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
Ikoma Technologies had a gross margin of % 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.
Ikoma Technologies Gross Margin % Related Terms
Ikoma Technologies Gross Margin % Historical Data
* Premium members only.
The historical data trend for Ikoma Technologies'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:531997 vs IBM, ACN, FISV: Gross Margin % Comparison
For the Information Technology Services subindustry, Ikoma Technologies'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.
Ikoma Technologies Gross Margin % vs Software Industry
For the Software industry and Technology sector, Ikoma Technologies's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Ikoma Technologies'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.
Ikoma Technologies (BOM:531997) has a Gross Margin % of 0.00% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Ikoma Technologies and its competitors. Over the past decade, Ikoma Technologies' Gross Margin % has ranged from 33.33 to 87.04. According to the industry distribution chart, Ikoma Technologies ranks #177 out of 2677 companies in the Software industry, placing it in the top 6.6%.
Is Ikoma Technologies' Gross Margin % too high?
Ikoma Technologies' current Gross Margin % is 0.00%. Over the past 10 years, this metric has ranged from a low of 33.33 to a high of 87.04. Based on the distribution chart, Ikoma Technologies ranks #177 out of 2677 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Ikoma Technologies has a GF Score™ of 41/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ikoma Technologies' Gross Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Ikoma Technologies ranks #177 out of 2677 companies for Gross Margin %. This places Ikoma Technologies in the top 7% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.49. Historically, Ikoma Technologies' own Gross Margin % has ranged from 33.33 to 87.04 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 Software company?
The median Gross Margin % among Software companies is 40.49, based on 2,677 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 Ikoma Technologies and its competitors. For the Software industry, the median Gross Margin % is 40.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ikoma Technologies's current Gross Margin % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ikoma Technologies stock overvalued right now?
Based on GuruFocus' analysis, Ikoma Technologies (BOM:531997) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹4.82, compared to a current price of ₹68.40 — trading 1319.1% above its estimated fair value. The current Gross Margin % is 0.00%. Ikoma Technologies' overall GF Score™ is 41/100 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 Ikoma Technologies (BOM:531997), the current Gross Margin % is 0.00% 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 Ikoma Technologies (BOM:531997) Overvalued in 2026?
Based on GuruFocus' analysis, Ikoma Technologies stock appears to be overvalued.
The current stock price of ₹68.40 is trading 1319.1% above its estimated GF Value™ of ₹4.82.
GuruFocus considers Ikoma Technologies to be Significantly Overvalued.
Key valuation signals for BOM:531997:
Gross Margin %: 0.00%
GF Value™: ₹4.82 vs. price of ₹68.40 (1319.1% above fair value)
No single metric tells the full story. See the BOM:531997 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ikoma Technologies Ltd Formerly Vuenow Infratech Ltd operates as an IT Infrastructure as a Service (ITaaS) provider specializing in designing, building, and operating cloud-enabled edge data centers. The company offers colocation, network management, and data center leasing services aimed at delivering low-latency processing by locating data centers close to the data source. Recently, Vuenow expanded its activities into infrastructure by taking on a road construction project for National Highway 45C in Tamil Nadu, adding to its portfolio of services. The company's operations are prominently in Maharashtra, Rajasthan, Tamil Nadu, Uttar Pradesh, Himachal Pradesh, Goa, Madhya Pradesh, and Chhattisgarh. Revenue is generated through its IT infrastructure services, data center leasing.
41GF Score
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