The Timken CoMEX:TKR 71 Gross Margin % is 32.00% as of Mar. 2026, which is 9% above its 10-year median of 29.34. GuruFocus rates MEX:TKR with a GF Score™ of 71/100 and a GF Value™ of MXN1,547.04 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 2,993 Industrial Products companies, The Timken Co ranks better than 60.11% on this metric.
The historical rank and industry rank for The Timken Co's Gross Margin % or its related term are showing as below:
MEX:TKR'
s Gross Margin % Range Over the Past 10 Years
Min: 26.46 Med: 29.34 Max: 31.64
Current: 30.57
During the past 13 years, the highestGross Margin % of The Timken Co was 31.64%. The lowest was 26.46%. And the median was 29.34%.
MEX:TKR's Gross Margin % is ranked better than 60.11% of 2993
companies
in the Industrial Products industry
Industry Median: 26.83
vs MEX:TKR: 30.57
The Timken Co had a gross margin of 32.00% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for The Timken Co was 2.10% per year.
The Timken Co (MEX:TKR) 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
The Timken Co had a gross margin of 32.00% 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.
The Timken Co Gross Margin % Related Terms
The Timken Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for The Timken 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.
MEX:TKR vs TTC, SWK, LECO: Gross Margin % Comparison
For the Tools & Accessories subindustry, The Timken 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.
The Timken Co Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, The Timken Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where The Timken 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.
The Timken Co (MEX:TKR) has a Gross Margin % of 32.00% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on The Timken Co and its competitors. This is near median its historical median of 29.34. Over the past decade, The Timken Co's Gross Margin % has ranged from 26.46 to 31.64. According to the industry distribution chart, The Timken Co ranks #1194 out of 2993 companies in the Industrial Products industry, placing it in the top 39.9%.
Is The Timken Co's Gross Margin % too high?
The Timken Co's current Gross Margin % of 32.00% is near median its 10-year median of 29.34. Over the past 10 years, this metric has ranged from a low of 26.46 to a high of 31.64. The Industrial Products industry median Gross Margin % is 26.83. The Timken Co's value of 32.00% is 19.3% above this industry median. Based on the distribution chart, The Timken Co ranks #1194 out of 2993 companies in the Industrial Products industry, which is above the industry midpoint. Overall, The Timken Co has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Timken Co's Gross Margin % compare to TTC and SWK?
According to the Industrial Products industry distribution chart, The Timken Co ranks #1194 out of 2993 companies for Gross Margin %. This puts The Timken Co in the upper half of its industry. The industry median Gross Margin % is 26.83. The Timken Co's value of 32.00% is 19.3% above this benchmark. Historically, The Timken Co's own Gross Margin % has ranged from 26.46 to 31.64 over the past decade. While the company's 10-year median is 29.34 vs. the industry median of 26.83, The Timken 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 an Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.83, based on 2,993 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. The Timken Co's current Gross Margin % of 32.00% is 19.3% 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 The Timken Co and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Timken Co's current Gross Margin % is 32.00%, which is near median its own 10-year median of 29.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Timken Co stock overvalued right now?
Based on GuruFocus' analysis, The Timken Co (MEX:TKR) is currently considered Significantly Overvalued. The stock's GF Value™ is MXN1,547.04, compared to a current price of MXN2,560.00 — trading 65.5% above its estimated fair value. The current Gross Margin % is 32.00%, which is near median its 10-year median of 29.34 and 19.3% above the Industrial Products industry median of 26.83. The Timken Co's overall GF Score™ is 71/100 with 7 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 The Timken Co (MEX:TKR), the current Gross Margin % is 32.00% 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 The Timken Co (MEX:TKR) Overvalued in 2026?
Based on GuruFocus' analysis, The Timken Co stock appears to be overvalued.
The current stock price of MXN2,560.00 is trading 65.5% above its estimated GF Value™ of MXN1,547.04.
GuruFocus considers The Timken Co to be Significantly Overvalued.
Key valuation signals for MEX:TKR:
Gross Margin %: 32.00% (near median its 10-year median of 29.34)
GF Value™: MXN1,547.04 vs. price of MXN2,560.00 (65.5% above fair value)
Industry Position: 19.3% above the Industrial Products median (#1194 of 2993)
No single metric tells the full story. See the MEX:TKR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Timken Co designs and manages a portfolio of engineered bearings and industrial motion products, and provides related services. The various products offered by the company include ball bearings, plain bearings, tapered roller bearings, housed bearings, linear guides, telescopic rails, lubrication systems, agricultural conveyor chains, couplings, brakes, seals, etc. These products are offered through brands like Timken, GGB, Philadelphia Gear, Cone Drive, CGI, and Rollon, among others. The company has two reportable segments: Engineered Bearings, which generates the maximum revenue, and Industrial Motion. Geographically, the company generates maximum revenue from the United States, followed by Europe, Middle East and Africa (EMEA), Asia-Pacific, and the other regions of the Americas.
71GF Score
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