Dentsu SokenIFMNF 85 Gross Margin % is 37.92% as of Dec. 2025, which is 8% above its 10-year median of 35.09. GuruFocus rates IFMNF with a GF Score™ of 85/100 and a GF Value™ of $14.78 (Fairly Valued). The stock has 1 warning sign investors should review. Among 2,685 Software companies, Dentsu Soken ranks worse than 54.53% on this metric.
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
Dentsu Soken had a gross margin of 37.92% for the quarter that ended in Dec. 2025 => 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.
Dentsu Soken Gross Margin % Related Terms
Dentsu Soken Gross Margin % Historical Data
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The historical data trend for Dentsu Soken'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.
IFMNF vs IBM, ACN, FISV: Gross Margin % Comparison
For the Information Technology Services subindustry, Dentsu Soken'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.
Dentsu Soken Gross Margin % vs Software Industry
For the Software industry and Technology sector, Dentsu Soken's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Dentsu Soken'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.
Dentsu Soken (IFMNF) has a Gross Margin % of 37.92% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Dentsu Soken and its competitors. This is near median its historical median of 35.09. Over the past decade, Dentsu Soken's Gross Margin % has ranged from 30.82 to 36.77. According to the industry distribution chart, Dentsu Soken ranks #1464 out of 2685 companies in the Software industry, placing it in the top 54.5%.
Is Dentsu Soken's Gross Margin % too high?
Dentsu Soken's current Gross Margin % of 37.92% is near median its 10-year median of 35.09. Over the past 10 years, this metric has ranged from a low of 30.82 to a high of 36.77. The Software industry median Gross Margin % is 40.45. Dentsu Soken's value of 37.92% is 6.3% below this industry median. Based on the distribution chart, Dentsu Soken ranks #1464 out of 2685 companies in the Software industry, which is below the industry midpoint. Overall, Dentsu Soken has a GF Score™ of 85/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Dentsu Soken's Gross Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Dentsu Soken ranks #1464 out of 2685 companies for Gross Margin %. This places Dentsu Soken in the lower half of its industry. The industry median Gross Margin % is 40.45. Dentsu Soken's value of 37.92% is 6.3% below this benchmark. Historically, Dentsu Soken's own Gross Margin % has ranged from 30.82 to 36.77 over the past decade. While the company's 10-year median is 35.09 vs. the industry median of 40.45, Dentsu Soken 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 Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,685 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. Dentsu Soken's current Gross Margin % of 37.92% is 6.3% 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 Dentsu Soken and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dentsu Soken's current Gross Margin % is 37.92%, which is near median its own 10-year median of 35.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dentsu Soken stock overvalued right now?
Based on GuruFocus' analysis, Dentsu Soken (IFMNF) is currently considered Fairly Valued. The stock's GF Value™ is $14.78, compared to a current price of $13.11 — trading 11.3% below its estimated fair value. The current Gross Margin % is 37.92%, which is near median its 10-year median of 35.09 and 6.3% below the Software industry median of 40.45. Dentsu Soken's overall GF Score™ is 85/100 with 1 warning sign 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 Dentsu Soken (IFMNF), the current Gross Margin % is 37.92% 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 Dentsu Soken (IFMNF) Overvalued in 2026?
Based on GuruFocus' analysis, Dentsu Soken stock appears to be undervalued.
The current stock price of $13.11 is trading 11.3% below its estimated GF Value™ of $14.78.
GuruFocus considers Dentsu Soken to be Fairly Valued.
Key valuation signals for IFMNF:
Gross Margin %: 37.92% (near median its 10-year median of 35.09)
GF Value™: $14.78 vs. price of $13.11 (11.3% below fair value)
Industry Position: 6.3% below the Software median (#1464 of 2685)
No single metric tells the full story. See the IFMNF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dentsu Soken Inc provides a range of information technology (IT) and consulting services. The company operates in four segments based on industry and solution: Financial Solutions, Business Solutions, Manufacturing Solutions, and Communication IT.
85GF Score
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