Indo Tech TransformersNSE:INDOTECH +0.12%80 Gross Margin % is 25.92% as of Mar. 2026, which is 4% below its 10-year median of 26.91. GuruFocus rates NSE:INDOTECH with a GF Score™ of 80/100 and a GF Value™ of ₹2,147.89 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 2,996 Industrial Products companies, Indo Tech Transformers ranks better than 55.77% on this metric.
NSE:INDOTECH's Gross Margin % is ranked better than 55.77% of 2996
companies
in the Industrial Products industry
Industry Median: 26.8
vs NSE:INDOTECH: 29.08
Indo Tech Transformers had a gross margin of 25.92% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Indo Tech Transformers was 0.20% 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
Indo Tech Transformers had a gross margin of 25.92% 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.
Indo Tech Transformers Gross Margin % Related Terms
Indo Tech Transformers Gross Margin % Historical Data
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The historical data trend for Indo Tech Transformers'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:INDOTECH vs VRT, BE: Gross Margin % Comparison
For the Electrical Equipment & Parts subindustry, Indo Tech Transformers'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.
Indo Tech Transformers Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Indo Tech Transformers's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Indo Tech Transformers'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.
Indo Tech Transformers (NSE:INDOTECH) has a Gross Margin % of 25.92% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Indo Tech Transformers and its competitors. This is near median its historical median of 26.91. Over the past decade, Indo Tech Transformers' Gross Margin % has ranged from 21.10 to 29.79. According to the industry distribution chart, Indo Tech Transformers ranks #1325 out of 2996 companies in the Industrial Products industry, placing it in the top 44.2%.
Is Indo Tech Transformers' Gross Margin % too high?
Indo Tech Transformers' current Gross Margin % of 25.92% is near median its 10-year median of 26.91. Over the past 10 years, this metric has ranged from a low of 21.10 to a high of 29.79. The Industrial Products industry median Gross Margin % is 26.80. Indo Tech Transformers' value of 25.92% is 3.3% below this industry median. Based on the distribution chart, Indo Tech Transformers ranks #1325 out of 2996 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Indo Tech Transformers has a GF Score™ of 80/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Indo Tech Transformers' Gross Margin % compare to VRT and BE?
According to the Industrial Products industry distribution chart, Indo Tech Transformers ranks #1325 out of 2996 companies for Gross Margin %. This puts Indo Tech Transformers in the upper half of its industry. The industry median Gross Margin % is 26.80. Indo Tech Transformers' value of 25.92% is 3.3% below this benchmark. Historically, Indo Tech Transformers' own Gross Margin % has ranged from 21.10 to 29.79 over the past decade. While the company's 10-year median is 26.91 vs. the industry median of 26.80, Indo Tech Transformers 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 an Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.80, based on 2,996 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. Indo Tech Transformers's current Gross Margin % of 25.92% is 3.3% 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 Indo Tech Transformers and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Indo Tech Transformers's current Gross Margin % is 25.92%, which is near median its own 10-year median of 26.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Indo Tech Transformers stock overvalued right now?
Based on GuruFocus' analysis, Indo Tech Transformers (NSE:INDOTECH) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹2,147.89, compared to a current price of ₹3,239.90 — trading 50.8% above its estimated fair value. The current Gross Margin % is 25.92%, which is near median its 10-year median of 26.91 and 3.3% below the Industrial Products industry median of 26.80. Indo Tech Transformers' overall GF Score™ is 80/100 with 4 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 Indo Tech Transformers (NSE:INDOTECH), the current Gross Margin % is 25.92% 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 Indo Tech Transformers (NSE:INDOTECH) Overvalued in 2026?
Based on GuruFocus' analysis, Indo Tech Transformers stock appears to be overvalued.
The current stock price of ₹3,239.90 is trading 50.8% above its estimated GF Value™ of ₹2,147.89.
GuruFocus considers Indo Tech Transformers to be Significantly Overvalued.
Key valuation signals for NSE:INDOTECH:
Gross Margin %: 25.92% (near median its 10-year median of 26.91)
GF Value™: ₹2,147.89 vs. price of ₹3,239.90 (50.8% above fair value)
Industry Position: 3.3% below the Industrial Products median (#1325 of 2996)
No single metric tells the full story. See the NSE:INDOTECH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Indo Tech Transformers Ltd is engaged in the business of manufacturing power and distribution transformers and various special application transformers, mobile sub-station transformers, and various special application transformers, mobile sub-station transformers and sub-stations. The Company has its manufacturing plant located at Kancheepuram in Tamil Nadu. The majority of the geographical revenue of the company is generated in India.
80GF Score
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