Mitsubishi Chemical Group (HAM:M3C) 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
Mitsubishi Chemical Group had a gross margin of 29.87% for the quarter that ended in Mar. 2026 => Competition eroding margins
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.
Mitsubishi Chemical Group Gross Margin % Related Terms
Mitsubishi Chemical Group Gross Margin % Historical Data
* 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.
HAM:M3C vs LIN, SHW, ECL: Gross Margin % Comparison
For the Specialty Chemicals subindustry, Mitsubishi Chemical Group'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.
Mitsubishi Chemical Group Gross Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Mitsubishi Chemical Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Mitsubishi Chemical Group'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.
Mitsubishi Chemical Group (HAM:M3C) has a Gross Margin % of 29.87% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Mitsubishi Chemical Group and its competitors. This is near median its historical median of 28.01. Over the past decade, Mitsubishi Chemical Group's Gross Margin % has ranged from 26.14 to 30.07. According to the industry distribution chart, Mitsubishi Chemical Group ranks #579 out of 1564 companies in the Chemicals industry, placing it in the top 37%.
Is Mitsubishi Chemical Group's Gross Margin % too high?
Mitsubishi Chemical Group's current Gross Margin % of 29.87% is near median its 10-year median of 28.01. Over the past 10 years, this metric has ranged from a low of 26.14 to a high of 30.07. The Chemicals industry median Gross Margin % is 23.38. Mitsubishi Chemical Group's value of 29.87% is 27.8% above this industry median. Based on the distribution chart, Mitsubishi Chemical Group ranks #579 out of 1564 companies in the Chemicals industry, which is above the industry midpoint. Overall, Mitsubishi Chemical Group has a GF Score™ of 61/100, reflecting its overall financial health beyond just this single metric.
How does Mitsubishi Chemical Group's Gross Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Mitsubishi Chemical Group ranks #579 out of 1564 companies for Gross Margin %. This puts Mitsubishi Chemical Group in the upper half of its industry. The industry median Gross Margin % is 23.38. Mitsubishi Chemical Group's value of 29.87% is 27.8% above this benchmark. Historically, Mitsubishi Chemical Group's own Gross Margin % has ranged from 26.14 to 30.07 over the past decade. While the company's 10-year median is 28.01 vs. the industry median of 23.38, Mitsubishi Chemical Group 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 Chemicals company?
The median Gross Margin % among Chemicals companies is 23.38, based on 1,564 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. Mitsubishi Chemical Group's current Gross Margin % of 29.87% is 27.8% 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 Mitsubishi Chemical Group and its competitors. For the Chemicals industry, the median Gross Margin % is 23.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mitsubishi Chemical Group's current Gross Margin % is 29.87%, which is near median its own 10-year median of 28.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mitsubishi Chemical Group stock overvalued right now?
Mitsubishi Chemical Group (HAM:M3C) has a current Gross Margin % of 29.87%. The stock's GF Value™ is €4.24, compared to a current price of €5.84 — trading 37.6% above its estimated fair value. The current Gross Margin % is 29.87%, which is near median its 10-year median of 28.01 and 27.8% above the Chemicals industry median of 23.38. Mitsubishi Chemical Group's overall GF Score™ is 61/100 with 11 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 Mitsubishi Chemical Group (HAM:M3C), the current Gross Margin % is 29.87% 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 Mitsubishi Chemical Group (HAM:M3C) Overvalued in 2026?
Based on GuruFocus' analysis, Mitsubishi Chemical Group stock appears to be overvalued.
The current stock price of €5.84 is trading 37.6% above its estimated GF Value™ of €4.24.
Key valuation signals for HAM:M3C:
Gross Margin %: 29.87% (near median its 10-year median of 28.01)
GF Value™: €4.24 vs. price of €5.84 (37.6% above fair value)
Industry Position: 27.8% above the Chemicals median (#579 of 1564)
No single metric tells the full story. See the HAM:M3C stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mitsubishi Chemical Group Corp is a holding company which manufactures and sells chemicals, plastics, and pharmaceuticals. It organizes itself into five segments. The Basic Materials & Polymers segment covers petrochemical substrates, polyolefins, basic chemicals, sustainable polymers, engineering plastics, and carbon. The Industrial Gas segment focuses on industrial gases. The MMA & Derivatives segment includes MMA, PMMA, coatings, additives, and fine chemicals. The Pharmacy segment is engaged in medicines, and the Specialty Materials segment handles advanced films and polymers, advanced solutions, and advanced composites. The Others segment includes businesses such as engineering, transportation, and warehousing. It generates the majority of its revenue from the Industrial gas segment.
61GF Score
Get the complete analysis for HAM:M3C
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
HAM:M3C has been successfully added to your 
