SoftBank GroupSFTBY -5.60%70 Gross Margin % is 49.58% as of Mar. 2026, which is 3% below its 10-year median of 50.88. GuruFocus rates SFTBY with a GF Score™ of 70/100 and a GF Value™ of $8.19 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 344 Telecommunication Services companies, SoftBank Group ranks better than 50% on this metric.
The historical rank and industry rank for SoftBank Group's Gross Margin % or its related term are showing as below:
SFTBY'
s Gross Margin % Range Over the Past 10 Years
Min: 38.52 Med: 50.88 Max: 52.49
Current: 51.5
During the past 13 years, the highestGross Margin % of SoftBank Group was 52.49%. The lowest was 38.52%. And the median was 50.88%.
SFTBY's Gross Margin % is ranked better than 50% of 344
companies
in the Telecommunication Services industry
Industry Median: 51.415
vs SFTBY: 51.50
SoftBank Group had a gross margin of 49.58% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for SoftBank Group was 0.10% per year.
SoftBank Group (OTCPK:SFTBY) 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
SoftBank Group had a gross margin of 49.58% 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.
SoftBank Group Gross Margin % Related Terms
SoftBank Group Gross Margin % Historical Data
* Premium members only.
The historical data trend for SoftBank Group'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.
For the Telecom Services subindustry, SoftBank Group'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.
SoftBank Group Gross Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, SoftBank Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where SoftBank Group'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.
SoftBank Group (SFTBY) has a Gross Margin % of 49.58% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on SoftBank Group and its competitors. This is near median its historical median of 50.88. Over the past decade, SoftBank Group's Gross Margin % has ranged from 38.52 to 52.49. According to the industry distribution chart, SoftBank Group ranks #172 out of 344 companies in the Telecommunication Services industry, placing it in the top 50%.
Is SoftBank Group's Gross Margin % too high?
SoftBank Group's current Gross Margin % of 49.58% is near median its 10-year median of 50.88. Over the past 10 years, this metric has ranged from a low of 38.52 to a high of 52.49. The Telecommunication Services industry median Gross Margin % is 51.42. SoftBank Group's value of 49.58% is 3.6% below this industry median. Based on the distribution chart, SoftBank Group ranks #172 out of 344 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, SoftBank Group has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does SoftBank Group's Gross Margin % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, SoftBank Group ranks #172 out of 344 companies for Gross Margin %. This puts SoftBank Group in the upper half of its industry. The industry median Gross Margin % is 51.42. SoftBank Group's value of 49.58% is 3.6% below this benchmark. Historically, SoftBank Group's own Gross Margin % has ranged from 38.52 to 52.49 over the past decade. While the company's 10-year median is 50.88 vs. the industry median of 51.42, SoftBank Group 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 Telecommunication Services company?
The median Gross Margin % among Telecommunication Services companies is 51.42, based on 344 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. SoftBank Group's current Gross Margin % of 49.58% is 3.6% 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 SoftBank Group and its competitors. For the Telecommunication Services industry, the median Gross Margin % is 51.42 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SoftBank Group's current Gross Margin % is 49.58%, which is near median its own 10-year median of 50.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SoftBank Group stock overvalued right now?
Based on GuruFocus' analysis, SoftBank Group (SFTBY) is currently considered Significantly Overvalued. The stock's GF Value™ is $8.19, compared to a current price of $19.71 — trading 140.7% above its estimated fair value. The current Gross Margin % is 49.58%, which is near median its 10-year median of 50.88 and 3.6% below the Telecommunication Services industry median of 51.42. SoftBank Group's overall GF Score™ is 70/100 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 SoftBank Group (SFTBY), the current Gross Margin % is 49.58% 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 SoftBank Group (SFTBY) Overvalued in 2026?
Based on GuruFocus' analysis, SoftBank Group stock appears to be overvalued.
The current stock price of $19.71 is trading 140.7% above its estimated GF Value™ of $8.19.
GuruFocus considers SoftBank Group to be Significantly Overvalued.
Key valuation signals for SFTBY:
Gross Margin %: 49.58% (near median its 10-year median of 50.88)
GF Value™: $8.19 vs. price of $19.71 (140.7% above fair value)
Industry Position: 3.6% below the Telecommunication Services median (#172 of 344)
No single metric tells the full story. See the SFTBY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SoftBank is a Japan-based telecom and e-commerce conglomerate that has expanded mainly through acquisitions, and its key assets include a 40%-owned mobile and fixed broadband telecom operator business in Japan. It also owns 90% of semiconductor chip designer Arm Holdings following the 2023 IPO of this business, and has a vast portfolio of mainly internet- and e-commerce-focused early-stage investments. It is also a general partner of the USD 100 billion SoftBank Vision Fund 1 and sole investor in SoftBank Vision Fund 2, both of which primarily invest in pre-IPO internet and AI companies. Recently, it has begun investing in OpenAI.
70GF Score
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