Saudi Cement CoSAU:3030 -0.40%80 Gross Margin % is 40.88% as of Mar. 2026, which is 1% below its 10-year median of 41.26. GuruFocus rates SAU:3030 with a GF Score™ of 80/100 and a GF Value™ of ﷼44.80 (Significantly Undervalued). The stock has 6 warning signs investors should review. Among 396 Building Materials companies, Saudi Cement Co ranks better than 73.48% on this metric.
Saudi Cement Co gross margin has been in long-term decline. The average rate of decline per year is -1.9%.
The historical rank and industry rank for Saudi Cement Co's Gross Margin % or its related term are showing as below:
SAU:3030'
s Gross Margin % Range Over the Past 10 Years
Min: 35.88 Med: 41.26 Max: 57.96
Current: 35.88
During the past 13 years, the highestGross Margin % of Saudi Cement Co was 57.96%. The lowest was 35.88%. And the median was 41.26%.
SAU:3030's Gross Margin % is ranked better than 73.48% of 396
companies
in the Building Materials industry
Industry Median: 26.155
vs SAU:3030: 35.88
Saudi Cement Co had a gross margin of 40.88% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Saudi Cement Co was -1.90% per year.
Saudi Cement Co (SAU:3030) 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 Cement Co had a gross margin of 40.88% 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.
Saudi Cement Co Gross Margin % Related Terms
Saudi Cement Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Saudi Cement 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.
SAU:3030 vs CRH, VMC, MLM: Gross Margin % Comparison
For the Building Materials subindustry, Saudi Cement 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 Cement Co Gross Margin % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Saudi Cement Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Saudi Cement 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 Cement Co (SAU:3030) has a Gross Margin % of 40.88% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Saudi Cement Co and its competitors. This is near median its historical median of 41.26. Over the past decade, Saudi Cement Co's Gross Margin % has ranged from 35.88 to 57.96. According to the industry distribution chart, Saudi Cement Co ranks #105 out of 396 companies in the Building Materials industry, placing it in the top 26.5%.
Is Saudi Cement Co's Gross Margin % too high?
Saudi Cement Co's current Gross Margin % of 40.88% is near median its 10-year median of 41.26. Over the past 10 years, this metric has ranged from a low of 35.88 to a high of 57.96. The Building Materials industry median Gross Margin % is 26.16. Saudi Cement Co's value of 40.88% is 56.3% above this industry median. Based on the distribution chart, Saudi Cement Co ranks #105 out of 396 companies in the Building Materials industry, which is above the industry midpoint. Overall, Saudi Cement Co has a GF Score™ of 80/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Saudi Cement Co's Gross Margin % compare to CRH and VMC?
According to the Building Materials industry distribution chart, Saudi Cement Co ranks #105 out of 396 companies for Gross Margin %. This puts Saudi Cement Co in the upper half of its industry. The industry median Gross Margin % is 26.16. Saudi Cement Co's value of 40.88% is 56.3% above this benchmark. Historically, Saudi Cement Co's own Gross Margin % has ranged from 35.88 to 57.96 over the past decade. While the company's 10-year median is 41.26 vs. the industry median of 26.16, Saudi Cement 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 Building Materials company?
The median Gross Margin % among Building Materials companies is 26.16, based on 396 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. Saudi Cement Co's current Gross Margin % of 40.88% is 56.3% 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 Saudi Cement Co and its competitors. For the Building Materials industry, the median Gross Margin % is 26.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Saudi Cement Co's current Gross Margin % is 40.88%, which is near median its own 10-year median of 41.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Saudi Cement Co stock overvalued right now?
Based on GuruFocus' analysis, Saudi Cement Co (SAU:3030) is currently considered Significantly Undervalued. The stock's GF Value™ is ﷼44.80, compared to a current price of ﷼30.10 — trading 32.8% below its estimated fair value. The current Gross Margin % is 40.88%, which is near median its 10-year median of 41.26 and 56.3% above the Building Materials industry median of 26.16. Saudi Cement Co's overall GF Score™ is 80/100 with 6 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 Cement Co (SAU:3030), the current Gross Margin % is 40.88% 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 Cement Co (SAU:3030) Overvalued in 2026?
Based on GuruFocus' analysis, Saudi Cement Co stock appears to be undervalued.
The current stock price of ﷼30.10 is trading 32.8% below its estimated GF Value™ of ﷼44.80.
GuruFocus considers Saudi Cement Co to be Significantly Undervalued.
Key valuation signals for SAU:3030:
Gross Margin %: 40.88% (near median its 10-year median of 41.26)
GF Value™: ﷼44.80 vs. price of ﷼30.10 (32.8% below fair value)
Industry Position: 56.3% above the Building Materials median (#105 of 396)
No single metric tells the full story. See the SAU:3030 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Saudi Cement Co is engaged in manufacturing and selling cement and its related products. Its products are Cement Clinker, Sulfate Resistant Cement, and Ordinary Portland Cement used for highways, bridges, airports, seaports, railways, metros, and numerous housing and commercial projects. It operates in two geographic segments: the Kingdom of Saudi Arabia and the Kingdom of Bahrain. It generates the majority of its revenue from the Kingdom of Saudi Arabia.
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