Atam ValvesNSE:ATAM -1.02%81 Gross Margin % is 39.17% as of Mar. 2026, which is 11% below its 10-year median of 44.24. GuruFocus rates NSE:ATAM with a GF Score™ of 81/100 and a GF Value™ of ₹117.04 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 3,003 Industrial Products companies, Atam Valves ranks better than 79.12% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Atam Valves's Gross Profit for the
three
months ended in Mar. 2026 was ₹51.3 Mil. Atam Valves's Revenue for the
three
months ended in Mar. 2026 was ₹131.0 Mil. Therefore, Atam Valves's Gross Margin % for the quarter that ended in Mar. 2026 was 39.17%.
Warning Sign:
Atam Valves Ltd gross margin has been in long-term decline. The average rate of decline per year is -1.8%.
The historical rank and industry rank for Atam Valves's Gross Margin % or its related term are showing as below:
NSE:ATAM'
s Gross Margin % Range Over the Past 10 Years
Min: 40.34 Med: 44.24 Max: 49.32
Current: 40.34
During the past 9 years, the highestGross Margin % of Atam Valves was 49.32%. The lowest was 40.34%. And the median was 44.24%.
NSE:ATAM's Gross Margin % is ranked better than 79.12% of 3003
companies
in the Industrial Products industry
Industry Median: 26.79
vs NSE:ATAM: 40.34
Atam Valves had a gross margin of 39.17% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Atam Valves was -1.80% per year.
Atam Valves (NSE:ATAM) 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
Atam Valves had a gross margin of 39.17% 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.
Atam Valves Gross Margin % Related Terms
Atam Valves Gross Margin % Historical Data
* Premium members only.
The historical data trend for Atam Valves'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.
NSE:ATAM vs GEV, ETN, PH: Gross Margin % Comparison
For the Specialty Industrial Machinery subindustry, Atam Valves'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.
Atam Valves Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Atam Valves's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Atam Valves'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.
Atam Valves (NSE:ATAM) has a Gross Margin % of 39.17% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Atam Valves and its competitors. This is 11% below median its historical median of 44.24. Over the past decade, Atam Valves' Gross Margin % has ranged from 40.34 to 49.32. According to the industry distribution chart, Atam Valves ranks #627 out of 3003 companies in the Industrial Products industry, placing it in the top 20.9%.
Is Atam Valves' Gross Margin % too high?
Atam Valves' current Gross Margin % of 39.17% is 11% below median its 10-year median of 44.24. Over the past 10 years, this metric has ranged from a low of 40.34 to a high of 49.32. The Industrial Products industry median Gross Margin % is 26.79. Atam Valves' value of 39.17% is 46.2% above this industry median. Based on the distribution chart, Atam Valves ranks #627 out of 3003 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Atam Valves has a GF Score™ of 81/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Atam Valves' Gross Margin % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Atam Valves ranks #627 out of 3003 companies for Gross Margin %. This places Atam Valves in the top 21% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 26.79. Atam Valves' value of 39.17% is 46.2% above this benchmark. Historically, Atam Valves' own Gross Margin % has ranged from 40.34 to 49.32 over the past decade. While the company's 10-year median is 44.24 vs. the industry median of 26.79, Atam Valves 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 26.79, based on 3,003 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. Atam Valves's current Gross Margin % of 39.17% is 46.2% 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 Atam Valves and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Atam Valves's current Gross Margin % is 39.17%, which is 11% below median its own 10-year median of 44.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Atam Valves stock overvalued right now?
Based on GuruFocus' analysis, Atam Valves (NSE:ATAM) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹117.04, compared to a current price of ₹70.02 — trading 40.2% below its estimated fair value. The current Gross Margin % is 39.17%, which is 11% below median its 10-year median of 44.24 and 46.2% above the Industrial Products industry median of 26.79. Atam Valves' overall GF Score™ is 81/100 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 Atam Valves (NSE:ATAM), the current Gross Margin % is 39.17% 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 Atam Valves (NSE:ATAM) Overvalued in 2026?
Based on GuruFocus' analysis, Atam Valves stock appears to be undervalued.
The current stock price of ₹70.02 is trading 40.2% below its estimated GF Value™ of ₹117.04.
GuruFocus considers Atam Valves to be Significantly Undervalued.
Key valuation signals for NSE:ATAM:
Gross Margin %: 39.17% (11% below median its 10-year median of 44.24)
GF Value™: ₹117.04 vs. price of ₹70.02 (40.2% below fair value)
Industry Position: 46.2% above the Industrial Products median (#627 of 3003)
No single metric tells the full story. See the NSE:ATAM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Atam Valves Ltd operates in the single segment of manufacturing and supplying valves, fittings, steam traps, and strainers. The company produces a wide range of valves including gate valves, globe valves, non-return valves, ball valves, butterfly valves, plug valves, parallel slide valves, safety valves, pressure reducing valves, fusible plugs, and water level gauges. Its products serve industrial and domestic applications across sectors such as oil and gas, chemical processing, pharmaceuticals, power plants, marine, food processing, and infrastructure. Atam Valves generates revenue prominently through the sale of these engineered products under its brands.
81GF Score
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