EM Systems CoFRA:EMO 76 Gross Margin % is 47.78% as of Dec. 2025, which is 8% below its 10-year median of 51.96. GuruFocus rates FRA:EMO with a GF Score™ of 76/100 and a GF Value™ of €3.98. The stock has 3 warning signs investors should review. Among 629 Healthcare Providers & Services companies, EM Systems Co ranks better than 58.98% on this metric.
The historical rank and industry rank for EM Systems Co's Gross Margin % or its related term are showing as below:
FRA:EMO'
s Gross Margin % Range Over the Past 10 Years
Min: 47.36 Med: 51.96 Max: 56.45
Current: 47.36
During the past 13 years, the highestGross Margin % of EM Systems Co was 56.45%. The lowest was 47.36%. And the median was 51.96%.
FRA:EMO's Gross Margin % is ranked better than 58.98% of 629
companies
in the Healthcare Providers & Services industry
Industry Median: 40.09
vs FRA:EMO: 47.36
EM Systems Co had a gross margin of 47.78% for the quarter that ended in Dec. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for EM Systems Co was 0.90% per year.
EM Systems Co (FRA:EMO) 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
EM Systems Co had a gross margin of 47.78% for the quarter that ended in Dec. 2025 => 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.
EM Systems Co Gross Margin % Related Terms
EM Systems Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for EM Systems Co'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:EMO vs VEEV, BTSG, TEM: Gross Margin % Comparison
For the Health Information Services subindustry, EM Systems Co'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.
EM Systems Co Gross Margin % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, EM Systems Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where EM Systems Co'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.
EM Systems Co (FRA:EMO) has a Gross Margin % of 47.78% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on EM Systems Co and its competitors. This is near median its historical median of 51.96. Over the past decade, EM Systems Co's Gross Margin % has ranged from 47.36 to 56.45. According to the industry distribution chart, EM Systems Co ranks #258 out of 629 companies in the Healthcare Providers & Services industry, placing it in the top 41%.
Is EM Systems Co's Gross Margin % too high?
EM Systems Co's current Gross Margin % of 47.78% is near median its 10-year median of 51.96. Over the past 10 years, this metric has ranged from a low of 47.36 to a high of 56.45. The Healthcare Providers & Services industry median Gross Margin % is 40.09. EM Systems Co's value of 47.78% is 19.2% above this industry median. Based on the distribution chart, EM Systems Co ranks #258 out of 629 companies in the Healthcare Providers & Services industry, which is above the industry midpoint. Overall, EM Systems Co has a GF Score™ of 76/100, reflecting its overall financial health beyond just this single metric.
How does EM Systems Co's Gross Margin % compare to VEEV and BTSG?
According to the Healthcare Providers & Services industry distribution chart, EM Systems Co ranks #258 out of 629 companies for Gross Margin %. This puts EM Systems Co in the upper half of its industry. The industry median Gross Margin % is 40.09. EM Systems Co's value of 47.78% is 19.2% above this benchmark. Historically, EM Systems Co's own Gross Margin % has ranged from 47.36 to 56.45 over the past decade. While the company's 10-year median is 51.96 vs. the industry median of 40.09, EM Systems Co 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 Healthcare Providers & Services company?
The median Gross Margin % among Healthcare Providers & Services companies is 40.09, based on 629 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. EM Systems Co's current Gross Margin % of 47.78% is 19.2% 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 EM Systems Co and its competitors. For the Healthcare Providers & Services industry, the median Gross Margin % is 40.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. EM Systems Co's current Gross Margin % is 47.78%, which is near median its own 10-year median of 51.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is EM Systems Co stock overvalued right now?
EM Systems Co (FRA:EMO) has a current Gross Margin % of 47.78%. The stock's GF Value™ is €3.98, compared to a current price of €2.58 — trading 35.2% below its estimated fair value. The current Gross Margin % is 47.78%, which is near median its 10-year median of 51.96 and 19.2% above the Healthcare Providers & Services industry median of 40.09. EM Systems Co's overall GF Score™ is 76/100 with 3 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 EM Systems Co (FRA:EMO), the current Gross Margin % is 47.78% as of Dec. 2025. 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 EM Systems Co (FRA:EMO) Overvalued in 2026?
Based on GuruFocus' analysis, EM Systems Co stock appears to be undervalued.
The current stock price of €2.58 is trading 35.2% below its estimated GF Value™ of €3.98.
Key valuation signals for FRA:EMO:
Gross Margin %: 47.78% (near median its 10-year median of 51.96)
GF Value™: €3.98 vs. price of €2.58 (35.2% below fair value)
Industry Position: 19.2% above the Healthcare Providers & Services median (#258 of 629)
No single metric tells the full story. See the FRA:EMO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
EM Systems Co Ltd is a Japan-based company that develops, sells, and maintains systems for the medical (clinics and insurance pharmacies) and nursing/welfare industries. It operates its business in three divisions: Pharmacy System Business develops and sells systems for pharmacies, and provides related supplies and maintenance services; Medical system involved in the development and sales of medical office administration computer systems for medical institutions and clinics; Nursing Care/Welfare Systems Business products are systems for nursing care/welfare service providers and medical and nursing care collaboration solutions; Other businesses operates through its subsidiray that provides promotes cashless payments for clinics and pharmacies and Others services.
76GF Score
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