Magadh Sugar & EnergyBOM:540650 +3.65%80 Gross Margin % is 47.40% as of Mar. 2026, which is 75% above its 10-year median of 27.01. GuruFocus rates BOM:540650 with a GF Score™ of 80/100 and a GF Value™ of ₹658.94 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 1,899 Consumer Packaged Goods companies, Magadh Sugar & Energy ranks better than 53.5% on this metric.
BOM:540650's Gross Margin % is ranked better than 53.5% of 1899
companies
in the Consumer Packaged Goods industry
Industry Median: 26.36
vs BOM:540650: 27.70
Magadh Sugar & Energy had a gross margin of 47.40% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Magadh Sugar & Energy was 8.00% per year.
Magadh Sugar & Energy (BOM:540650) 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
Magadh Sugar & Energy had a gross margin of 47.40% 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.
Magadh Sugar & Energy Gross Margin % Related Terms
Magadh Sugar & Energy Gross Margin % Historical Data
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The historical data trend for Magadh Sugar & Energy'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:540650 vs MDLZ, HSY, TR: Gross Margin % Comparison
For the Confectioners subindustry, Magadh Sugar & Energy'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.
Magadh Sugar & Energy Gross Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Magadh Sugar & Energy's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Magadh Sugar & Energy'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.
Magadh Sugar & Energy (BOM:540650) has a Gross Margin % of 47.40% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Magadh Sugar & Energy and its competitors. This is 75% above median its historical median of 27.01. Over the past decade, Magadh Sugar & Energy's Gross Margin % has ranged from 19.45 to 33.65. According to the industry distribution chart, Magadh Sugar & Energy ranks #883 out of 1899 companies in the Consumer Packaged Goods industry, placing it in the top 46.5%.
Is Magadh Sugar & Energy's Gross Margin % too high?
Magadh Sugar & Energy's current Gross Margin % of 47.40% is 75% above median its 10-year median of 27.01. Over the past 10 years, this metric has ranged from a low of 19.45 to a high of 33.65. The Consumer Packaged Goods industry median Gross Margin % is 26.36. Magadh Sugar & Energy's value of 47.40% is 79.8% above this industry median. Based on the distribution chart, Magadh Sugar & Energy ranks #883 out of 1899 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, Magadh Sugar & Energy has a GF Score™ of 80/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Magadh Sugar & Energy's Gross Margin % compare to MDLZ and HSY?
According to the Consumer Packaged Goods industry distribution chart, Magadh Sugar & Energy ranks #883 out of 1899 companies for Gross Margin %. This puts Magadh Sugar & Energy in the upper half of its industry. The industry median Gross Margin % is 26.36. Magadh Sugar & Energy's value of 47.40% is 79.8% above this benchmark. Historically, Magadh Sugar & Energy's own Gross Margin % has ranged from 19.45 to 33.65 over the past decade. While the company's 10-year median is 27.01 vs. the industry median of 26.36, Magadh Sugar & Energy 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 Consumer Packaged Goods company?
The median Gross Margin % among Consumer Packaged Goods companies is 26.36, based on 1,899 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. Magadh Sugar & Energy's current Gross Margin % of 47.40% is 79.8% 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 Magadh Sugar & Energy and its competitors. For the Consumer Packaged Goods industry, the median Gross Margin % is 26.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Magadh Sugar & Energy's current Gross Margin % is 47.40%, which is 75% above median its own 10-year median of 27.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Magadh Sugar & Energy stock overvalued right now?
Based on GuruFocus' analysis, Magadh Sugar & Energy (BOM:540650) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹658.94, compared to a current price of ₹496.10 — trading 24.7% below its estimated fair value. The current Gross Margin % is 47.40%, which is 75% above median its 10-year median of 27.01 and 79.8% above the Consumer Packaged Goods industry median of 26.36. Magadh Sugar & Energy's overall GF Score™ is 80/100 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 Magadh Sugar & Energy (BOM:540650), the current Gross Margin % is 47.40% 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 Magadh Sugar & Energy (BOM:540650) Overvalued in 2026?
Based on GuruFocus' analysis, Magadh Sugar & Energy stock appears to be undervalued.
The current stock price of ₹496.10 is trading 24.7% below its estimated GF Value™ of ₹658.94.
GuruFocus considers Magadh Sugar & Energy to be Modestly Undervalued.
Key valuation signals for BOM:540650:
Gross Margin %: 47.40% (75% above median its 10-year median of 27.01)
GF Value™: ₹658.94 vs. price of ₹496.10 (24.7% below fair value)
Industry Position: 79.8% above the Consumer Packaged Goods median (#883 of 1899)
No single metric tells the full story. See the BOM:540650 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Magadh Sugar & Energy ltd is engaged in the business of sugar and its by-products. The company operates through the following business segments: Sugar, Distillery, and Co-generation. The product portfolio of the company includes sugar, molasses, industrial alcohol and ethanol, canned food, and fruit products. Its sugar segment engages in the manufacture and sale of sugar, molasses, and bagasse; the Distillery segment engages in the manufacture and sale of denatured spirits and bio-compost; and Co-generation engages in the generation and transmission of power.
80GF Score
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