HokuetsuHKPMF 70 Gross Margin % is 20.80% as of Mar. 2026, which is 5% above its 10-year median of 19.87. GuruFocus rates HKPMF with a GF Score™ of 70/100 and a GF Value™ of $15.23. The stock has 4 warning signs investors should review. Among 279 Forest Products companies, Hokuetsu ranks better than 52.33% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Hokuetsu's Gross Profit for the
three
months ended in Mar. 2026 was $98 Mil. Hokuetsu's Revenue for the
three
months ended in Mar. 2026 was $473 Mil. Therefore, Hokuetsu's Gross Margin % for the quarter that ended in Mar. 2026 was 20.80%.
The historical rank and industry rank for Hokuetsu's Gross Margin % or its related term are showing as below:
HKPMF'
s Gross Margin % Range Over the Past 10 Years
Min: 17.3 Med: 19.87 Max: 23.36
Current: 19.62
During the past 13 years, the highestGross Margin % of Hokuetsu was 23.36%. The lowest was 17.30%. And the median was 19.87%.
HKPMF's Gross Margin % is ranked better than 52.33% of 279
companies
in the Forest Products industry
Industry Median: 19.05
vs HKPMF: 19.62
Hokuetsu had a gross margin of 20.80% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Hokuetsu was 1.40% per year.
Hokuetsu (OTCPK:HKPMF) 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
Hokuetsu had a gross margin of 20.80% 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.
Hokuetsu Gross Margin % Related Terms
Hokuetsu Gross Margin % Historical Data
* Premium members only.
The historical data trend for Hokuetsu'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.
For the Paper & Paper Products subindustry, Hokuetsu'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.
Hokuetsu Gross Margin % vs Forest Products Industry
For the Forest Products industry and Basic Materials sector, Hokuetsu's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Hokuetsu'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.
Hokuetsu (HKPMF) has a Gross Margin % of 20.80% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Hokuetsu and its competitors. This is near median its historical median of 19.87. Over the past decade, Hokuetsu's Gross Margin % has ranged from 17.30 to 23.36. According to the industry distribution chart, Hokuetsu ranks #133 out of 279 companies in the Forest Products industry, placing it in the top 47.7%.
Is Hokuetsu's Gross Margin % too high?
Hokuetsu's current Gross Margin % of 20.80% is near median its 10-year median of 19.87. Over the past 10 years, this metric has ranged from a low of 17.30 to a high of 23.36. The Forest Products industry median Gross Margin % is 19.05. Hokuetsu's value of 20.80% is 9.2% above this industry median. Based on the distribution chart, Hokuetsu ranks #133 out of 279 companies in the Forest Products industry, which is above the industry midpoint. Overall, Hokuetsu has a GF Score™ of 70/100, reflecting its overall financial health beyond just this single metric.
How does Hokuetsu's Gross Margin % compare to competitors?
According to the Forest Products industry distribution chart, Hokuetsu ranks #133 out of 279 companies for Gross Margin %. This puts Hokuetsu in the upper half of its industry. The industry median Gross Margin % is 19.05. Hokuetsu's value of 20.80% is 9.2% above this benchmark. Historically, Hokuetsu's own Gross Margin % has ranged from 17.30 to 23.36 over the past decade. While the company's 10-year median is 19.87 vs. the industry median of 19.05, Hokuetsu 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 Forest Products company?
The median Gross Margin % among Forest Products companies is 19.05, based on 279 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. Hokuetsu's current Gross Margin % of 20.80% is 9.2% 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 Hokuetsu and its competitors. For the Forest Products industry, the median Gross Margin % is 19.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hokuetsu's current Gross Margin % is 20.80%, which is near median its own 10-year median of 19.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hokuetsu stock overvalued right now?
Hokuetsu (HKPMF) has a current Gross Margin % of 20.80%. The stock's GF Value™ is $15.23, compared to a current price of $12.60 — trading 17.3% below its estimated fair value. The current Gross Margin % is 20.80%, which is near median its 10-year median of 19.87 and 9.2% above the Forest Products industry median of 19.05. Hokuetsu's overall GF Score™ is 70/100 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 Hokuetsu (HKPMF), the current Gross Margin % is 20.80% 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 Hokuetsu (HKPMF) Overvalued in 2026?
Based on GuruFocus' analysis, Hokuetsu stock appears to be undervalued.
The current stock price of $12.60 is trading 17.3% below its estimated GF Value™ of $15.23.
Key valuation signals for HKPMF:
Gross Margin %: 20.80% (near median its 10-year median of 19.87)
GF Value™: $15.23 vs. price of $12.60 (17.3% below fair value)
Industry Position: 9.2% above the Forest Products median (#133 of 279)
No single metric tells the full story. See the HKPMF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hokuetsu Corp produces and sells a variety of paper products. The company is involved in production and sale of paper and pulp products, paper containers and liquid containers among others. It is also involved in Timber business, construction business, sales of various materials, real estate trading, transportation and warehouse business.
70GF Score
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