Tokyo Electron DeviceFRA:8VR -5.87%66 Gross Margin % is 16.86% as of Mar. 2026, which is 18% above its 10-year median of 14.32. GuruFocus rates FRA:8VR with a GF Score™ of 66/100 and a GF Value™ of €16.59 (Modestly Overvalued). The stock has 9 warning signs investors should review. Among 2,450 Hardware companies, Tokyo Electron Device ranks worse than 72.53% on this metric.
FRA:8VR's Gross Margin % is ranked worse than 72.53% of 2450
companies
in the Hardware industry
Industry Median: 24.53
vs FRA:8VR: 15.48
Tokyo Electron Device had a gross margin of 16.86% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Tokyo Electron Device was 2.10% per year.
Tokyo Electron Device (FRA:8VR) 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
Tokyo Electron Device had a gross margin of 16.86% 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.
Tokyo Electron Device Gross Margin % Related Terms
Tokyo Electron Device Gross Margin % Historical Data
* Premium members only.
The historical data trend for Tokyo Electron Device'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.
FRA:8VR vs APH, GLW, TEL: Gross Margin % Comparison
For the Electronic Components subindustry, Tokyo Electron Device'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.
Tokyo Electron Device Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Tokyo Electron Device's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Tokyo Electron Device'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.
Tokyo Electron Device (FRA:8VR) has a Gross Margin % of 16.86% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Tokyo Electron Device and its competitors. This is 18% above median its historical median of 14.32. Over the past decade, Tokyo Electron Device's Gross Margin % has ranged from 11.06 to 15.59. According to the industry distribution chart, Tokyo Electron Device ranks #1777 out of 2450 companies in the Hardware industry, placing it in the top 72.5%.
Is Tokyo Electron Device's Gross Margin % too high?
Tokyo Electron Device's current Gross Margin % of 16.86% is 18% above median its 10-year median of 14.32. Over the past 10 years, this metric has ranged from a low of 11.06 to a high of 15.59. The Hardware industry median Gross Margin % is 24.53. Tokyo Electron Device's value of 16.86% is 31.3% below this industry median. Based on the distribution chart, Tokyo Electron Device ranks #1777 out of 2450 companies in the Hardware industry, which is below the industry midpoint. Overall, Tokyo Electron Device has a GF Score™ of 66/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tokyo Electron Device's Gross Margin % compare to APH and GLW?
According to the Hardware industry distribution chart, Tokyo Electron Device ranks #1777 out of 2450 companies for Gross Margin %. This places Tokyo Electron Device in the lower half of its industry. The industry median Gross Margin % is 24.53. Tokyo Electron Device's value of 16.86% is 31.3% below this benchmark. Historically, Tokyo Electron Device's own Gross Margin % has ranged from 11.06 to 15.59 over the past decade. While the company's 10-year median is 14.32 vs. the industry median of 24.53, Tokyo Electron Device 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.53, based on 2,450 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. Tokyo Electron Device's current Gross Margin % of 16.86% is 31.3% 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 Tokyo Electron Device and its competitors. For the Hardware industry, the median Gross Margin % is 24.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tokyo Electron Device's current Gross Margin % is 16.86%, which is 18% above median its own 10-year median of 14.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tokyo Electron Device stock overvalued right now?
Based on GuruFocus' analysis, Tokyo Electron Device (FRA:8VR) is currently considered Modestly Overvalued. The stock's GF Value™ is €16.59, compared to a current price of €20.54 — trading 23.8% above its estimated fair value. The current Gross Margin % is 16.86%, which is 18% above median its 10-year median of 14.32 and 31.3% below the Hardware industry median of 24.53. Tokyo Electron Device's overall GF Score™ is 66/100 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 Tokyo Electron Device (FRA:8VR), the current Gross Margin % is 16.86% 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 Tokyo Electron Device (FRA:8VR) Overvalued in 2026?
Based on GuruFocus' analysis, Tokyo Electron Device stock appears to be overvalued.
The current stock price of €20.54 is trading 23.8% above its estimated GF Value™ of €16.59.
GuruFocus considers Tokyo Electron Device to be Modestly Overvalued.
Key valuation signals for FRA:8VR:
Gross Margin %: 16.86% (18% above median its 10-year median of 14.32)
GF Value™: €16.59 vs. price of €20.54 (23.8% above fair value)
Industry Position: 31.3% below the Hardware median (#1777 of 2450)
No single metric tells the full story. See the FRA:8VR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tokyo Electron Device Ltd is engaged in the sales of semiconductor products, board computer products, software and other electronic components. It is also involved in the business of network and security solutions, storage solutions, and software solutions.
66GF Score
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