PPAP AutomotiveNSE:PPAP -3.84%74 Gross Margin % is 41.75% as of Mar. 2026, which is 2% below its 10-year median of 42.40. GuruFocus rates NSE:PPAP with a GF Score™ of 74/100 and a GF Value™ of ₹228.64 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,311 Vehicles & Parts companies, PPAP Automotive ranks better than 90.08% on this metric.
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
PPAP Automotive had a gross margin of 41.75% 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.
PPAP Automotive Gross Margin % Related Terms
PPAP Automotive Gross Margin % Historical Data
* Premium members only.
The historical data trend for PPAP Automotive'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.
For the Auto Parts subindustry, PPAP Automotive'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.
PPAP Automotive Gross Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, PPAP Automotive's Gross Margin % distribution charts can be found below:
* The bar in red indicates where PPAP Automotive'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.
PPAP Automotive (NSE:PPAP) has a Gross Margin % of 41.75% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on PPAP Automotive and its competitors. This is near median its historical median of 42.40. Over the past decade, PPAP Automotive's Gross Margin % has ranged from 34.69 to 46.73. According to the industry distribution chart, PPAP Automotive ranks #130 out of 1311 companies in the Vehicles & Parts industry, placing it in the top 9.9%.
Is PPAP Automotive's Gross Margin % too high?
PPAP Automotive's current Gross Margin % of 41.75% is near median its 10-year median of 42.40. Over the past 10 years, this metric has ranged from a low of 34.69 to a high of 46.73. The Vehicles & Parts industry median Gross Margin % is 19.84. PPAP Automotive's value of 41.75% is 110.4% above this industry median. Based on the distribution chart, PPAP Automotive ranks #130 out of 1311 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, PPAP Automotive has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does PPAP Automotive's Gross Margin % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, PPAP Automotive ranks #130 out of 1311 companies for Gross Margin %. This places PPAP Automotive in the top 10% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 19.84. PPAP Automotive's value of 41.75% is 110.4% above this benchmark. Historically, PPAP Automotive's own Gross Margin % has ranged from 34.69 to 46.73 over the past decade. While the company's 10-year median is 42.40 vs. the industry median of 19.84, PPAP Automotive 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 1,311 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. PPAP Automotive's current Gross Margin % of 41.75% is 110.4% 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 PPAP Automotive 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. PPAP Automotive's current Gross Margin % is 41.75%, which is near median its own 10-year median of 42.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PPAP Automotive stock overvalued right now?
Based on GuruFocus' analysis, PPAP Automotive (NSE:PPAP) is currently considered Fairly Valued. The stock's GF Value™ is ₹228.64, compared to a current price of ₹231.17 — trading 1.1% above its estimated fair value. The current Gross Margin % is 41.75%, which is near median its 10-year median of 42.40 and 110.4% above the Vehicles & Parts industry median of 19.84. PPAP Automotive's overall GF Score™ is 74/100 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 PPAP Automotive (NSE:PPAP), the current Gross Margin % is 41.75% 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 PPAP Automotive (NSE:PPAP) Overvalued in 2026?
Based on GuruFocus' analysis, PPAP Automotive stock appears to be overvalued.
The current stock price of ₹231.17 is trading 1.1% above its estimated GF Value™ of ₹228.64.
GuruFocus considers PPAP Automotive to be Fairly Valued.
Key valuation signals for NSE:PPAP:
Gross Margin %: 41.75% (near median its 10-year median of 42.40)
GF Value™: ₹228.64 vs. price of ₹231.17 (1.1% above fair value)
Industry Position: 110.4% above the Vehicles & Parts median (#130 of 1311)
No single metric tells the full story. See the NSE:PPAP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PPAP Automotive Ltd is an Indian company specializing in the manufacturing of automotive sealing systems, interior and exterior automotive parts using plastic and rubber extrusion and plastic injection molding technologies. It serves many automotive OEMs in passenger vehicles, two-wheelers, and commercial vehicle segments. The company operates manufacturing facilities across key automotive hubs in India, including Noida, Surajpur, Chennai, Pathredi, and Viramgam. PPAP also develops high-precision plastic injection toolings and has expanded into lithium-ion battery pack solutions for electric two-wheelers and three-wheelers.
74GF Score
Get the complete analysis for NSE:PPAP
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
NSE:PPAP has been successfully added to your 
