Sunflag Iron & Steel CoNSE:SUNFLAG -0.55%78 Gross Margin % is 39.93% as of Mar. 2026, which is 71% above its 10-year median of 23.40. GuruFocus rates NSE:SUNFLAG with a GF Score™ of 78/100 and a GF Value™ of ₹259.47 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 592 Steel companies, Sunflag Iron & Steel Co ranks better than 88.85% on this metric.
NSE:SUNFLAG's Gross Margin % is ranked better than 88.85% of 592
companies
in the Steel industry
Industry Median: 12.55
vs NSE:SUNFLAG: 36.86
Sunflag Iron & Steel Co had a gross margin of 39.93% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Sunflag Iron & Steel Co was 10.90% per year.
Sunflag Iron & Steel Co (NSE:SUNFLAG) 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
Sunflag Iron & Steel Co had a gross margin of 39.93% for the quarter that ended in Mar. 2026 => Competition eroding margins
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.
Sunflag Iron & Steel Co Gross Margin % Related Terms
Sunflag Iron & Steel Co 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:SUNFLAG vs NUE, STLD, RS: Gross Margin % Comparison
For the Steel subindustry, Sunflag Iron & Steel Co'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.
Sunflag Iron & Steel Co Gross Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Sunflag Iron & Steel Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Sunflag Iron & Steel Co'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.
Sunflag Iron & Steel Co (NSE:SUNFLAG) has a Gross Margin % of 39.93% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Sunflag Iron & Steel Co and its competitors. This is 71% above median its historical median of 23.40. Over the past decade, Sunflag Iron & Steel Co's Gross Margin % has ranged from 18.98 to 37.56. According to the industry distribution chart, Sunflag Iron & Steel Co ranks #66 out of 592 companies in the Steel industry, placing it in the top 11.1%.
Is Sunflag Iron & Steel Co's Gross Margin % too high?
Sunflag Iron & Steel Co's current Gross Margin % of 39.93% is 71% above median its 10-year median of 23.40. Over the past 10 years, this metric has ranged from a low of 18.98 to a high of 37.56. The Steel industry median Gross Margin % is 12.55. Sunflag Iron & Steel Co's value of 39.93% is 218.2% above this industry median. Based on the distribution chart, Sunflag Iron & Steel Co ranks #66 out of 592 companies in the Steel industry, which is in the top quartile — a strong position relative to peers. Overall, Sunflag Iron & Steel Co has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sunflag Iron & Steel Co's Gross Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Sunflag Iron & Steel Co ranks #66 out of 592 companies for Gross Margin %. This places Sunflag Iron & Steel Co in the top 11% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 12.55. Sunflag Iron & Steel Co's value of 39.93% is 218.2% above this benchmark. Historically, Sunflag Iron & Steel Co's own Gross Margin % has ranged from 18.98 to 37.56 over the past decade. While the company's 10-year median is 23.40 vs. the industry median of 12.55, Sunflag Iron & Steel Co 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 Steel company?
The median Gross Margin % among Steel companies is 12.55, based on 592 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. Sunflag Iron & Steel Co's current Gross Margin % of 39.93% is 218.2% 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 Sunflag Iron & Steel Co and its competitors. For the Steel industry, the median Gross Margin % is 12.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sunflag Iron & Steel Co's current Gross Margin % is 39.93%, which is 71% above median its own 10-year median of 23.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sunflag Iron & Steel Co stock overvalued right now?
Based on GuruFocus' analysis, Sunflag Iron & Steel Co (NSE:SUNFLAG) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹259.47, compared to a current price of ₹353.35 — trading 36.2% above its estimated fair value. The current Gross Margin % is 39.93%, which is 71% above median its 10-year median of 23.40 and 218.2% above the Steel industry median of 12.55. Sunflag Iron & Steel Co's overall GF Score™ is 78/100 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 Sunflag Iron & Steel Co (NSE:SUNFLAG), the current Gross Margin % is 39.93% 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 Sunflag Iron & Steel Co (NSE:SUNFLAG) Overvalued in 2026?
Based on GuruFocus' analysis, Sunflag Iron & Steel Co stock appears to be overvalued.
The current stock price of ₹353.35 is trading 36.2% above its estimated GF Value™ of ₹259.47.
GuruFocus considers Sunflag Iron & Steel Co to be Significantly Overvalued.
Key valuation signals for NSE:SUNFLAG:
Gross Margin %: 39.93% (71% above median its 10-year median of 23.40)
GF Value™: ₹259.47 vs. price of ₹353.35 (36.2% above fair value)
Industry Position: 218.2% above the Steel median (#66 of 592)
No single metric tells the full story. See the NSE:SUNFLAG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sunflag Iron & Steel Co Ltd is engaged in the business of manufacturing and selling special steel rolled products. The company offers rolled steel bars and wires, round steel bars and coils, round cornered steel bars and coils, flat steel bars, and more. It has only one operating segment, i.e., Iron and Steel Business, and operations are mainly within India.
78GF Score
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