Nihon Dengi CoTSE:1723 +1.56%85 Gross Margin % is 45.26% as of Mar. 2026, which is 34% above its 10-year median of 33.84. GuruFocus rates TSE:1723 with a GF Score™ of 85/100 and a GF Value™ of 円957.02 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 2,449 Hardware companies, Nihon Dengi Co ranks better than 85.26% on this metric.
The historical rank and industry rank for Nihon Dengi Co's Gross Margin % or its related term are showing as below:
TSE:1723'
s Gross Margin % Range Over the Past 10 Years
Min: 30.23 Med: 33.84 Max: 47.36
Current: 47.36
During the past 13 years, the highestGross Margin % of Nihon Dengi Co was 47.36%. The lowest was 30.23%. And the median was 33.84%.
TSE:1723's Gross Margin % is ranked better than 85.26% of 2449
companies
in the Hardware industry
Industry Median: 24.5
vs TSE:1723: 47.36
Nihon Dengi Co had a gross margin of 45.26% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Nihon Dengi Co was 7.80% per year.
Nihon Dengi Co (TSE:1723) 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
Nihon Dengi Co had a gross margin of 45.26% 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.
Nihon Dengi Co Gross Margin % Related Terms
Nihon Dengi Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Nihon Dengi 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.
For the Electronic Components subindustry, Nihon Dengi 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.
Nihon Dengi Co Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Nihon Dengi Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Nihon Dengi 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.
Nihon Dengi Co (TSE:1723) has a Gross Margin % of 45.26% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Nihon Dengi Co and its competitors. This is 34% above median its historical median of 33.84. Over the past decade, Nihon Dengi Co's Gross Margin % has ranged from 30.23 to 47.36. According to the industry distribution chart, Nihon Dengi Co ranks #361 out of 2449 companies in the Hardware industry, placing it in the top 14.7%.
Is Nihon Dengi Co's Gross Margin % too high?
Nihon Dengi Co's current Gross Margin % of 45.26% is 34% above median its 10-year median of 33.84. Over the past 10 years, this metric has ranged from a low of 30.23 to a high of 47.36. The Hardware industry median Gross Margin % is 24.50. Nihon Dengi Co's value of 45.26% is 84.7% above this industry median. Based on the distribution chart, Nihon Dengi Co ranks #361 out of 2449 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Nihon Dengi Co has a GF Score™ of 85/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nihon Dengi Co's Gross Margin % compare to APH and GLW?
According to the Hardware industry distribution chart, Nihon Dengi Co ranks #361 out of 2449 companies for Gross Margin %. This places Nihon Dengi Co in the top 15% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 24.50. Nihon Dengi Co's value of 45.26% is 84.7% above this benchmark. Historically, Nihon Dengi Co's own Gross Margin % has ranged from 30.23 to 47.36 over the past decade. While the company's 10-year median is 33.84 vs. the industry median of 24.50, Nihon Dengi 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.50, based on 2,449 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. Nihon Dengi Co's current Gross Margin % of 45.26% is 84.7% 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 Nihon Dengi Co and its competitors. For the Hardware industry, the median Gross Margin % is 24.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nihon Dengi Co's current Gross Margin % is 45.26%, which is 34% above median its own 10-year median of 33.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nihon Dengi Co stock overvalued right now?
Based on GuruFocus' analysis, Nihon Dengi Co (TSE:1723) is currently considered Significantly Overvalued. The stock's GF Value™ is 円957.02, compared to a current price of 円2,409.00 — trading 151.7% above its estimated fair value. The current Gross Margin % is 45.26%, which is 34% above median its 10-year median of 33.84 and 84.7% above the Hardware industry median of 24.50. Nihon Dengi Co's overall GF Score™ is 85/100 with 1 warning sign 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 Nihon Dengi Co (TSE:1723), the current Gross Margin % is 45.26% 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 Nihon Dengi Co (TSE:1723) Overvalued in 2026?
Based on GuruFocus' analysis, Nihon Dengi Co stock appears to be overvalued.
The current stock price of 円2,409.00 is trading 151.7% above its estimated GF Value™ of 円957.02.
GuruFocus considers Nihon Dengi Co to be Significantly Overvalued.
Key valuation signals for TSE:1723:
Gross Margin %: 45.26% (34% above median its 10-year median of 33.84)
GF Value™: 円957.02 vs. price of 円2,409.00 (151.7% above fair value)
Industry Position: 84.7% above the Hardware median (#361 of 2449)
No single metric tells the full story. See the TSE:1723 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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