SoftBankSOBKY +0.39%72 Gross Margin % is 45.38% as of Mar. 2026, which is 5% below its 10-year median of 47.95. GuruFocus rates SOBKY with a GF Score™ of 72/100 and a GF Value™ of $13.83 (Fairly Valued). The stock has 5 warning signs investors should review. Among 342 Telecommunication Services companies, SoftBank ranks worse than 54.68% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. SoftBank's Gross Profit for the
three
months ended in Mar. 2026 was $5,271 Mil. SoftBank's Revenue for the
three
months ended in Mar. 2026 was $11,616 Mil. Therefore, SoftBank's Gross Margin % for the quarter that ended in Mar. 2026 was 45.38%.
The historical rank and industry rank for SoftBank's Gross Margin % or its related term are showing as below:
SOBKY'
s Gross Margin % Range Over the Past 10 Years
Min: 43.04 Med: 47.95 Max: 49.23
Current: 48.08
During the past 12 years, the highestGross Margin % of SoftBank was 49.23%. The lowest was 43.04%. And the median was 47.95%.
SOBKY's Gross Margin % is ranked worse than 54.68% of 342
companies
in the Telecommunication Services industry
Industry Median: 51.415
vs SOBKY: 48.08
SoftBank had a gross margin of 45.38% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for SoftBank was 0.00% per year.
SoftBank (OTCPK:SOBKY) 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 had a gross margin of 45.38% 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 Gross Margin % Related Terms
SoftBank Gross Margin % Historical Data
* Premium members only.
The historical data trend for SoftBank'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'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 Gross Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, SoftBank's Gross Margin % distribution charts can be found below:
* The bar in red indicates where SoftBank'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 (SOBKY) has a Gross Margin % of 45.38% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on SoftBank and its competitors. This is near median its historical median of 47.95. Over the past decade, SoftBank's Gross Margin % has ranged from 43.04 to 49.23. According to the industry distribution chart, SoftBank ranks #187 out of 342 companies in the Telecommunication Services industry, placing it in the top 54.7%.
Is SoftBank's Gross Margin % too high?
SoftBank's current Gross Margin % of 45.38% is near median its 10-year median of 47.95. Over the past 10 years, this metric has ranged from a low of 43.04 to a high of 49.23. The Telecommunication Services industry median Gross Margin % is 51.42. SoftBank's value of 45.38% is 11.7% below this industry median. Based on the distribution chart, SoftBank ranks #187 out of 342 companies in the Telecommunication Services industry, which is below the industry midpoint. Overall, SoftBank has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does SoftBank's Gross Margin % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, SoftBank ranks #187 out of 342 companies for Gross Margin %. This places SoftBank in the lower half of its industry. The industry median Gross Margin % is 51.42. SoftBank's value of 45.38% is 11.7% below this benchmark. Historically, SoftBank's own Gross Margin % has ranged from 43.04 to 49.23 over the past decade. While the company's 10-year median is 47.95 vs. the industry median of 51.42, SoftBank 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 342 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's current Gross Margin % of 45.38% is 11.7% 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 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's current Gross Margin % is 45.38%, which is near median its own 10-year median of 47.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SoftBank stock overvalued right now?
Based on GuruFocus' analysis, SoftBank (SOBKY) is currently considered Fairly Valued. The stock's GF Value™ is $13.83, compared to a current price of $12.71 — trading 8.1% below its estimated fair value. The current Gross Margin % is 45.38%, which is near median its 10-year median of 47.95 and 11.7% below the Telecommunication Services industry median of 51.42. SoftBank's overall GF Score™ is 72/100 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 (SOBKY), the current Gross Margin % is 45.38% 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 (SOBKY) Overvalued in 2026?
Based on GuruFocus' analysis, SoftBank stock appears to be undervalued.
The current stock price of $12.71 is trading 8.1% below its estimated GF Value™ of $13.83.
GuruFocus considers SoftBank to be Fairly Valued.
Key valuation signals for SOBKY:
Gross Margin %: 45.38% (near median its 10-year median of 47.95)
GF Value™: $13.83 vs. price of $12.71 (8.1% below fair value)
Industry Position: 11.7% below the Telecommunication Services median (#187 of 342)
No single metric tells the full story. See the SOBKY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SoftBank is an established, telecommunications services provider in Japan owning a mobile network with around 50 million mobile customers and 24% market share. It also provides some fixed line services, which are mostly resold so are low margin. The company also owns 32.4% of LY Corp, and SoftBank and LY Corp each own 32% of PayPay so SoftBank consolidates PayPay. SoftBank Group sold 33.5% of SoftBank Corp in an IPO in 2018 and has since sold down further to a 40% holding.
72GF Score
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