Strides Pharma ScienceNSE:STAR -2.62%67 Gross Margin % is 59.48% as of Mar. 2026, which is 18% above its 10-year median of 50.56. GuruFocus rates NSE:STAR with a GF Score™ of 67/100 and a GF Value™ of ₹773.22 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 938 Drug Manufacturers companies, Strides Pharma Science ranks better than 68.34% 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
Strides Pharma Science had a gross margin of 59.48% 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.
Strides Pharma Science Gross Margin % Related Terms
Strides Pharma Science Gross Margin % Historical Data
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The historical data trend for Strides Pharma Science'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 Drug Manufacturers - Specialty & Generic subindustry, Strides Pharma Science'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.
Strides Pharma Science Gross Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Strides Pharma Science's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Strides Pharma Science'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.
Strides Pharma Science (NSE:STAR) has a Gross Margin % of 59.48% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Strides Pharma Science and its competitors. This is 18% above median its historical median of 50.56. Over the past decade, Strides Pharma Science's Gross Margin % has ranged from 45.49 to 59.69. According to the industry distribution chart, Strides Pharma Science ranks #297 out of 938 companies in the Drug Manufacturers industry, placing it in the top 31.7%.
Is Strides Pharma Science's Gross Margin % too high?
Strides Pharma Science's current Gross Margin % of 59.48% is 18% above median its 10-year median of 50.56. Over the past 10 years, this metric has ranged from a low of 45.49 to a high of 59.69. The Drug Manufacturers industry median Gross Margin % is 48.44. Strides Pharma Science's value of 59.48% is 22.8% above this industry median. Based on the distribution chart, Strides Pharma Science ranks #297 out of 938 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Strides Pharma Science has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Strides Pharma Science's Gross Margin % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Strides Pharma Science ranks #297 out of 938 companies for Gross Margin %. This puts Strides Pharma Science in the upper half of its industry. The industry median Gross Margin % is 48.44. Strides Pharma Science's value of 59.48% is 22.8% above this benchmark. Historically, Strides Pharma Science's own Gross Margin % has ranged from 45.49 to 59.69 over the past decade. While the company's 10-year median is 50.56 vs. the industry median of 48.44, Strides Pharma Science 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 Drug Manufacturers company?
The median Gross Margin % among Drug Manufacturers companies is 48.44, based on 938 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. Strides Pharma Science's current Gross Margin % of 59.48% is 22.8% 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 Strides Pharma Science and its competitors. For the Drug Manufacturers industry, the median Gross Margin % is 48.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Strides Pharma Science's current Gross Margin % is 59.48%, which is 18% above median its own 10-year median of 50.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Strides Pharma Science stock overvalued right now?
Based on GuruFocus' analysis, Strides Pharma Science (NSE:STAR) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹773.22, compared to a current price of ₹1,082.20 — trading 40% above its estimated fair value. The current Gross Margin % is 59.48%, which is 18% above median its 10-year median of 50.56 and 22.8% above the Drug Manufacturers industry median of 48.44. Strides Pharma Science's overall GF Score™ is 67/100 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 Strides Pharma Science (NSE:STAR), the current Gross Margin % is 59.48% 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 Strides Pharma Science (NSE:STAR) Overvalued in 2026?
Based on GuruFocus' analysis, Strides Pharma Science stock appears to be overvalued.
The current stock price of ₹1,082.20 is trading 40% above its estimated GF Value™ of ₹773.22.
GuruFocus considers Strides Pharma Science to be Significantly Overvalued.
Key valuation signals for NSE:STAR:
Gross Margin %: 59.48% (18% above median its 10-year median of 50.56)
GF Value™: ₹773.22 vs. price of ₹1,082.20 (40% above fair value)
Industry Position: 22.8% above the Drug Manufacturers median (#297 of 938)
No single metric tells the full story. See the NSE:STAR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Strides Pharma Science Ltd develops and manufactures a wide range of IP-led niche pharmaceutical products. Its diverse portfolio spans complex generics across multiple dosage forms, including tablets, hard capsules, sachets, liquids, nasal sprays, topicals, and controlled substances. It also manufactures drugs in the anti-retroviral, anti-malarial, anti-tuberculosis, Hepatitis, and other infectious disease drug segments for its institutional business. The customers for this business include institutionally funded aid projects and procurement agencies. With its R&D, integration, and distribution network, the company brings differentiated products to market across the U.S., Australia, Europe, Africa, and Emerging Markets. Geographically, it generates maximum revenue from North America.
67GF Score
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