The historical rank and industry rank for Challani Capital's Gross Margin % or its related term are showing as below:
BOM:530747'
s Gross Margin % Range Over the Past 10 Years
Min: -31716.67 Med: -120.32 Max: 83.27
Current: 83.27
During the past 13 years, the highestGross Margin % of Challani Capital was 83.27%. The lowest was -31716.67%. And the median was -120.32%.
BOM:530747's Gross Margin % is ranked better than 87.86% of 387
companies
in the Credit Services industry
Industry Median: 51.81
vs BOM:530747: 83.27
Challani Capital had a gross margin of 84.03% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Challani Capital was 0.00% per year.
Challani Capital (BOM:530747) 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
Challani Capital had a gross margin of 84.03% 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.
Challani Capital Gross Margin % Related Terms
Challani Capital Gross Margin % Historical Data
* Premium members only.
The historical data trend for Challani Capital'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:530747 vs V, MA, AXP: Gross Margin % Comparison
For the Credit Services subindustry, Challani Capital'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.
Challani Capital Gross Margin % vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Challani Capital's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Challani Capital'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.
Challani Capital (BOM:530747) has a Gross Margin % of 84.03% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Challani Capital and its competitors. According to the industry distribution chart, Challani Capital ranks #47 out of 387 companies in the Credit Services industry, placing it in the top 12.1%.
Is Challani Capital's Gross Margin % too high?
Challani Capital's current Gross Margin % is 84.03%. The Credit Services industry median Gross Margin % is 51.81. Challani Capital's value of 84.03% is 62.2% above this industry median. Based on the distribution chart, Challani Capital ranks #47 out of 387 companies in the Credit Services industry, which is in the top quartile — a strong position relative to peers. Overall, Challani Capital has a GF Score™ of 58/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Challani Capital's Gross Margin % compare to V and MA?
According to the Credit Services industry distribution chart, Challani Capital ranks #47 out of 387 companies for Gross Margin %. This places Challani Capital in the top 12% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 51.81. Challani Capital's value of 84.03% is 62.2% above this benchmark. 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 Credit Services company?
The median Gross Margin % among Credit Services companies is 51.81, based on 387 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. Challani Capital's current Gross Margin % of 84.03% is 62.2% 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 Challani Capital and its competitors. For the Credit Services industry, the median Gross Margin % is 51.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Challani Capital's current Gross Margin % is 84.03%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Challani Capital stock overvalued right now?
Based on GuruFocus' analysis, Challani Capital (BOM:530747) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹31.97, compared to a current price of ₹19.98 — trading 37.5% below its estimated fair value. The current Gross Margin % is 84.03% and 62.2% above the Credit Services industry median of 51.81. Challani Capital's overall GF Score™ is 58/100 with 1 warning sign 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 Challani Capital (BOM:530747), the current Gross Margin % is 84.03% 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 Challani Capital (BOM:530747) Overvalued in 2026?
Based on GuruFocus' analysis, Challani Capital stock appears to be undervalued.
The current stock price of ₹19.98 is trading 37.5% below its estimated GF Value™ of ₹31.97.
GuruFocus considers Challani Capital to be Significantly Undervalued.
Key valuation signals for BOM:530747:
Gross Margin %: 84.03%
GF Value™: ₹31.97 vs. price of ₹19.98 (37.5% below fair value)
Industry Position: 62.2% above the Credit Services median (#47 of 387)
No single metric tells the full story. See the BOM:530747 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Challani Capital Ltd is a non-banking finance corporation operating in India, engaged in the business of financing commercial vehicles. The main products offered by the company are Secured Loan against property, Commercial Vehicle, and Gold Loans, besides sales and purchase factoring. It operates in a single segment, which is financing.
58GF Score
Get the complete analysis for BOM:530747
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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