Saudi Arabian Amiantit Co (SAU:2160) 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
Saudi Arabian Amiantit Co had a gross margin of -10.55% 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.
Saudi Arabian Amiantit Co Gross Margin % Related Terms
Saudi Arabian Amiantit 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.
SAU:2160 vs TT, JCI, CARR: Gross Margin % Comparison
For the Building Products & Equipment subindustry, Saudi Arabian Amiantit 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.
Saudi Arabian Amiantit Co Gross Margin % vs Construction Industry
For the Construction industry and Industrials sector, Saudi Arabian Amiantit Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Saudi Arabian Amiantit 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.
Saudi Arabian Amiantit Co (SAU:2160) has a Gross Margin % of -10.55% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Saudi Arabian Amiantit Co and its competitors. According to the industry distribution chart, Saudi Arabian Amiantit Co ranks #1651 out of 1718 companies in the Construction industry, placing it in the top 96.1%.
Is Saudi Arabian Amiantit Co's Gross Margin % too high?
Saudi Arabian Amiantit Co's current Gross Margin % is -10.55%. Based on the distribution chart, Saudi Arabian Amiantit Co ranks #1651 out of 1718 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Saudi Arabian Amiantit Co has a GF Score™ of 52/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Saudi Arabian Amiantit Co's Gross Margin % compare to TT and JCI?
According to the Construction industry distribution chart, Saudi Arabian Amiantit Co ranks #1651 out of 1718 companies for Gross Margin %. This places Saudi Arabian Amiantit Co in the lower half of its industry. The industry median Gross Margin % is 20.79. 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 20.79, based on 1,718 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. 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 Saudi Arabian Amiantit Co and its competitors. For the Construction industry, the median Gross Margin % is 20.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Saudi Arabian Amiantit Co's current Gross Margin % is -10.55%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Saudi Arabian Amiantit Co stock overvalued right now?
Based on GuruFocus' analysis, Saudi Arabian Amiantit Co (SAU:2160) is currently considered Fairly Valued. The stock's GF Value™ is ﷼15.59, compared to a current price of ﷼14.11 — trading 9.5% below its estimated fair value. The current Gross Margin % is -10.55%. Saudi Arabian Amiantit Co's overall GF Score™ is 52/100 with 5 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 Saudi Arabian Amiantit Co (SAU:2160), the current Gross Margin % is -10.55% 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 Saudi Arabian Amiantit Co (SAU:2160) Overvalued in 2026?
Based on GuruFocus' analysis, Saudi Arabian Amiantit Co stock appears to be undervalued.
The current stock price of ﷼14.11 is trading 9.5% below its estimated GF Value™ of ﷼15.59.
GuruFocus considers Saudi Arabian Amiantit Co to be Fairly Valued.
Key valuation signals for SAU:2160:
Gross Margin %: -10.55%
GF Value™: ﷼15.59 vs. price of ﷼14.11 (9.5% below fair value)
No single metric tells the full story. See the SAU:2160 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Saudi Arabian Amiantit Co is engaged in the operation of pipes and its related products. It serves two market segments: Pipe manufacturing and technology, and Water management. The group's core business activities comprise the manufacturing of various pipe systems, the development and licensing of related pipe technologies, and offering water solutions, a provider of water management consultancy and engineering operations. The firm generates key revenue from the pipe manufacturing and technology segment.
52GF Score
Get the complete analysis for SAU:2160
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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