Bawan Co (SAU:1302) Gross Margin %: 15.16% (As of Mar. 2026) — 24% Above Median

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SAU:1302 Bawan Co SAU:1302
71 GF Score
Price ﷼38.48
GF Value ﷼58.63
Valuation Significantly Undervalued
! 9 Warning Signs
View Full Analysis

What is Bawan Co Gross Margin %?

Bawan Co SAU:1302 +1.10% 71 Gross Margin % is 15.16% as of Mar. 2026, which is 24% above its 10-year median of 12.19. GuruFocus rates SAU:1302 with a GF Score™ of 71/100 and a GF Value™ of ﷼58.63 (Significantly Undervalued). The stock has 9 warning signs investors should review. Among 1,722 Construction companies, Bawan Co ranks worse than 67.71% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Bawan Co's Gross Profit for the three months ended in Mar. 2026 was ﷼156 Mil. Bawan Co's Revenue for the three months ended in Mar. 2026 was ﷼1,031 Mil. Therefore, Bawan Co's Gross Margin % for the quarter that ended in Mar. 2026 was 15.16%.

Warning Sign:

Bawan Co gross margin has been in long-term decline. The average rate of decline per year is -2.1%.


The historical rank and industry rank for Bawan Co's Gross Margin % or its related term are showing as below:

SAU:1302' s Gross Margin % Range Over the Past 10 Years
Min: 7.96   Med: 12.19   Max: 15.17
Current: 14.14


During the past 13 years, the highest Gross Margin % of Bawan Co was 15.17%. The lowest was 7.96%. And the median was 12.19%.

SAU:1302's Gross Margin % is ranked worse than
67.71% of 1722 companies
in the Construction industry
Industry Median: 20.7 vs SAU:1302: 14.14

Bawan Co had a gross margin of 15.16% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Bawan Co was -2.10% per year.


Bawan Co  (SAU:1302) 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

Bawan Co had a gross margin of 15.16% for the quarter that ended in Mar. 2026 => No sustainable 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.


Bawan Co Gross Margin % Related Terms


Bawan Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Bawan Co'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.

Bawan Co Gross Margin % Chart

Bawan Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.18 12.01 11.51 11.06 13.62

Bawan Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 11.42 17.74 15.47 8.73 15.16

SAU:1302 vs TT, JCI, CARR: Gross Margin % Comparison

For the Building Products & Equipment subindustry, Bawan 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.


Bawan Co Gross Margin % vs Construction Industry

For the Construction industry and Industrials sector, Bawan Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Bawan Co's Gross Margin % falls into.


SAU:1302
71GF Score
Bawan Co SAU:1302
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Bawan Co Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Bawan Co's Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=554.3 / 4069.65
=(Revenue - Cost of Goods Sold) / Revenue
=(4069.65 - 3515.307) / 4069.65
=13.62 %

Bawan Co's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=156.3 / 1031.323
=(Revenue - Cost of Goods Sold) / Revenue
=(1031.323 - 874.982) / 1031.323
=15.16 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 15.16% mean?
Bawan Co (SAU:1302) has a Gross Margin % of 15.16% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Bawan Co and its competitors. This is 24% above median its historical median of 12.19. Over the past decade, Bawan Co's Gross Margin % has ranged from 7.96 to 15.17. According to the industry distribution chart, Bawan Co ranks #1166 out of 1722 companies in the Construction industry, placing it in the top 67.7%.
Is Bawan Co's Gross Margin % too high?
Bawan Co's current Gross Margin % of 15.16% is 24% above median its 10-year median of 12.19. Over the past 10 years, this metric has ranged from a low of 7.96 to a high of 15.17. The Construction industry median Gross Margin % is 20.70. Bawan Co's value of 15.16% is 26.8% below this industry median. Based on the distribution chart, Bawan Co ranks #1166 out of 1722 companies in the Construction industry, which is below the industry midpoint. Overall, Bawan Co has a GF Score™ of 71/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Bawan Co's Gross Margin % compare to TT and JCI?
According to the Construction industry distribution chart, Bawan Co ranks #1166 out of 1722 companies for Gross Margin %. This places Bawan Co in the lower half of its industry. The industry median Gross Margin % is 20.70. Bawan Co's value of 15.16% is 26.8% below this benchmark. Historically, Bawan Co's own Gross Margin % has ranged from 7.96 to 15.17 over the past decade. While the company's 10-year median is 12.19 vs. the industry median of 20.70, Bawan Co has consistently been below 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 Construction company?
The median Gross Margin % among Construction companies is 20.70, based on 1,722 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. Bawan Co's current Gross Margin % of 15.16% is 26.8% below 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 Bawan Co and its competitors. For the Construction industry, the median Gross Margin % is 20.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bawan Co's current Gross Margin % is 15.16%, which is 24% above median its own 10-year median of 12.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bawan Co stock overvalued right now?
Based on GuruFocus' analysis, Bawan Co (SAU:1302) is currently considered Significantly Undervalued. The stock's GF Value™ is ﷼58.63, compared to a current price of ﷼38.48 — trading 34.4% below its estimated fair value. The current Gross Margin % is 15.16%, which is 24% above median its 10-year median of 12.19 and 26.8% below the Construction industry median of 20.70. Bawan Co's overall GF Score™ is 71/100 with 9 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 Bawan Co (SAU:1302), the current Gross Margin % is 15.16% 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 Bawan Co (SAU:1302) Overvalued in 2026?

Based on GuruFocus' analysis, Bawan Co stock appears to be undervalued. The current stock price of ﷼38.48 is trading 34.4% below its estimated GF Value™ of ﷼58.63. GuruFocus considers Bawan Co to be Significantly Undervalued.

Key valuation signals for SAU:1302:

  • Gross Margin %: 15.16% (24% above median its 10-year median of 12.19)
  • GF Value™: ﷼58.63 vs. price of ﷼38.48 (34.4% below fair value)
  • GF Score™: 71/100 with 9 warning signs
  • Industry Position: 26.8% below the Construction median (#1166 of 1722)

No single metric tells the full story. See the SAU:1302 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Bawan Co Business Description

Address King Fahad Road, P.O. Box 25533, Riyadh, SAU
Bawan Co is engaged in the manufacturing of metal and steelworks, wooden pallets, plywood panels, boards, and all acts of carpentry and decorations, electrical transformers, packaged and unit substations.. The company's operating segments include Metal and Wood, Plastic, Electrical, Oil and gas equipment, and Other. It derives the majority of its revenues from Metal and Wood, followed by Oil and Gas equipment. Geographically, the firm generates the majority of its revenue from the Kingdom of Saudi Arabia, and a small portion of its revenue from the United Arab Emirates.
71GF Score

Get the complete analysis for SAU:1302

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

﷼38.48
Price
﷼58.63
GF Value