Sapphire Foods IndiaNSE:SAPPHIRE +0.40%68 Gross Margin % is 54.77% as of Mar. 2026, which is 11% above its 10-year median of 49.35. GuruFocus rates NSE:SAPPHIRE with a GF Score™ of 68/100 and a GF Value™ of ₹369.21 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 355 Restaurants companies, Sapphire Foods India ranks better than 61.69% on this metric.
The historical rank and industry rank for Sapphire Foods India's Gross Margin % or its related term are showing as below:
NSE:SAPPHIRE'
s Gross Margin % Range Over the Past 10 Years
Min: 43.79 Med: 49.35 Max: 54.47
Current: 54.47
During the past 8 years, the highestGross Margin % of Sapphire Foods India was 54.47%. The lowest was 43.79%. And the median was 49.35%.
NSE:SAPPHIRE's Gross Margin % is ranked better than 61.69% of 355
companies
in the Restaurants industry
Industry Median: 45.66
vs NSE:SAPPHIRE: 54.47
Sapphire Foods India had a gross margin of 54.77% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Sapphire Foods India was 1.40% per year.
Sapphire Foods India (NSE:SAPPHIRE) 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
Sapphire Foods India had a gross margin of 54.77% 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.
Sapphire Foods India Gross Margin % Related Terms
Sapphire Foods India Gross Margin % Historical Data
* Premium members only.
The historical data trend for Sapphire Foods India'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:SAPPHIRE vs MCD, SBUX, YUM: Gross Margin % Comparison
For the Restaurants subindustry, Sapphire Foods India'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.
Sapphire Foods India Gross Margin % vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Sapphire Foods India's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Sapphire Foods India'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.
Sapphire Foods India (NSE:SAPPHIRE) has a Gross Margin % of 54.77% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Sapphire Foods India and its competitors. This is 11% above median its historical median of 49.35. Over the past decade, Sapphire Foods India's Gross Margin % has ranged from 43.79 to 54.47. According to the industry distribution chart, Sapphire Foods India ranks #136 out of 355 companies in the Restaurants industry, placing it in the top 38.3%.
Is Sapphire Foods India's Gross Margin % too high?
Sapphire Foods India's current Gross Margin % of 54.77% is 11% above median its 10-year median of 49.35. Over the past 10 years, this metric has ranged from a low of 43.79 to a high of 54.47. The Restaurants industry median Gross Margin % is 45.66. Sapphire Foods India's value of 54.77% is 20% above this industry median. Based on the distribution chart, Sapphire Foods India ranks #136 out of 355 companies in the Restaurants industry, which is above the industry midpoint. Overall, Sapphire Foods India has a GF Score™ of 68/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Sapphire Foods India's Gross Margin % compare to MCD and SBUX?
According to the Restaurants industry distribution chart, Sapphire Foods India ranks #136 out of 355 companies for Gross Margin %. This puts Sapphire Foods India in the upper half of its industry. The industry median Gross Margin % is 45.66. Sapphire Foods India's value of 54.77% is 20% above this benchmark. Historically, Sapphire Foods India's own Gross Margin % has ranged from 43.79 to 54.47 over the past decade. While the company's 10-year median is 49.35 vs. the industry median of 45.66, Sapphire Foods India 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 Restaurants company?
The median Gross Margin % among Restaurants companies is 45.66, based on 355 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. Sapphire Foods India's current Gross Margin % of 54.77% is 20% 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 Sapphire Foods India and its competitors. For the Restaurants industry, the median Gross Margin % is 45.66 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sapphire Foods India's current Gross Margin % is 54.77%, which is 11% above median its own 10-year median of 49.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sapphire Foods India stock overvalued right now?
Based on GuruFocus' analysis, Sapphire Foods India (NSE:SAPPHIRE) is currently considered Possible Value Trap. The stock's GF Value™ is ₹369.21, compared to a current price of ₹184.89 — trading 49.9% below its estimated fair value. The current Gross Margin % is 54.77%, which is 11% above median its 10-year median of 49.35 and 20% above the Restaurants industry median of 45.66. Sapphire Foods India's overall GF Score™ is 68/100 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 Sapphire Foods India (NSE:SAPPHIRE), the current Gross Margin % is 54.77% 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 Sapphire Foods India (NSE:SAPPHIRE) Overvalued in 2026?
Based on GuruFocus' analysis, Sapphire Foods India stock appears to be undervalued.
The current stock price of ₹184.89 is trading 49.9% below its estimated GF Value™ of ₹369.21.
GuruFocus considers Sapphire Foods India to be Possible Value Trap.
Key valuation signals for NSE:SAPPHIRE:
Gross Margin %: 54.77% (11% above median its 10-year median of 49.35)
GF Value™: ₹369.21 vs. price of ₹184.89 (49.9% below fair value)
Industry Position: 20% above the Restaurants median (#136 of 355)
No single metric tells the full story. See the NSE:SAPPHIRE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sapphire Foods India Ltd is a franchisee of Yum! Brands in the Indian subcontinent, with a track record of operating more than four hundred KFC, Pizza Hut, and Taco Bell restaurants across India, Sri Lanka, and the Maldives. Its business activity majorly falls within a single business and geographical segment, which is Food and Beverages. The company generates the majority of its revenue from Restaurant sales. The company also generates a small portion of its revenue from sales to Airport dealers/ franchisees, Scrap sales & others, and Alliance Income.
68GF Score
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