TEAR (NGO:2485) Gross Margin %: 38.96% (As of Mar. 2026) — Near Median


NGO:2485 TEAR Corp NGO:2485
58 GF Score
Price 円530.00
GF Value 円689.63
! 7 Warning Signs
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What is TEAR Gross Margin %?

TEAR NGO:2485 58 Gross Margin % is 38.96% as of Mar. 2026, which is 0% below its 10-year median of 39.13. GuruFocus rates NGO:2485 with a GF Score™ of 58/100 and a GF Value™ of 円689.63. The stock has 7 warning signs investors should review. Among 94 Personal Services companies, TEAR ranks worse than 58.51% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. TEAR's Gross Profit for the six months ended in Mar. 2026 was 円4,450 Mil. TEAR's Revenue for the six months ended in Mar. 2026 was 円11,422 Mil. Therefore, TEAR's Gross Margin % for the quarter that ended in Mar. 2026 was 38.96%.


The historical rank and industry rank for TEAR's Gross Margin % or its related term are showing as below:

NGO:2485' s Gross Margin % Range Over the Past 10 Years
Min: 36.96   Med: 39.13   Max: 41.01
Current: 36.96


During the past 13 years, the highest Gross Margin % of TEAR was 41.01%. The lowest was 36.96%. And the median was 39.13%.

NGO:2485's Gross Margin % is ranked worse than
58.51% of 94 companies
in the Personal Services industry
Industry Median: 41.795 vs NGO:2485: 36.96

TEAR had a gross margin of 38.96% for the quarter that ended in Mar. 2026 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for TEAR was 0.10% per year.


TEAR  (NGO:2485) 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

TEAR had a gross margin of 38.96% 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.


TEAR Gross Margin % Related Terms


TEAR Gross Margin % Historical Data

* Premium members only.

The historical data trend for TEAR'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.

TEAR Gross Margin % Chart

TEAR Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 38.94 39.57 41.01 39.48 37.81

TEAR Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 42.21 36.90 40.52 34.67 38.96

NGO:2485 vs ROL, SCI, FTDR: Gross Margin % Comparison

For the Personal Services subindustry, TEAR'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.


TEAR Gross Margin % vs Personal Services Industry

For the Personal Services industry and Consumer Cyclical sector, TEAR's Gross Margin % distribution charts can be found below:

* The bar in red indicates where TEAR's Gross Margin % falls into.


NGO:2485
58GF Score
TEAR Corp NGO:2485
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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TEAR Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

TEAR's Gross Margin for the fiscal year that ended in Sep. 2025 is calculated as

Gross Margin % (A: Sep. 2025 )=Gross Profit (A: Sep. 2025 ) / Revenue (A: Sep. 2025 )
=8154 / 21563
=(Revenue - Cost of Goods Sold) / Revenue
=(21563 - 13409) / 21563
=37.81 %

TEAR's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=4450 / 11422
=(Revenue - Cost of Goods Sold) / Revenue
=(11422 - 6972) / 11422
=38.96 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 38.96% mean?
TEAR (NGO:2485) has a Gross Margin % of 38.96% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on TEAR and its competitors. This is near median its historical median of 39.13. Over the past decade, TEAR's Gross Margin % has ranged from 36.96 to 41.01. According to the industry distribution chart, TEAR ranks #55 out of 94 companies in the Personal Services industry, placing it in the top 58.5%.
Is TEAR's Gross Margin % too high?
TEAR's current Gross Margin % of 38.96% is near median its 10-year median of 39.13. Over the past 10 years, this metric has ranged from a low of 36.96 to a high of 41.01. The Personal Services industry median Gross Margin % is 41.80. TEAR's value of 38.96% is 6.8% below this industry median. Based on the distribution chart, TEAR ranks #55 out of 94 companies in the Personal Services industry, which is below the industry midpoint. Overall, TEAR has a GF Score™ of 58/100, reflecting its overall financial health beyond just this single metric.
How does TEAR's Gross Margin % compare to ROL and SCI?
According to the Personal Services industry distribution chart, TEAR ranks #55 out of 94 companies for Gross Margin %. This places TEAR in the lower half of its industry. The industry median Gross Margin % is 41.80. TEAR's value of 38.96% is 6.8% below this benchmark. Historically, TEAR's own Gross Margin % has ranged from 36.96 to 41.01 over the past decade. While the company's 10-year median is 39.13 vs. the industry median of 41.80, TEAR 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 Personal Services company?
The median Gross Margin % among Personal Services companies is 41.80, based on 94 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. TEAR's current Gross Margin % of 38.96% is 6.8% 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 TEAR and its competitors. For the Personal Services industry, the median Gross Margin % is 41.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TEAR's current Gross Margin % is 38.96%, which is near median its own 10-year median of 39.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TEAR stock overvalued right now?
TEAR (NGO:2485) has a current Gross Margin % of 38.96%. The stock's GF Value™ is 円689.63, compared to a current price of 円530.00 — trading 23.1% below its estimated fair value. The current Gross Margin % is 38.96%, which is near median its 10-year median of 39.13 and 6.8% below the Personal Services industry median of 41.80. TEAR's overall GF Score™ is 58/100 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 TEAR (NGO:2485), the current Gross Margin % is 38.96% 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 TEAR (NGO:2485) Overvalued in 2026?

Based on GuruFocus' analysis, TEAR stock appears to be undervalued. The current stock price of 円530.00 is trading 23.1% below its estimated GF Value™ of 円689.63.

Key valuation signals for NGO:2485:

  • Gross Margin %: 38.96% (near median its 10-year median of 39.13)
  • GF Value™: 円689.63 vs. price of 円530.00 (23.1% below fair value)
  • GF Score™: 58/100 with 7 warning signs
  • Industry Position: 6.8% below the Personal Services median (#55 of 94)

No single metric tells the full story. See the NGO:2485 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


TEAR Business Description

Other Exchanges 2485:Japan
Address 3-35-1, Kurokawahontori, Kita-ku, Nagoya, Nagoya, JPN, 462-0841
TEAR Corp is engaged in the subcontracting of funeral services and legal requirements. The company also provides follow up according to contents of bereaved families and propose funeral business entrants and know how provided by franchise. Its reportable segments are the funeral business, and franchise business. The funeral business segment derives maximum revenue.
58GF Score

Get the complete analysis for NGO:2485

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円530.00
Price
円689.63
GF Value