Deneb InvestmentsJSE:DNB -5.66%75 Gross Margin % is 23.53% as of Mar. 2026, which is 3% below its 10-year median of 24.37. GuruFocus rates JSE:DNB with a GF Score™ of 75/100 and a GF Value™ of R2.72 (Fairly Valued). The stock has 6 warning signs investors should review. Among 513 Conglomerates companies, Deneb Investments ranks worse than 57.7% 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
Deneb Investments had a gross margin of 23.53% 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.
Deneb Investments Gross Margin % Related Terms
Deneb Investments Gross Margin % Historical Data
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The historical data trend for Deneb Investments'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 Conglomerates subindustry, Deneb Investments'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.
Deneb Investments Gross Margin % vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Deneb Investments's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Deneb Investments'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.
Deneb Investments (JSE:DNB) has a Gross Margin % of 23.53% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Deneb Investments and its competitors. This is near median its historical median of 24.37. Over the past decade, Deneb Investments' Gross Margin % has ranged from 22.91 to 27.01. According to the industry distribution chart, Deneb Investments ranks #296 out of 513 companies in the Conglomerates industry, placing it in the top 57.7%.
Is Deneb Investments' Gross Margin % too high?
Deneb Investments' current Gross Margin % of 23.53% is near median its 10-year median of 24.37. Over the past 10 years, this metric has ranged from a low of 22.91 to a high of 27.01. The Conglomerates industry median Gross Margin % is 25.96. Deneb Investments' value of 23.53% is 9.4% below this industry median. Based on the distribution chart, Deneb Investments ranks #296 out of 513 companies in the Conglomerates industry, which is below the industry midpoint. Overall, Deneb Investments has a GF Score™ of 75/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Deneb Investments' Gross Margin % compare to HON and MMM?
According to the Conglomerates industry distribution chart, Deneb Investments ranks #296 out of 513 companies for Gross Margin %. This places Deneb Investments in the lower half of its industry. The industry median Gross Margin % is 25.96. Deneb Investments' value of 23.53% is 9.4% below this benchmark. Historically, Deneb Investments' own Gross Margin % has ranged from 22.91 to 27.01 over the past decade. While the company's 10-year median is 24.37 vs. the industry median of 25.96, Deneb Investments 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 Conglomerates company?
The median Gross Margin % among Conglomerates companies is 25.96, based on 513 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. Deneb Investments's current Gross Margin % of 23.53% is 9.4% 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 Deneb Investments and its competitors. For the Conglomerates industry, the median Gross Margin % is 25.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Deneb Investments's current Gross Margin % is 23.53%, which is near median its own 10-year median of 24.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Deneb Investments stock overvalued right now?
Based on GuruFocus' analysis, Deneb Investments (JSE:DNB) is currently considered Fairly Valued. The stock's GF Value™ is R2.72, compared to a current price of R2.50 — trading 8.1% below its estimated fair value. The current Gross Margin % is 23.53%, which is near median its 10-year median of 24.37 and 9.4% below the Conglomerates industry median of 25.96. Deneb Investments' overall GF Score™ is 75/100 with 6 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 Deneb Investments (JSE:DNB), the current Gross Margin % is 23.53% 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 Deneb Investments (JSE:DNB) Overvalued in 2026?
Based on GuruFocus' analysis, Deneb Investments stock appears to be undervalued.
The current stock price of R2.50 is trading 8.1% below its estimated GF Value™ of R2.72.
GuruFocus considers Deneb Investments to be Fairly Valued.
Key valuation signals for JSE:DNB:
Gross Margin %: 23.53% (near median its 10-year median of 24.37)
GF Value™: R2.72 vs. price of R2.50 (8.1% below fair value)
Industry Position: 9.4% below the Conglomerates median (#296 of 513)
No single metric tells the full story. See the JSE:DNB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Deneb Investments Ltd is a diversified investment company operating in southern Africa. The company's operating segment includes Properties; Industrial Product Manufacturing; Automotive Parts Manufacturing; and Branded Product Distribution. Industrial Product Manufacturing and Branded Product Distribution segments together contribute to the majority of the revenue. Its geographical segments include South Africa, Other African countries, Asia, Europe, North America, and South America, of which the majority of the revenue is generated from South Africa.
75GF Score
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