Tamilnadu PetroproductsNSE:TNPETRO +2.13%72 Gross Margin % is 49.72% as of Mar. 2026, which is 19% above its 10-year median of 41.69. GuruFocus rates NSE:TNPETRO with a GF Score™ of 72/100 and a GF Value™ of ₹71.28 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 1,555 Chemicals companies, Tamilnadu Petroproducts ranks better than 91.32% 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
Tamilnadu Petroproducts had a gross margin of 49.72% 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.
Tamilnadu Petroproducts Gross Margin % Related Terms
Tamilnadu Petroproducts 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:TNPETRO vs LIN, SHW, ECL: Gross Margin % Comparison
For the Specialty Chemicals subindustry, Tamilnadu Petroproducts'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.
Tamilnadu Petroproducts Gross Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Tamilnadu Petroproducts's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Tamilnadu Petroproducts'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.
Tamilnadu Petroproducts (NSE:TNPETRO) has a Gross Margin % of 49.72% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Tamilnadu Petroproducts and its competitors. This is 19% above median its historical median of 41.69. Over the past decade, Tamilnadu Petroproducts' Gross Margin % has ranged from 37.36 to 52.26. According to the industry distribution chart, Tamilnadu Petroproducts ranks #135 out of 1555 companies in the Chemicals industry, placing it in the top 8.7%.
Is Tamilnadu Petroproducts' Gross Margin % too high?
Tamilnadu Petroproducts' current Gross Margin % of 49.72% is 19% above median its 10-year median of 41.69. Over the past 10 years, this metric has ranged from a low of 37.36 to a high of 52.26. The Chemicals industry median Gross Margin % is 23.44. Tamilnadu Petroproducts' value of 49.72% is 112.1% above this industry median. Based on the distribution chart, Tamilnadu Petroproducts ranks #135 out of 1555 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Tamilnadu Petroproducts has a GF Score™ of 72/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tamilnadu Petroproducts' Gross Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Tamilnadu Petroproducts ranks #135 out of 1555 companies for Gross Margin %. This places Tamilnadu Petroproducts in the top 9% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 23.44. Tamilnadu Petroproducts' value of 49.72% is 112.1% above this benchmark. Historically, Tamilnadu Petroproducts' own Gross Margin % has ranged from 37.36 to 52.26 over the past decade. While the company's 10-year median is 41.69 vs. the industry median of 23.44, Tamilnadu Petroproducts 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 23.44, based on 1,555 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. Tamilnadu Petroproducts's current Gross Margin % of 49.72% is 112.1% 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 Tamilnadu Petroproducts and its competitors. For the Chemicals industry, the median Gross Margin % is 23.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tamilnadu Petroproducts's current Gross Margin % is 49.72%, which is 19% above median its own 10-year median of 41.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tamilnadu Petroproducts stock overvalued right now?
Based on GuruFocus' analysis, Tamilnadu Petroproducts (NSE:TNPETRO) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹71.28, compared to a current price of ₹99.14 — trading 39.1% above its estimated fair value. The current Gross Margin % is 49.72%, which is 19% above median its 10-year median of 41.69 and 112.1% above the Chemicals industry median of 23.44. Tamilnadu Petroproducts' overall GF Score™ is 72/100 with 10 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 Tamilnadu Petroproducts (NSE:TNPETRO), the current Gross Margin % is 49.72% 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 Tamilnadu Petroproducts (NSE:TNPETRO) Overvalued in 2026?
Based on GuruFocus' analysis, Tamilnadu Petroproducts stock appears to be overvalued.
The current stock price of ₹99.14 is trading 39.1% above its estimated GF Value™ of ₹71.28.
GuruFocus considers Tamilnadu Petroproducts to be Significantly Overvalued.
Key valuation signals for NSE:TNPETRO:
Gross Margin %: 49.72% (19% above median its 10-year median of 41.69)
GF Value™: ₹71.28 vs. price of ₹99.14 (39.1% above fair value)
Industry Position: 112.1% above the Chemicals median (#135 of 1555)
No single metric tells the full story. See the NSE:TNPETRO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tamilnadu Petroproducts Ltd is engaged in the manufacturing and sale of petrochemical products. Its product portfolio includes Linear Alkyl Benzene (LAB), Caustic Soda, Chlorine and Propylene Oxide. The company has its unit situated in Manali, Chennai. The company derives the majority of its revenue from the sale of Linear Alkyl Benzene (LAB) products followed by the sale of Propylene Oxide, and the sale of Caustic soda Lye. The company also generates a small amount of revenue from the sale of services. Geographically, it generates a majority of revenue from India.
72GF Score
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