Pakistan State Oil CoKAR:PSO -1.23%83 Gross Margin % is 11.81% as of Mar. 2026, which is 275% above its 10-year median of 3.15. GuruFocus rates KAR:PSO with a GF Score™ of 83/100 and a GF Value™ of ₨254.38 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 870 Oil & Gas companies, Pakistan State Oil Co ranks worse than 86.67% on this metric.
KAR:PSO's Gross Margin % is ranked worse than 86.67% of 870
companies
in the Oil & Gas industry
Industry Median: 25.62
vs KAR:PSO: 5.37
Pakistan State Oil Co had a gross margin of 11.81% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Pakistan State Oil Co was 16.40% per year.
Pakistan State Oil Co (KAR:PSO) 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
Pakistan State Oil Co had a gross margin of 11.81% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
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.
Pakistan State Oil Co Gross Margin % Related Terms
Pakistan State Oil Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Pakistan State Oil 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:PSO vs VLO, MPC, PSX: Gross Margin % Comparison
For the Oil & Gas Refining & Marketing subindustry, Pakistan State Oil 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.
Pakistan State Oil Co Gross Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Pakistan State Oil Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Pakistan State Oil 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.
Pakistan State Oil Co (KAR:PSO) has a Gross Margin % of 11.81% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Pakistan State Oil Co and its competitors. This is 275% above median its historical median of 3.15. Over the past decade, Pakistan State Oil Co's Gross Margin % has ranged from 0.62 to 7.01. According to the industry distribution chart, Pakistan State Oil Co ranks #754 out of 870 companies in the Oil & Gas industry, placing it in the top 86.7%.
Is Pakistan State Oil Co's Gross Margin % too high?
Pakistan State Oil Co's current Gross Margin % of 11.81% is 275% above median its 10-year median of 3.15. Over the past 10 years, this metric has ranged from a low of 0.62 to a high of 7.01. The Oil & Gas industry median Gross Margin % is 25.62. Pakistan State Oil Co's value of 11.81% is 53.9% below this industry median. Based on the distribution chart, Pakistan State Oil Co ranks #754 out of 870 companies in the Oil & Gas industry, which is in the bottom quartile relative to peers. Overall, Pakistan State Oil Co has a GF Score™ of 83/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Pakistan State Oil Co's Gross Margin % compare to VLO and MPC?
According to the Oil & Gas industry distribution chart, Pakistan State Oil Co ranks #754 out of 870 companies for Gross Margin %. This places Pakistan State Oil Co in the lower half of its industry. The industry median Gross Margin % is 25.62. Pakistan State Oil Co's value of 11.81% is 53.9% below this benchmark. Historically, Pakistan State Oil Co's own Gross Margin % has ranged from 0.62 to 7.01 over the past decade. While the company's 10-year median is 3.15 vs. the industry median of 25.62, Pakistan State Oil Co 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 an Oil & Gas company?
The median Gross Margin % among Oil & Gas companies is 25.62, based on 870 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. Pakistan State Oil Co's current Gross Margin % of 11.81% is 53.9% 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 Pakistan State Oil Co and its competitors. For the Oil & Gas industry, the median Gross Margin % is 25.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pakistan State Oil Co's current Gross Margin % is 11.81%, which is 275% above median its own 10-year median of 3.15. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pakistan State Oil Co stock overvalued right now?
Based on GuruFocus' analysis, Pakistan State Oil Co (KAR:PSO) is currently considered Significantly Overvalued. The stock's GF Value™ is ₨254.38, compared to a current price of ₨342.35 — trading 34.6% above its estimated fair value. The current Gross Margin % is 11.81%, which is 275% above median its 10-year median of 3.15 and 53.9% below the Oil & Gas industry median of 25.62. Pakistan State Oil Co's overall GF Score™ is 83/100 with 2 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 Pakistan State Oil Co (KAR:PSO), the current Gross Margin % is 11.81% 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 Pakistan State Oil Co (KAR:PSO) Overvalued in 2026?
Based on GuruFocus' analysis, Pakistan State Oil Co stock appears to be overvalued.
The current stock price of ₨342.35 is trading 34.6% above its estimated GF Value™ of ₨254.38.
GuruFocus considers Pakistan State Oil Co to be Significantly Overvalued.
Key valuation signals for KAR:PSO:
Gross Margin %: 11.81% (275% above median its 10-year median of 3.15)
GF Value™: ₨254.38 vs. price of ₨342.35 (34.6% above fair value)
Industry Position: 53.9% below the Oil & Gas median (#754 of 870)
No single metric tells the full story. See the KAR:PSO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Pakistan State Oil Co Ltd is engaged in the procurement, storage, and marketing of petroleum and related products. It also blends and markets lubricating oils. It comprises three reportable segments: Petroleum products, Liquefied Natural Gas (LNG), and Others. The majority of the company's revenues are derived from the petroleum products segment.
83GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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