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Ye Digital Corp 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 Ye Digital's Gross Margin % or its related term are showing as below:
TSE:2354'
s Gross Margin % Range Over the Past 10 Years
Min: 16.43 Med: 26.95 Max: 30.46
Current: 28.77
During the past 13 years, the highestGross Margin % of Ye Digital was 30.46%. The lowest was 16.43%. And the median was 26.95%.
TSE:2354's Gross Margin % is ranked worse than 65.14% of 2688
companies
in the Software industry
Industry Median: 40.48
vs TSE:2354: 28.77
Ye Digital had a gross margin of N/A% for the quarter that ended in Feb. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Ye Digital was -1.90% per year.
Ye Digital (TSE:2354) 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
Ye Digital had a gross margin of N/A% for the quarter that ended in Feb. 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.
Ye Digital Gross Margin % Related Terms
Ye Digital Gross Margin % Historical Data
* Premium members only.
The historical data trend for Ye Digital'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.
TSE:2354 vs IBM, ACN, FISV: Gross Margin % Comparison
For the Information Technology Services subindustry, Ye Digital'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.
Ye Digital Gross Margin % vs Software Industry
For the Software industry and Technology sector, Ye Digital's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Ye Digital'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.
Ye Digital (TSE:2354) has a Gross Margin % of 0.00% as of Feb. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Ye Digital and its competitors. Over the past decade, Ye Digital's Gross Margin % has ranged from 16.43 to 30.46. According to the industry distribution chart, Ye Digital ranks #1751 out of 2688 companies in the Software industry, placing it in the top 65.1%.
Is Ye Digital's Gross Margin % too high?
Ye Digital's current Gross Margin % is 0.00%. Over the past 10 years, this metric has ranged from a low of 16.43 to a high of 30.46. Based on the distribution chart, Ye Digital ranks #1751 out of 2688 companies in the Software industry, which is below the industry midpoint. Overall, Ye Digital has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ye Digital's Gross Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Ye Digital ranks #1751 out of 2688 companies for Gross Margin %. This places Ye Digital in the lower half of its industry. The industry median Gross Margin % is 40.48. Historically, Ye Digital's own Gross Margin % has ranged from 16.43 to 30.46 over the past decade. 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 Software company?
The median Gross Margin % among Software companies is 40.48, based on 2,688 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 Ye Digital and its competitors. For the Software industry, the median Gross Margin % is 40.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ye Digital's current Gross Margin % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ye Digital stock overvalued right now?
Based on GuruFocus' analysis, Ye Digital (TSE:2354) is currently considered Significantly Overvalued. The stock's GF Value™ is 円732.61, compared to a current price of 円1,059.00 — trading 44.6% above its estimated fair value. The current Gross Margin % is 0.00%. Ye Digital's overall GF Score™ is 71/100 with 4 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 Ye Digital (TSE:2354), the current Gross Margin % is 0.00% as of Feb. 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 Ye Digital (TSE:2354) Overvalued in 2026?
Based on GuruFocus' analysis, Ye Digital stock appears to be overvalued.
The current stock price of 円1,059.00 is trading 44.6% above its estimated GF Value™ of 円732.61.
GuruFocus considers Ye Digital to be Significantly Overvalued.
Key valuation signals for TSE:2354:
Gross Margin %: 0.00%
GF Value™: 円732.61 vs. price of 円1,059.00 (44.6% above fair value)
No single metric tells the full story. See the TSE:2354 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ye Digital Corp is engaged in the solutions development for manufacturing industries like factory automation, and control applications for manufacturing machines. The service provided by the company include quick data visualization and analysis, consulting, and connectivity.
71GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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