NSE:MOTHERSON's Gross Margin % is ranked better than 91.07% of 1310
companies
in the Vehicles & Parts industry
Industry Median: 19.835
vs NSE:MOTHERSON: 45.73
Samvardhana Motherson International had a gross margin of 45.81% for the quarter that ended in Mar. 2026 => Durable competitive advantage
Samvardhana Motherson International (NSE:MOTHERSON) 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
Samvardhana Motherson International had a gross margin of 45.81% 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.
Samvardhana Motherson International Gross Margin % Related Terms
Samvardhana Motherson International Gross Margin % Historical Data
* 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.
Samvardhana Motherson International Gross Margin % Chart
NSE:MOTHERSON vs ORLY, AZO: Gross Margin % Comparison
For the Auto Parts subindustry, Samvardhana Motherson International'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.
Samvardhana Motherson International Gross Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Samvardhana Motherson International's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Samvardhana Motherson International'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.
Samvardhana Motherson International (NSE:MOTHERSON) has a Gross Margin % of 45.81% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Samvardhana Motherson International and its competitors. This is 10% above median its historical median of 41.58. Over the past decade, Samvardhana Motherson International's Gross Margin % has ranged from 38.27 to 45.75. According to the industry distribution chart, Samvardhana Motherson International ranks #117 out of 1310 companies in the Vehicles & Parts industry, placing it in the top 8.9%.
Is Samvardhana Motherson International's Gross Margin % too high?
Samvardhana Motherson International's current Gross Margin % of 45.81% is 10% above median its 10-year median of 41.58. Over the past 10 years, this metric has ranged from a low of 38.27 to a high of 45.75. The Vehicles & Parts industry median Gross Margin % is 19.84. Samvardhana Motherson International's value of 45.81% is 131% above this industry median. Based on the distribution chart, Samvardhana Motherson International ranks #117 out of 1310 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Samvardhana Motherson International has a GF Score™ of 80/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Samvardhana Motherson International's Gross Margin % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Samvardhana Motherson International ranks #117 out of 1310 companies for Gross Margin %. This places Samvardhana Motherson International in the top 9% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 19.84. Samvardhana Motherson International's value of 45.81% is 131% above this benchmark. Historically, Samvardhana Motherson International's own Gross Margin % has ranged from 38.27 to 45.75 over the past decade. While the company's 10-year median is 41.58 vs. the industry median of 19.84, Samvardhana Motherson International 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 Vehicles & Parts company?
The median Gross Margin % among Vehicles & Parts companies is 19.84, based on 1,310 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. Samvardhana Motherson International's current Gross Margin % of 45.81% is 131% 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 Samvardhana Motherson International and its competitors. For the Vehicles & Parts industry, the median Gross Margin % is 19.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Samvardhana Motherson International's current Gross Margin % is 45.81%, which is 10% above median its own 10-year median of 41.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Samvardhana Motherson International stock overvalued right now?
Based on GuruFocus' analysis, Samvardhana Motherson International (NSE:MOTHERSON) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹114.51, compared to a current price of ₹147.51 — trading 28.8% above its estimated fair value. The current Gross Margin % is 45.81%, which is 10% above median its 10-year median of 41.58 and 131% above the Vehicles & Parts industry median of 19.84. Samvardhana Motherson International's overall GF Score™ is 80/100 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 Samvardhana Motherson International (NSE:MOTHERSON), the current Gross Margin % is 45.81% 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 Samvardhana Motherson International (NSE:MOTHERSON) Overvalued in 2026?
Based on GuruFocus' analysis, Samvardhana Motherson International stock appears to be overvalued.
The current stock price of ₹147.51 is trading 28.8% above its estimated GF Value™ of ₹114.51.
GuruFocus considers Samvardhana Motherson International to be Modestly Overvalued.
Key valuation signals for NSE:MOTHERSON:
Gross Margin %: 45.81% (10% above median its 10-year median of 41.58)
GF Value™: ₹114.51 vs. price of ₹147.51 (28.8% above fair value)
Industry Position: 131% above the Vehicles & Parts median (#117 of 1310)
No single metric tells the full story. See the NSE:MOTHERSON stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Samvardhana Motherson International Business Description
Samvardhana Motherson International Ltd is a manufacturer of automotive wiring harnesses and plastic components and modules. The products include wiring harnesses, mirrors for passenger cars, injection molded products, modules including dashboards, door trims, bumpers, blow moulded components, liquid silicone rubber molded components, injection molding tools, extruded rubber products, precision machined metal components, and others. The company has five reportable segments such as Wiring Harness, Modules and polymer products, Integrated Assemblies, Vision systems and Emerging businesses. It derives majority of the revenue from Modules and polymer products segment which is engaged in manufacturing and supplies of plastic parts and system modules for vehicle interiors and exteriors.
80GF Score
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