Taiyo Kagaku CoNGO:2902 +0.58%76 Gross Margin % is 30.60% as of Mar. 2026, which is 13% above its 10-year median of 27.01. GuruFocus rates NGO:2902 with a GF Score™ of 76/100 and a GF Value™ of 円1,866.26 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 1,555 Chemicals companies, Taiyo Kagaku Co ranks better than 66.3% on this metric.
The historical rank and industry rank for Taiyo Kagaku Co's Gross Margin % or its related term are showing as below:
NGO:2902'
s Gross Margin % Range Over the Past 10 Years
Min: 23.34 Med: 27.01 Max: 30.5
Current: 30.5
During the past 13 years, the highestGross Margin % of Taiyo Kagaku Co was 30.50%. The lowest was 23.34%. And the median was 27.01%.
NGO:2902's Gross Margin % is ranked better than 66.3% of 1555
companies
in the Chemicals industry
Industry Median: 23.44
vs NGO:2902: 30.50
Taiyo Kagaku Co had a gross margin of 30.60% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Taiyo Kagaku Co was 0.30% per year.
Taiyo Kagaku Co (NGO:2902) 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
Taiyo Kagaku Co had a gross margin of 30.60% 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.
Taiyo Kagaku Co Gross Margin % Related Terms
Taiyo Kagaku Co Gross Margin % Historical Data
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The historical data trend for Taiyo Kagaku 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.
NGO:2902 vs LIN, SHW, ECL: Gross Margin % Comparison
For the Specialty Chemicals subindustry, Taiyo Kagaku 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.
Taiyo Kagaku Co Gross Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Taiyo Kagaku Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Taiyo Kagaku 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.
Taiyo Kagaku Co (NGO:2902) has a Gross Margin % of 30.60% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Taiyo Kagaku Co and its competitors. This is 13% above median its historical median of 27.01. Over the past decade, Taiyo Kagaku Co's Gross Margin % has ranged from 23.34 to 30.50. According to the industry distribution chart, Taiyo Kagaku Co ranks #524 out of 1555 companies in the Chemicals industry, placing it in the top 33.7%.
Is Taiyo Kagaku Co's Gross Margin % too high?
Taiyo Kagaku Co's current Gross Margin % of 30.60% is 13% above median its 10-year median of 27.01. Over the past 10 years, this metric has ranged from a low of 23.34 to a high of 30.50. The Chemicals industry median Gross Margin % is 23.44. Taiyo Kagaku Co's value of 30.60% is 30.5% above this industry median. Based on the distribution chart, Taiyo Kagaku Co ranks #524 out of 1555 companies in the Chemicals industry, which is above the industry midpoint. Overall, Taiyo Kagaku Co has a GF Score™ of 76/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Taiyo Kagaku Co's Gross Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Taiyo Kagaku Co ranks #524 out of 1555 companies for Gross Margin %. This puts Taiyo Kagaku Co in the upper half of its industry. The industry median Gross Margin % is 23.44. Taiyo Kagaku Co's value of 30.60% is 30.5% above this benchmark. Historically, Taiyo Kagaku Co's own Gross Margin % has ranged from 23.34 to 30.50 over the past decade. While the company's 10-year median is 27.01 vs. the industry median of 23.44, Taiyo Kagaku 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 Chemicals company?
The median Gross Margin % among Chemicals companies is 23.44, based on 1,555 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. Taiyo Kagaku Co's current Gross Margin % of 30.60% is 30.5% 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 Taiyo Kagaku Co and its competitors. For the Chemicals industry, the median Gross Margin % is 23.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Taiyo Kagaku Co's current Gross Margin % is 30.60%, which is 13% above median its own 10-year median of 27.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Taiyo Kagaku Co stock overvalued right now?
Based on GuruFocus' analysis, Taiyo Kagaku Co (NGO:2902) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,866.26, compared to a current price of 円2,796.00 — trading 49.8% above its estimated fair value. The current Gross Margin % is 30.60%, which is 13% above median its 10-year median of 27.01 and 30.5% above the Chemicals industry median of 23.44. Taiyo Kagaku Co's overall GF Score™ is 76/100 with 1 warning sign 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 Taiyo Kagaku Co (NGO:2902), the current Gross Margin % is 30.60% 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 Taiyo Kagaku Co (NGO:2902) Overvalued in 2026?
Based on GuruFocus' analysis, Taiyo Kagaku Co stock appears to be overvalued.
The current stock price of 円2,796.00 is trading 49.8% above its estimated GF Value™ of 円1,866.26.
GuruFocus considers Taiyo Kagaku Co to be Significantly Overvalued.
Key valuation signals for NGO:2902:
Gross Margin %: 30.60% (13% above median its 10-year median of 27.01)
GF Value™: 円1,866.26 vs. price of 円2,796.00 (49.8% above fair value)
Industry Position: 30.5% above the Chemicals median (#524 of 1555)
No single metric tells the full story. See the NGO:2902 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Taiyo Kagaku Co Ltd is based in Japan. The company has three reportable segments: the Nutrition Business, the Interface Solutions Business, and the Natural Ingredients Business. The Nutrition Business manufactures and sells functional food ingredients such as catechin (green tea extract), theanine (a functional amino acid), and water-soluble dietary fiber, as well as mineral and vitamin preparations. The Interface Solutions Business manufactures and sells quality improvers such as emulsifiers. The Natural Ingredients Business manufactures and sells food ingredients such as egg products, protein ingredients, ingredients for instant foods, and processed agricultural products, as well as quality improvers and stabilizers.
76GF Score
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