 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 1,560 Chemicals companies, Premier Explosives ranks better than 84.62% on this metric.
Premier Explosives Ltd gross margin has been in long-term decline. The average rate of decline per year is -3.5%.
The historical rank and industry rank for Premier Explosives's Gross Margin % or its related term are showing as below:
BOM:526247'
s Gross Margin % Range Over the Past 10 Years
Min: 37.87 Med: 45.55 Max: 56.71
Current: 42.35
During the past 13 years, the highestGross Margin % of Premier Explosives was 56.71%. The lowest was 37.87%. And the median was 45.55%.
BOM:526247's Gross Margin % is ranked better than 84.62% of 1560
companies
in the Chemicals industry
Industry Median: 23.36
vs BOM:526247: 42.35
Premier Explosives had a gross margin of 41.55% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Premier Explosives was -3.50% per year.
Premier Explosives (BOM:526247) 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
Premier Explosives had a gross margin of 41.55% 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.
Premier Explosives Gross Margin % Related Terms
Premier Explosives Gross Margin % Historical Data
* Premium members only.
The historical data trend for Premier Explosives'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:526247 vs LIN, SHW, ECL: Gross Margin % Comparison
For the Specialty Chemicals subindustry, Premier Explosives'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.
Premier Explosives Gross Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Premier Explosives's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Premier Explosives'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.
Premier Explosives (BOM:526247) has a Gross Margin % of 41.55% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Premier Explosives and its competitors. This is near median its historical median of 45.55. Over the past decade, Premier Explosives' Gross Margin % has ranged from 37.87 to 56.71. According to the industry distribution chart, Premier Explosives ranks #240 out of 1560 companies in the Chemicals industry, placing it in the top 15.4%.
Is Premier Explosives' Gross Margin % too high?
Premier Explosives' current Gross Margin % of 41.55% is near median its 10-year median of 45.55. Over the past 10 years, this metric has ranged from a low of 37.87 to a high of 56.71. The Chemicals industry median Gross Margin % is 23.36. Premier Explosives' value of 41.55% is 77.9% above this industry median. Based on the distribution chart, Premier Explosives ranks #240 out of 1560 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Premier Explosives has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Premier Explosives' Gross Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Premier Explosives ranks #240 out of 1560 companies for Gross Margin %. This places Premier Explosives in the top 15% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 23.36. Premier Explosives' value of 41.55% is 77.9% above this benchmark. Historically, Premier Explosives' own Gross Margin % has ranged from 37.87 to 56.71 over the past decade. While the company's 10-year median is 45.55 vs. the industry median of 23.36, Premier Explosives 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 Chemicals company?
The median Gross Margin % among Chemicals companies is 23.36, based on 1,560 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. Premier Explosives's current Gross Margin % of 41.55% is 77.9% 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 Premier Explosives and its competitors. For the Chemicals industry, the median Gross Margin % is 23.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Premier Explosives's current Gross Margin % is 41.55%, which is near median its own 10-year median of 45.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Premier Explosives stock overvalued right now?
Based on GuruFocus' analysis, Premier Explosives (BOM:526247) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹531.87, compared to a current price of ₹777.90 — trading 46.3% above its estimated fair value. The current Gross Margin % is 41.55%, which is near median its 10-year median of 45.55 and 77.9% above the Chemicals industry median of 23.36. Premier Explosives' overall GF Score™ is 70/100 with 9 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 Premier Explosives (BOM:526247), the current Gross Margin % is 41.55% 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 Premier Explosives (BOM:526247) Overvalued in 2026?
Based on GuruFocus' analysis, Premier Explosives stock appears to be overvalued.
The current stock price of ₹777.90 is trading 46.3% above its estimated GF Value™ of ₹531.87.
GuruFocus considers Premier Explosives to be Significantly Overvalued.
Key valuation signals for BOM:526247:
Gross Margin %: 41.55% (near median its 10-year median of 45.55)
GF Value™: ₹531.87 vs. price of ₹777.90 (46.3% above fair value)
Industry Position: 77.9% above the Chemicals median (#240 of 1560)
No single metric tells the full story. See the BOM:526247 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Premier Explosives Ltd is engaged in the business of high-energy materials, including commercial explosives and defence explosives, which are used in mining and infrastructure sectors and also the manufacture of missiles and other defence items. The company also operates and maintains solid propellant plants of defence and space establishments. Its products include bulk explosives, packaged explosives, detonators, solid propellants, and others. Geographically, it has operations within India and outside India. The company generates the majority of its sales from India.
70GF 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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