Bharat ForgeNSE:BHARATFORG -0.57%85 Gross Margin % is 52.48% as of Mar. 2026, which is 20% above its 10-year median of 43.56. GuruFocus rates NSE:BHARATFORG with a GF Score™ of 85/100 and a GF Value™ of ₹1,459.38 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 1,308 Vehicles & Parts companies, Bharat Forge ranks better than 95.95% on this metric.
The historical rank and industry rank for Bharat Forge's Gross Margin % or its related term are showing as below:
NSE:BHARATFORG'
s Gross Margin % Range Over the Past 10 Years
Min: 38.48 Med: 43.56 Max: 56.39
Current: 54.86
During the past 13 years, the highestGross Margin % of Bharat Forge was 56.39%. The lowest was 38.48%. And the median was 43.56%.
NSE:BHARATFORG's Gross Margin % is ranked better than 95.95% of 1308
companies
in the Vehicles & Parts industry
Industry Median: 19.8
vs NSE:BHARATFORG: 54.86
Bharat Forge had a gross margin of 52.48% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Bharat Forge was 5.70% per year.
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
Bharat Forge had a gross margin of 52.48% for the quarter that ended in Mar. 2026 => Durable 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.
Bharat Forge Gross Margin % Related Terms
Bharat Forge Gross Margin % Historical Data
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The historical data trend for Bharat Forge'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:BHARATFORG vs ORLY, AZO: Gross Margin % Comparison
For the Auto Parts subindustry, Bharat Forge'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.
Bharat Forge Gross Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Bharat Forge's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Bharat Forge'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.
Bharat Forge (NSE:BHARATFORG) has a Gross Margin % of 52.48% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Bharat Forge and its competitors. This is 20% above median its historical median of 43.56. Over the past decade, Bharat Forge's Gross Margin % has ranged from 38.48 to 56.39. According to the industry distribution chart, Bharat Forge ranks #53 out of 1308 companies in the Vehicles & Parts industry, placing it in the top 4.1%.
Is Bharat Forge's Gross Margin % too high?
Bharat Forge's current Gross Margin % of 52.48% is 20% above median its 10-year median of 43.56. Over the past 10 years, this metric has ranged from a low of 38.48 to a high of 56.39. The Vehicles & Parts industry median Gross Margin % is 19.80. Bharat Forge's value of 52.48% is 165.1% above this industry median. Based on the distribution chart, Bharat Forge ranks #53 out of 1308 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Bharat Forge has a GF Score™ of 85/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Bharat Forge's Gross Margin % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Bharat Forge ranks #53 out of 1308 companies for Gross Margin %. This places Bharat Forge in the top 4% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 19.80. Bharat Forge's value of 52.48% is 165.1% above this benchmark. Historically, Bharat Forge's own Gross Margin % has ranged from 38.48 to 56.39 over the past decade. While the company's 10-year median is 43.56 vs. the industry median of 19.80, Bharat Forge 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 Vehicles & Parts company?
The median Gross Margin % among Vehicles & Parts companies is 19.80, based on 1,308 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. Bharat Forge's current Gross Margin % of 52.48% is 165.1% 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 Bharat Forge and its competitors. For the Vehicles & Parts industry, the median Gross Margin % is 19.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bharat Forge's current Gross Margin % is 52.48%, which is 20% above median its own 10-year median of 43.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bharat Forge stock overvalued right now?
Based on GuruFocus' analysis, Bharat Forge (NSE:BHARATFORG) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹1,459.38, compared to a current price of ₹2,136.70 — trading 46.4% above its estimated fair value. The current Gross Margin % is 52.48%, which is 20% above median its 10-year median of 43.56 and 165.1% above the Vehicles & Parts industry median of 19.80. Bharat Forge's overall GF Score™ is 85/100 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 Bharat Forge (NSE:BHARATFORG), the current Gross Margin % is 52.48% 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 Bharat Forge (NSE:BHARATFORG) Overvalued in 2026?
Based on GuruFocus' analysis, Bharat Forge stock appears to be overvalued.
The current stock price of ₹2,136.70 is trading 46.4% above its estimated GF Value™ of ₹1,459.38.
GuruFocus considers Bharat Forge to be Significantly Overvalued.
Key valuation signals for NSE:BHARATFORG:
Gross Margin %: 52.48% (20% above median its 10-year median of 43.56)
GF Value™: ₹1,459.38 vs. price of ₹2,136.70 (46.4% above fair value)
Industry Position: 165.1% above the Vehicles & Parts median (#53 of 1308)
No single metric tells the full story. See the NSE:BHARATFORG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bharat Forge Ltd is an Indian multinational engaged in metal forging across different industries. The company has the following business units: automotive, power, oil and gas, construction and mining, rail, marine and aerospace. The automotive unit offers products including powertrain components, machines crankshafts, connecting rods, and piston. The Power business unit manufactures components for thermal, wind, hydro and nuclear applications. The Company divides its business into three reporting segments: "Forgings", "Defense", and "Others". The Forgings segment focuses on manufacturing forged components, while the Defense segment centers around defense-related activities. The "Others" segment encompasses all other businesses not covered by Forgings and Defense.
85GF Score
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