Cherat Cement CoKAR:CHCC +2.13%88 Gross Margin % is 31.00% as of Mar. 2026, which is 13% above its 10-year median of 27.51. GuruFocus rates KAR:CHCC with a GF Score™ of 88/100 and a GF Value™ of ₨249.38 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 395 Building Materials companies, Cherat Cement Co ranks better than 69.37% on this metric.
The historical rank and industry rank for Cherat Cement Co's Gross Margin % or its related term are showing as below:
KAR:CHCC'
s Gross Margin % Range Over the Past 10 Years
Min: 2.26 Med: 27.51 Max: 37.21
Current: 34.22
During the past 13 years, the highestGross Margin % of Cherat Cement Co was 37.21%. The lowest was 2.26%. And the median was 27.51%.
KAR:CHCC's Gross Margin % is ranked better than 69.37% of 395
companies
in the Building Materials industry
Industry Median: 26.18
vs KAR:CHCC: 34.22
Cherat Cement Co had a gross margin of 31.00% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Cherat Cement Co was 50.80% per year.
Cherat Cement Co (KAR:CHCC) 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
Cherat Cement Co had a gross margin of 31.00% 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.
Cherat Cement Co Gross Margin % Related Terms
Cherat Cement Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Cherat Cement 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.
KAR:CHCC vs CRH, VMC, MLM: Gross Margin % Comparison
For the Building Materials subindustry, Cherat Cement 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.
Cherat Cement Co Gross Margin % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Cherat Cement Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Cherat Cement 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.
Cherat Cement Co (KAR:CHCC) has a Gross Margin % of 31.00% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Cherat Cement Co and its competitors. This is 13% above median its historical median of 27.51. Over the past decade, Cherat Cement Co's Gross Margin % has ranged from 2.26 to 37.21. According to the industry distribution chart, Cherat Cement Co ranks #121 out of 395 companies in the Building Materials industry, placing it in the top 30.6%.
Is Cherat Cement Co's Gross Margin % too high?
Cherat Cement Co's current Gross Margin % of 31.00% is 13% above median its 10-year median of 27.51. Over the past 10 years, this metric has ranged from a low of 2.26 to a high of 37.21. The Building Materials industry median Gross Margin % is 26.18. Cherat Cement Co's value of 31.00% is 18.4% above this industry median. Based on the distribution chart, Cherat Cement Co ranks #121 out of 395 companies in the Building Materials industry, which is above the industry midpoint. Overall, Cherat Cement Co has a GF Score™ of 88/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Cherat Cement Co's Gross Margin % compare to CRH and VMC?
According to the Building Materials industry distribution chart, Cherat Cement Co ranks #121 out of 395 companies for Gross Margin %. This puts Cherat Cement Co in the upper half of its industry. The industry median Gross Margin % is 26.18. Cherat Cement Co's value of 31.00% is 18.4% above this benchmark. Historically, Cherat Cement Co's own Gross Margin % has ranged from 2.26 to 37.21 over the past decade. While the company's 10-year median is 27.51 vs. the industry median of 26.18, Cherat Cement 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 Building Materials company?
The median Gross Margin % among Building Materials companies is 26.18, based on 395 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. Cherat Cement Co's current Gross Margin % of 31.00% is 18.4% 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 Cherat Cement Co and its competitors. For the Building Materials industry, the median Gross Margin % is 26.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cherat Cement Co's current Gross Margin % is 31.00%, which is 13% above median its own 10-year median of 27.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cherat Cement Co stock overvalued right now?
Based on GuruFocus' analysis, Cherat Cement Co (KAR:CHCC) is currently considered Significantly Overvalued. The stock's GF Value™ is ₨249.38, compared to a current price of ₨345.93 — trading 38.7% above its estimated fair value. The current Gross Margin % is 31.00%, which is 13% above median its 10-year median of 27.51 and 18.4% above the Building Materials industry median of 26.18. Cherat Cement Co's overall GF Score™ is 88/100 with 5 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 Cherat Cement Co (KAR:CHCC), the current Gross Margin % is 31.00% 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 Cherat Cement Co (KAR:CHCC) Overvalued in 2026?
Based on GuruFocus' analysis, Cherat Cement Co stock appears to be overvalued.
The current stock price of ₨345.93 is trading 38.7% above its estimated GF Value™ of ₨249.38.
GuruFocus considers Cherat Cement Co to be Significantly Overvalued.
Key valuation signals for KAR:CHCC:
Gross Margin %: 31.00% (13% above median its 10-year median of 27.51)
GF Value™: ₨249.38 vs. price of ₨345.93 (38.7% above fair value)
Industry Position: 18.4% above the Building Materials median (#121 of 395)
No single metric tells the full story. See the KAR:CHCC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cherat Cement Co Ltd is a Ghulam Faruque Group (GFG) Company. Its main business activity is the manufacturing, marketing, and sale of cement. The main product is ordinary Portland Cement, branded as Cherat, with the introduction of composite Cement named Cherat Khyber. The manufacturing plant is located in Village Lakrai, District Nowshera, Khyber Pakhtunkhwa, Pakistan. The product is actively exported to the Afghanistan market.
88GF Score
Get the complete analysis for KAR:CHCC
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
KAR:CHCC has been successfully added to your 
