Kirloskar Electric CoNSE:KECL +1.99%74 Gross Margin % is 33.19% as of Mar. 2026, which is 16% above its 10-year median of 28.57. GuruFocus rates NSE:KECL with a GF Score™ of 74/100 and a GF Value™ of ₹139.15 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 2,996 Industrial Products companies, Kirloskar Electric Co ranks better than 59.78% on this metric.
NSE:KECL's Gross Margin % is ranked better than 59.78% of 2996
companies
in the Industrial Products industry
Industry Median: 26.8
vs NSE:KECL: 30.49
Kirloskar Electric Co had a gross margin of 33.19% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Kirloskar Electric Co was 2.40% per year.
Kirloskar Electric Co (NSE:KECL) 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
Kirloskar Electric Co had a gross margin of 33.19% 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.
Kirloskar Electric Co Gross Margin % Related Terms
Kirloskar Electric Co Gross Margin % Historical Data
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The historical data trend for Kirloskar Electric Co'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:KECL vs GEV, ETN, PH: Gross Margin % Comparison
For the Specialty Industrial Machinery subindustry, Kirloskar Electric Co'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.
Kirloskar Electric Co Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Kirloskar Electric Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Kirloskar Electric Co'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.
Kirloskar Electric Co (NSE:KECL) has a Gross Margin % of 33.19% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Kirloskar Electric Co and its competitors. This is 16% above median its historical median of 28.57. Over the past decade, Kirloskar Electric Co's Gross Margin % has ranged from 22.06 to 32.55. According to the industry distribution chart, Kirloskar Electric Co ranks #1205 out of 2996 companies in the Industrial Products industry, placing it in the top 40.2%.
Is Kirloskar Electric Co's Gross Margin % too high?
Kirloskar Electric Co's current Gross Margin % of 33.19% is 16% above median its 10-year median of 28.57. Over the past 10 years, this metric has ranged from a low of 22.06 to a high of 32.55. The Industrial Products industry median Gross Margin % is 26.80. Kirloskar Electric Co's value of 33.19% is 23.8% above this industry median. Based on the distribution chart, Kirloskar Electric Co ranks #1205 out of 2996 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Kirloskar Electric Co has a GF Score™ of 74/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Kirloskar Electric Co's Gross Margin % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Kirloskar Electric Co ranks #1205 out of 2996 companies for Gross Margin %. This puts Kirloskar Electric Co in the upper half of its industry. The industry median Gross Margin % is 26.80. Kirloskar Electric Co's value of 33.19% is 23.8% above this benchmark. Historically, Kirloskar Electric Co's own Gross Margin % has ranged from 22.06 to 32.55 over the past decade. While the company's 10-year median is 28.57 vs. the industry median of 26.80, Kirloskar Electric Co 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 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. Kirloskar Electric Co's current Gross Margin % of 33.19% is 23.8% 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 Kirloskar Electric Co 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. Kirloskar Electric Co's current Gross Margin % is 33.19%, which is 16% above median its own 10-year median of 28.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kirloskar Electric Co stock overvalued right now?
Based on GuruFocus' analysis, Kirloskar Electric Co (NSE:KECL) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹139.15, compared to a current price of ₹119.64 — trading 14% below its estimated fair value. The current Gross Margin % is 33.19%, which is 16% above median its 10-year median of 28.57 and 23.8% above the Industrial Products industry median of 26.80. Kirloskar Electric Co's overall GF Score™ is 74/100 with 3 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 Kirloskar Electric Co (NSE:KECL), the current Gross Margin % is 33.19% 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 Kirloskar Electric Co (NSE:KECL) Overvalued in 2026?
Based on GuruFocus' analysis, Kirloskar Electric Co stock appears to be undervalued.
The current stock price of ₹119.64 is trading 14% below its estimated GF Value™ of ₹139.15.
GuruFocus considers Kirloskar Electric Co to be Modestly Undervalued.
Key valuation signals for NSE:KECL:
Gross Margin %: 33.19% (16% above median its 10-year median of 28.57)
GF Value™: ₹139.15 vs. price of ₹119.64 (14% below fair value)
Industry Position: 23.8% above the Industrial Products median (#1205 of 2996)
No single metric tells the full story. See the NSE:KECL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kirloskar Electric Co Ltd is an electrical engineering company. The company is engaged in the manufacture of electrical equipment like motors, alternators, and generators, switchgear, transformers, DG sets, and others in India and internationally. The company has different product groups like transformer and distribution groups, large machine groups, low voltage machine groups, and power generation groups. The company caters to economic sectors like power generation, transmission and distribution, transportation, renewable energy, and others. The operating reportable segments of the company are: Power generation and distribution, Rotating machine group, and Others. The company generates maximum revenue from the Rotating machines group segment.
74GF Score
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