Toyo Engineering (FRA:6AE0) Gross Margin %: 17.23% (As of Mar. 2026) — 92% Above Median

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FRA:6AE0 Toyo Engineering Corp FRA:6AE0
38 GF Score
Price €4.62
GF Value €1.57
Valuation Significantly Overvalued
! 6 Warning Signs
View Full Analysis

What is Toyo Engineering Gross Margin %?

Toyo Engineering FRA:6AE0 38 Gross Margin % is 17.23% as of Mar. 2026, which is 92% above its 10-year median of 8.97. GuruFocus rates FRA:6AE0 with a GF Score™ of 38/100 and a GF Value™ of €1.57 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,722 Construction companies, Toyo Engineering ranks worse than 94.13% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Toyo Engineering's Gross Profit for the three months ended in Mar. 2026 was €48 Mil. Toyo Engineering's Revenue for the three months ended in Mar. 2026 was €278 Mil. Therefore, Toyo Engineering's Gross Margin % for the quarter that ended in Mar. 2026 was 17.23%.

Warning Sign:

Toyo Engineering Corp gross margin has been in long-term decline. The average rate of decline per year is -15%.


The historical rank and industry rank for Toyo Engineering's Gross Margin % or its related term are showing as below:

FRA:6AE0' s Gross Margin % Range Over the Past 10 Years
Min: -3.73   Med: 8.97   Max: 12.58
Current: 3.53


During the past 13 years, the highest Gross Margin % of Toyo Engineering was 12.58%. The lowest was -3.73%. And the median was 8.97%.

FRA:6AE0's Gross Margin % is ranked worse than
94.13% of 1722 companies
in the Construction industry
Industry Median: 20.7 vs FRA:6AE0: 3.53

Toyo Engineering had a gross margin of 17.23% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Toyo Engineering was -15.00% per year.


Toyo Engineering  (FRA:6AE0) 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

Toyo Engineering had a gross margin of 17.23% 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.


Toyo Engineering Gross Margin % Related Terms


Toyo Engineering Gross Margin % Historical Data

* Premium members only.

The historical data trend for Toyo Engineering'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.

Toyo Engineering Gross Margin % Chart

Toyo Engineering Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.27 12.58 10.89 9.38 3.52

Toyo Engineering Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.50 14.23 2.25 -27.39 17.23

FRA:6AE0 vs PWR, FIX, EME: Gross Margin % Comparison

For the Engineering & Construction subindustry, Toyo Engineering'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.


Toyo Engineering Gross Margin % vs Construction Industry

For the Construction industry and Industrials sector, Toyo Engineering's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Toyo Engineering's Gross Margin % falls into.


FRA:6AE0
38GF Score
Toyo Engineering Corp FRA:6AE0
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Toyo Engineering Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Toyo Engineering's Gross Margin for the fiscal year that ended in Mar. 2026 is calculated as

Gross Margin % (A: Mar. 2026 )=Gross Profit (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=35.1 / 997.235
=(Revenue - Cost of Goods Sold) / Revenue
=(997.235 - 962.086) / 997.235
=3.52 %

Toyo Engineering's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=47.9 / 278.22
=(Revenue - Cost of Goods Sold) / Revenue
=(278.22 - 230.277) / 278.22
=17.23 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 17.23% mean?
Toyo Engineering (FRA:6AE0) has a Gross Margin % of 17.23% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Toyo Engineering and its competitors. This is 92% above median its historical median of 8.97. According to the industry distribution chart, Toyo Engineering ranks #1621 out of 1722 companies in the Construction industry, placing it in the top 94.1%.
Is Toyo Engineering's Gross Margin % too high?
Toyo Engineering's current Gross Margin % of 17.23% is 92% above median its 10-year median of 8.97. The Construction industry median Gross Margin % is 20.70. Toyo Engineering's value of 17.23% is 16.8% below this industry median. Based on the distribution chart, Toyo Engineering ranks #1621 out of 1722 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Toyo Engineering has a GF Score™ of 38/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Toyo Engineering's Gross Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, Toyo Engineering ranks #1621 out of 1722 companies for Gross Margin %. This places Toyo Engineering in the lower half of its industry. The industry median Gross Margin % is 20.70. Toyo Engineering's value of 17.23% is 16.8% below this benchmark. While the company's 10-year median is 8.97 vs. the industry median of 20.70, Toyo Engineering has consistently been below 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 Construction company?
The median Gross Margin % among Construction companies is 20.70, based on 1,722 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. Toyo Engineering's current Gross Margin % of 17.23% is 16.8% below 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 Toyo Engineering and its competitors. For the Construction industry, the median Gross Margin % is 20.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Toyo Engineering's current Gross Margin % is 17.23%, which is 92% above median its own 10-year median of 8.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Toyo Engineering stock overvalued right now?
Based on GuruFocus' analysis, Toyo Engineering (FRA:6AE0) is currently considered Significantly Overvalued. The stock's GF Value™ is €1.57, compared to a current price of €4.62 — trading 194.3% above its estimated fair value. The current Gross Margin % is 17.23%, which is 92% above median its 10-year median of 8.97 and 16.8% below the Construction industry median of 20.70. Toyo Engineering's overall GF Score™ is 38/100 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 Toyo Engineering (FRA:6AE0), the current Gross Margin % is 17.23% 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 Toyo Engineering (FRA:6AE0) Overvalued in 2026?

Based on GuruFocus' analysis, Toyo Engineering stock appears to be overvalued. The current stock price of €4.62 is trading 194.3% above its estimated GF Value™ of €1.57. GuruFocus considers Toyo Engineering to be Significantly Overvalued.

Key valuation signals for FRA:6AE0:

  • Gross Margin %: 17.23% (92% above median its 10-year median of 8.97)
  • GF Value™: €1.57 vs. price of €4.62 (194.3% above fair value)
  • GF Score™: 38/100 with 6 warning signs
  • Industry Position: 16.8% below the Construction median (#1621 of 1722)

No single metric tells the full story. See the FRA:6AE0 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Toyo Engineering Business Description

Other Exchanges 6330:Japan
Address 2-8-1 Akanehama Narashino-shi, Chiba, JPN
Toyo Engineering Corp provides engineering and construction services for industrial facilities. It designs, procures materials, builds, and offers technical assistance for oil and gas, petrochemicals, water treatment, transportation, power generation, and other industrial markets. Project management skills partnered with technological solutions allow the company to offer customized solutions and manufacture various power plants and infrastructure projects. Toyo operates three business groups: engineering, procurement, and construction (the majority of total revenue); IT; and real estate. A global network of employees gathers data from customers, and company locations are spread across Asia, North America, and South America to collect regional information.
38GF Score

Get the complete analysis for FRA:6AE0

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€4.62
Price
€1.57
GF Value