Canarys AutomationsNSE:CANARYS +1.31%20 Gross Margin % is 23.99% as of Sep. 2025, which is 24% below its 10-year median of 31.69. GuruFocus rates NSE:CANARYS with a GF Score™ of 20/100. The stock has 1 warning sign investors should review. Among 2,681 Software companies, Canarys Automations ranks worse than 73.03% on this metric.
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
Canarys Automations had a gross margin of 23.99% for the quarter that ended in Sep. 2025 => 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.
Canarys Automations Gross Margin % Related Terms
Canarys Automations Gross Margin % Historical Data
* Premium members only.
The historical data trend for Canarys Automations'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:CANARYS vs IBM, ACN, FISV: Gross Margin % Comparison
For the Information Technology Services subindustry, Canarys Automations'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.
Canarys Automations Gross Margin % vs Software Industry
For the Software industry and Technology sector, Canarys Automations's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Canarys Automations'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.
Canarys Automations (NSE:CANARYS) has a Gross Margin % of 23.99% as of Sep. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Canarys Automations and its competitors. This is 24% below median its historical median of 31.69. Over the past decade, Canarys Automations' Gross Margin % has ranged from 23.99 to 35.32. According to the industry distribution chart, Canarys Automations ranks #1958 out of 2681 companies in the Software industry, placing it in the top 73%.
Is Canarys Automations' Gross Margin % too high?
Canarys Automations' current Gross Margin % of 23.99% is 24% below median its 10-year median of 31.69. Over the past 10 years, this metric has ranged from a low of 23.99 to a high of 35.32. The Software industry median Gross Margin % is 40.41. Canarys Automations' value of 23.99% is 40.6% below this industry median. Based on the distribution chart, Canarys Automations ranks #1958 out of 2681 companies in the Software industry, which is below the industry midpoint. Overall, Canarys Automations has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Canarys Automations' Gross Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Canarys Automations ranks #1958 out of 2681 companies for Gross Margin %. This places Canarys Automations in the lower half of its industry. The industry median Gross Margin % is 40.41. Canarys Automations' value of 23.99% is 40.6% below this benchmark. Historically, Canarys Automations' own Gross Margin % has ranged from 23.99 to 35.32 over the past decade. While the company's 10-year median is 31.69 vs. the industry median of 40.41, Canarys Automations 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 Software company?
The median Gross Margin % among Software companies is 40.41, based on 2,681 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. Canarys Automations's current Gross Margin % of 23.99% is 40.6% 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 Canarys Automations and its competitors. For the Software industry, the median Gross Margin % is 40.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Canarys Automations's current Gross Margin % is 23.99%, which is 24% below median its own 10-year median of 31.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Canarys Automations stock overvalued right now?
Canarys Automations (NSE:CANARYS) has a current Gross Margin % of 23.99%. The current Gross Margin % is 23.99%, which is 24% below median its 10-year median of 31.69 and 40.6% below the Software industry median of 40.41. Canarys Automations' overall GF Score™ is 20/100 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 Canarys Automations (NSE:CANARYS), the current Gross Margin % is 23.99% as of Sep. 2025. 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.
Canarys Automations Ltd is an IT solutions provider specializing in enabling digital transformation for businesses through its software solutions in the areas of Digitalization, Modernization, Automation, and Intelligence. The company's solutions include Digital Transformation, Digital DevOps, Digital Assurance, Telemetry, Water Resources Management, and Cloud IT, and are delivered across industry sectors such as BFSI, Retail, Healthcare, Pharmaceutical, Manufacturing, and Insurance. it operates through two segments, Technology Solutions and Water Resource Management Solutions, with the majority of its revenue generated from the Technology Solutions segment. The company's revenue is generated from India sales, which contribute the maximum revenue, and international sales.
20GF Score
Get the complete analysis for NSE:CANARYS
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
NSE:CANARYS has been successfully added to your 