JSW SteelNSE:JSWSTEEL -0.83%87 Gross Margin % is 42.66% as of Mar. 2026, which is 3% above its 10-year median of 41.40. GuruFocus rates NSE:JSWSTEEL with a GF Score™ of 87/100 and a GF Value™ of ₹1,038.50 (Modestly Overvalued). The stock has 8 warning signs investors should review. Among 593 Steel companies, JSW Steel ranks better than 92.07% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. JSW Steel's Gross Profit for the
three
months ended in Mar. 2026 was ₹212,450 Mil. JSW Steel's Revenue for the
three
months ended in Mar. 2026 was ₹497,980 Mil. Therefore, JSW Steel's Gross Margin % for the quarter that ended in Mar. 2026 was 42.66%.
Warning Sign:
JSW Steel Ltd gross margin has been in long-term decline. The average rate of decline per year is -1.4%.
The historical rank and industry rank for JSW Steel's Gross Margin % or its related term are showing as below:
NSE:JSWSTEEL'
s Gross Margin % Range Over the Past 10 Years
Min: 33.9 Med: 41.4 Max: 45.25
Current: 43.12
During the past 13 years, the highestGross Margin % of JSW Steel was 45.25%. The lowest was 33.90%. And the median was 41.40%.
NSE:JSWSTEEL's Gross Margin % is ranked better than 92.07% of 593
companies
in the Steel industry
Industry Median: 12.6
vs NSE:JSWSTEEL: 43.12
JSW Steel had a gross margin of 42.66% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for JSW Steel was -1.40% 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
JSW Steel had a gross margin of 42.66% 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.
JSW Steel Gross Margin % Related Terms
JSW Steel Gross Margin % Historical Data
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The historical data trend for JSW Steel'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:JSWSTEEL vs NUE, STLD, RS: Gross Margin % Comparison
For the Steel subindustry, JSW Steel'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.
JSW Steel Gross Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, JSW Steel's Gross Margin % distribution charts can be found below:
* The bar in red indicates where JSW Steel'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.
JSW Steel (NSE:JSWSTEEL) has a Gross Margin % of 42.66% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on JSW Steel and its competitors. This is near median its historical median of 41.40. Over the past decade, JSW Steel's Gross Margin % has ranged from 33.90 to 45.25. According to the industry distribution chart, JSW Steel ranks #47 out of 593 companies in the Steel industry, placing it in the top 7.9%.
Is JSW Steel's Gross Margin % too high?
JSW Steel's current Gross Margin % of 42.66% is near median its 10-year median of 41.40. Over the past 10 years, this metric has ranged from a low of 33.90 to a high of 45.25. The Steel industry median Gross Margin % is 12.60. JSW Steel's value of 42.66% is 238.6% above this industry median. Based on the distribution chart, JSW Steel ranks #47 out of 593 companies in the Steel industry, which is in the top quartile — a strong position relative to peers. Overall, JSW Steel has a GF Score™ of 87/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does JSW Steel's Gross Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, JSW Steel ranks #47 out of 593 companies for Gross Margin %. This places JSW Steel in the top 8% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 12.60. JSW Steel's value of 42.66% is 238.6% above this benchmark. Historically, JSW Steel's own Gross Margin % has ranged from 33.90 to 45.25 over the past decade. While the company's 10-year median is 41.40 vs. the industry median of 12.60, JSW Steel 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 Steel company?
The median Gross Margin % among Steel companies is 12.60, based on 593 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. JSW Steel's current Gross Margin % of 42.66% is 238.6% 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 JSW Steel and its competitors. For the Steel industry, the median Gross Margin % is 12.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. JSW Steel's current Gross Margin % is 42.66%, which is near median its own 10-year median of 41.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is JSW Steel stock overvalued right now?
Based on GuruFocus' analysis, JSW Steel (NSE:JSWSTEEL) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹1,038.50, compared to a current price of ₹1,216.20 — trading 17.1% above its estimated fair value. The current Gross Margin % is 42.66%, which is near median its 10-year median of 41.40 and 238.6% above the Steel industry median of 12.60. JSW Steel's overall GF Score™ is 87/100 with 8 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 JSW Steel (NSE:JSWSTEEL), the current Gross Margin % is 42.66% 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 JSW Steel (NSE:JSWSTEEL) Overvalued in 2026?
Based on GuruFocus' analysis, JSW Steel stock appears to be overvalued.
The current stock price of ₹1,216.20 is trading 17.1% above its estimated GF Value™ of ₹1,038.50.
GuruFocus considers JSW Steel to be Modestly Overvalued.
Key valuation signals for NSE:JSWSTEEL:
Gross Margin %: 42.66% (near median its 10-year median of 41.40)
GF Value™: ₹1,038.50 vs. price of ₹1,216.20 (17.1% above fair value)
Industry Position: 238.6% above the Steel median (#47 of 593)
No single metric tells the full story. See the NSE:JSWSTEEL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
JSW Steel Ltd is an India-based company that is engaged in the business of manufacturing and selling steel products. Its steel products include semis, hot-rolled steel, cold-rolled steel, galvanized steel, color-coated steel, and long products. Its flat steel products (including hot-rolled, cold-rolled, and galvanized products), which account for the majority of the company's steel volume, are used in Indian automotive, construction, infrastructure, engineering, and consumer durable industries. Its long products are used in the Indian construction, infrastructure, and automotive industries. The company generates the majority of its revenue from the Indian domestic market.
87GF Score
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