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
Shaily Engineering Plastics had a gross margin of 59.02% 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.
Shaily Engineering Plastics Gross Margin % Related Terms
Shaily Engineering Plastics 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.
NSE:SHAILY vs LIN, SHW, ECL: Gross Margin % Comparison
For the Specialty Chemicals subindustry, Shaily Engineering Plastics'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.
Shaily Engineering Plastics Gross Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Shaily Engineering Plastics's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Shaily Engineering Plastics'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.
Shaily Engineering Plastics (NSE:SHAILY) has a Gross Margin % of 59.02% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Shaily Engineering Plastics and its competitors. This is 68% above median its historical median of 35.09. Over the past decade, Shaily Engineering Plastics' Gross Margin % has ranged from 30.36 to 56.98. According to the industry distribution chart, Shaily Engineering Plastics ranks #85 out of 1556 companies in the Chemicals industry, placing it in the top 5.5%.
Is Shaily Engineering Plastics' Gross Margin % too high?
Shaily Engineering Plastics' current Gross Margin % of 59.02% is 68% above median its 10-year median of 35.09. Over the past 10 years, this metric has ranged from a low of 30.36 to a high of 56.98. The Chemicals industry median Gross Margin % is 23.47. Shaily Engineering Plastics' value of 59.02% is 151.5% above this industry median. Based on the distribution chart, Shaily Engineering Plastics ranks #85 out of 1556 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Shaily Engineering Plastics has a GF Score™ of 84/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shaily Engineering Plastics' Gross Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Shaily Engineering Plastics ranks #85 out of 1556 companies for Gross Margin %. This places Shaily Engineering Plastics in the top 6% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 23.47. Shaily Engineering Plastics' value of 59.02% is 151.5% above this benchmark. Historically, Shaily Engineering Plastics' own Gross Margin % has ranged from 30.36 to 56.98 over the past decade. While the company's 10-year median is 35.09 vs. the industry median of 23.47, Shaily Engineering Plastics 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 Chemicals company?
The median Gross Margin % among Chemicals companies is 23.47, based on 1,556 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. Shaily Engineering Plastics's current Gross Margin % of 59.02% is 151.5% 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 Shaily Engineering Plastics and its competitors. For the Chemicals industry, the median Gross Margin % is 23.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shaily Engineering Plastics's current Gross Margin % is 59.02%, which is 68% above median its own 10-year median of 35.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shaily Engineering Plastics stock overvalued right now?
Based on GuruFocus' analysis, Shaily Engineering Plastics (NSE:SHAILY) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹1,745.83, compared to a current price of ₹2,767.40 — trading 58.5% above its estimated fair value. The current Gross Margin % is 59.02%, which is 68% above median its 10-year median of 35.09 and 151.5% above the Chemicals industry median of 23.47. Shaily Engineering Plastics' overall GF Score™ is 84/100 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 Shaily Engineering Plastics (NSE:SHAILY), the current Gross Margin % is 59.02% 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 Shaily Engineering Plastics (NSE:SHAILY) Overvalued in 2026?
Based on GuruFocus' analysis, Shaily Engineering Plastics stock appears to be overvalued.
The current stock price of ₹2,767.40 is trading 58.5% above its estimated GF Value™ of ₹1,745.83.
GuruFocus considers Shaily Engineering Plastics to be Significantly Overvalued.
Key valuation signals for NSE:SHAILY:
Gross Margin %: 59.02% (68% above median its 10-year median of 35.09)
GF Value™: ₹1,745.83 vs. price of ₹2,767.40 (58.5% above fair value)
Industry Position: 151.5% above the Chemicals median (#85 of 1556)
No single metric tells the full story. See the NSE:SHAILY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shaily Engineering Plastics Ltd is engaged in the manufacture and sale of injection molded precision plastic components, sub-assemblies, and other related services. Geographically, it derives a majority of revenue from Outside India. Its business units consist of Healthcare, Personal Care, Consumer, and Automotive Engineering Plastics.
84GF Score
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