Indian OilNSE:IOC -1.65%84 Gross Margin % is 20.39% as of Mar. 2026, which is 53% above its 10-year median of 13.37. GuruFocus rates NSE:IOC with a GF Score™ of 84/100 and a GF Value™ of ₹154.55 (Fairly Valued). The stock has 5 warning signs investors should review. Among 872 Oil & Gas companies, Indian Oil ranks worse than 63.42% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Indian Oil's Gross Profit for the
three
months ended in Mar. 2026 was ₹424,652 Mil. Indian Oil's Revenue for the
three
months ended in Mar. 2026 was ₹2,082,893 Mil. Therefore, Indian Oil's Gross Margin % for the quarter that ended in Mar. 2026 was 20.39%.
The historical rank and industry rank for Indian Oil's Gross Margin % or its related term are showing as below:
NSE:IOC'
s Gross Margin % Range Over the Past 10 Years
Min: 6.77 Med: 13.37 Max: 18.93
Current: 16.94
During the past 13 years, the highestGross Margin % of Indian Oil was 18.93%. The lowest was 6.77%. And the median was 13.37%.
NSE:IOC's Gross Margin % is ranked worse than 63.42% of 872
companies
in the Oil & Gas industry
Industry Median: 25.535
vs NSE:IOC: 16.94
Indian Oil had a gross margin of 20.39% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Indian Oil was -0.90% per year.
Indian Oil (NSE:IOC) 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
Indian Oil had a gross margin of 20.39% 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.
Indian Oil Gross Margin % Related Terms
Indian Oil Gross Margin % Historical Data
* Premium members only.
The historical data trend for Indian Oil'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:IOC vs VLO, MPC, PSX: Gross Margin % Comparison
For the Oil & Gas Refining & Marketing subindustry, Indian Oil'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.
Indian Oil Gross Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Indian Oil's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Indian Oil'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.
Indian Oil (NSE:IOC) has a Gross Margin % of 20.39% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Indian Oil and its competitors. This is 53% above median its historical median of 13.37. Over the past decade, Indian Oil's Gross Margin % has ranged from 6.77 to 18.93. According to the industry distribution chart, Indian Oil ranks #553 out of 872 companies in the Oil & Gas industry, placing it in the top 63.4%.
Is Indian Oil's Gross Margin % too high?
Indian Oil's current Gross Margin % of 20.39% is 53% above median its 10-year median of 13.37. Over the past 10 years, this metric has ranged from a low of 6.77 to a high of 18.93. The Oil & Gas industry median Gross Margin % is 25.54. Indian Oil's value of 20.39% is 20.1% below this industry median. Based on the distribution chart, Indian Oil ranks #553 out of 872 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, Indian Oil has a GF Score™ of 84/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Indian Oil's Gross Margin % compare to VLO and MPC?
According to the Oil & Gas industry distribution chart, Indian Oil ranks #553 out of 872 companies for Gross Margin %. This places Indian Oil in the lower half of its industry. The industry median Gross Margin % is 25.54. Indian Oil's value of 20.39% is 20.1% below this benchmark. Historically, Indian Oil's own Gross Margin % has ranged from 6.77 to 18.93 over the past decade. While the company's 10-year median is 13.37 vs. the industry median of 25.54, Indian Oil 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 Oil & Gas company?
The median Gross Margin % among Oil & Gas companies is 25.54, based on 872 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. Indian Oil's current Gross Margin % of 20.39% is 20.1% 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 Indian Oil and its competitors. For the Oil & Gas industry, the median Gross Margin % is 25.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Indian Oil's current Gross Margin % is 20.39%, which is 53% above median its own 10-year median of 13.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Indian Oil stock overvalued right now?
Based on GuruFocus' analysis, Indian Oil (NSE:IOC) is currently considered Fairly Valued. The stock's GF Value™ is ₹154.55, compared to a current price of ₹143.89 — trading 6.9% below its estimated fair value. The current Gross Margin % is 20.39%, which is 53% above median its 10-year median of 13.37 and 20.1% below the Oil & Gas industry median of 25.54. Indian Oil's overall GF Score™ is 84/100 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 Indian Oil (NSE:IOC), the current Gross Margin % is 20.39% 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 Indian Oil (NSE:IOC) Overvalued in 2026?
Based on GuruFocus' analysis, Indian Oil stock appears to be undervalued.
The current stock price of ₹143.89 is trading 6.9% below its estimated GF Value™ of ₹154.55.
GuruFocus considers Indian Oil to be Fairly Valued.
Key valuation signals for NSE:IOC:
Gross Margin %: 20.39% (53% above median its 10-year median of 13.37)
GF Value™: ₹154.55 vs. price of ₹143.89 (6.9% below fair value)
Industry Position: 20.1% below the Oil & Gas median (#553 of 872)
No single metric tells the full story. See the NSE:IOC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Indian Oil Corp Ltd conducts business across the entire hydrocarbon value chain, from refining, pipeline transportation and marketing, to exploration and production of crude oil and gas, petrochemicals, gas marketing, alternative energy sources, and globalisation of downstream operations. The group is engaged in the following business segments: Sale of Petroleum Products, Sale of Petrochemicals, Sale of Gas, and the Other operating segment, which includes oil and gas exploration activities, explosives and cryogenic business, and windmill and solar power generation. The majority of its revenue is generated from the sale of petroleum products such as motor spirit, high speed diesel, liquified petroleum gas, aviation turbine fuel, and others. Geographically, it derives key revenue from India.
84GF Score
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