Sankei Real Estate (TSE:2972) Gross Margin %: 67.11% (As of Feb. 2026) — Near Median

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TSE:2972 Sankei Real Estate Inc TSE:2972
59 GF Score
Price 円113,700.00
GF Value 円85,601.71
Valuation Significantly Overvalued
! 9 Warning Signs
View Full Analysis

What is Sankei Real Estate Gross Margin %?

Sankei Real Estate TSE:2972 -0.26% 59 Gross Margin % is 67.11% as of Feb. 2026, which is 5% above its 10-year median of 64.04. GuruFocus rates TSE:2972 with a GF Score™ of 59/100 and a GF Value™ of 円85,601.71 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 680 REITs companies, Sankei Real Estate ranks worse than 58.24% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Sankei Real Estate's Gross Profit for the six months ended in Feb. 2026 was 円1,934 Mil. Sankei Real Estate's Revenue for the six months ended in Feb. 2026 was 円2,882 Mil. Therefore, Sankei Real Estate's Gross Margin % for the quarter that ended in Feb. 2026 was 67.11%.

Warning Sign:

Sankei Real Estate Inc gross margin has been in long-term decline. The average rate of decline per year is -6.3%.


The historical rank and industry rank for Sankei Real Estate's Gross Margin % or its related term are showing as below:

TSE:2972' s Gross Margin % Range Over the Past 10 Years
Min: 31.15   Med: 64.04   Max: 65.89
Current: 65.89


During the past 7 years, the highest Gross Margin % of Sankei Real Estate was 65.89%. The lowest was 31.15%. And the median was 64.04%.

TSE:2972's Gross Margin % is ranked worse than
58.24% of 680 companies
in the REITs industry
Industry Median: 69.955 vs TSE:2972: 65.89

Sankei Real Estate had a gross margin of 67.11% for the quarter that ended in Feb. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Sankei Real Estate was -6.30% per year.


Sankei Real Estate  (TSE:2972) 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

Sankei Real Estate had a gross margin of 67.11% for the quarter that ended in Feb. 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.


Sankei Real Estate Gross Margin % Related Terms


Sankei Real Estate Gross Margin % Historical Data

* Premium members only.

The historical data trend for Sankei Real Estate'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.

Sankei Real Estate Gross Margin % Chart

Sankei Real Estate Annual Data
Trend Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
Gross Margin %
Get a 7-Day Free Trial 63.37 64.70 56.59 31.15 65.56

Sankei Real Estate Semi-Annual Data
Apr19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 20.28 65.52 66.62 64.54 67.11

TSE:2972 vs BXP, ARE, VNO: Gross Margin % Comparison

For the REIT - Office subindustry, Sankei Real Estate'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.


Sankei Real Estate Gross Margin % vs REITs Industry

For the REITs industry and Real Estate sector, Sankei Real Estate's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Sankei Real Estate's Gross Margin % falls into.


TSE:2972
59GF Score
Sankei Real Estate Inc TSE:2972
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sankei Real Estate Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Sankei Real Estate's Gross Margin for the fiscal year that ended in Aug. 2025 is calculated as

Gross Margin % (A: Aug. 2025 )=Gross Profit (A: Aug. 2025 ) / Revenue (A: Aug. 2025 )
=3362.3 / 5128.25
=(Revenue - Cost of Goods Sold) / Revenue
=(5128.25 - 1765.985) / 5128.25
=65.56 %

Sankei Real Estate's Gross Margin for the quarter that ended in Feb. 2026 is calculated as


Gross Margin % (Q: Feb. 2026 )=Gross Profit (Q: Feb. 2026 ) / Revenue (Q: Feb. 2026 )
=1934.3 / 2882.077
=(Revenue - Cost of Goods Sold) / Revenue
=(2882.077 - 947.798) / 2882.077
=67.11 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 67.11% mean?
Sankei Real Estate (TSE:2972) has a Gross Margin % of 67.11% as of Feb. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Sankei Real Estate and its competitors. This is near median its historical median of 64.04. Over the past decade, Sankei Real Estate's Gross Margin % has ranged from 31.15 to 65.89. According to the industry distribution chart, Sankei Real Estate ranks #396 out of 680 companies in the REITs industry, placing it in the top 58.2%.
Is Sankei Real Estate's Gross Margin % too high?
Sankei Real Estate's current Gross Margin % of 67.11% is near median its 10-year median of 64.04. Over the past 10 years, this metric has ranged from a low of 31.15 to a high of 65.89. The REITs industry median Gross Margin % is 69.96. Sankei Real Estate's value of 67.11% is 4.1% below this industry median. Based on the distribution chart, Sankei Real Estate ranks #396 out of 680 companies in the REITs industry, which is below the industry midpoint. Overall, Sankei Real Estate has a GF Score™ of 59/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sankei Real Estate's Gross Margin % compare to BXP and ARE?
According to the REITs industry distribution chart, Sankei Real Estate ranks #396 out of 680 companies for Gross Margin %. This places Sankei Real Estate in the lower half of its industry. The industry median Gross Margin % is 69.96. Sankei Real Estate's value of 67.11% is 4.1% below this benchmark. Historically, Sankei Real Estate's own Gross Margin % has ranged from 31.15 to 65.89 over the past decade. While the company's 10-year median is 64.04 vs. the industry median of 69.96, Sankei Real Estate 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 REITs company?
The median Gross Margin % among REITs companies is 69.96, based on 680 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. Sankei Real Estate's current Gross Margin % of 67.11% is 4.1% 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 Sankei Real Estate and its competitors. For the REITs industry, the median Gross Margin % is 69.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sankei Real Estate's current Gross Margin % is 67.11%, which is near median its own 10-year median of 64.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sankei Real Estate stock overvalued right now?
Based on GuruFocus' analysis, Sankei Real Estate (TSE:2972) is currently considered Significantly Overvalued. The stock's GF Value™ is 円85,601.71, compared to a current price of 円113,700.00 — trading 32.8% above its estimated fair value. The current Gross Margin % is 67.11%, which is near median its 10-year median of 64.04 and 4.1% below the REITs industry median of 69.96. Sankei Real Estate's overall GF Score™ is 59/100 with 9 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 Sankei Real Estate (TSE:2972), the current Gross Margin % is 67.11% 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 Sankei Real Estate (TSE:2972) Overvalued in 2026?

Based on GuruFocus' analysis, Sankei Real Estate stock appears to be overvalued. The current stock price of 円113,700.00 is trading 32.8% above its estimated GF Value™ of 円85,601.71. GuruFocus considers Sankei Real Estate to be Significantly Overvalued.

Key valuation signals for TSE:2972:

  • Gross Margin %: 67.11% (near median its 10-year median of 64.04)
  • GF Value™: 円85,601.71 vs. price of 円113,700.00 (32.8% above fair value)
  • GF Score™: 59/100 with 9 warning signs
  • Industry Position: 4.1% below the REITs median (#396 of 680)

No single metric tells the full story. See the TSE:2972 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sankei Real Estate Business Description

Industry Real EstateREITs
Address 2-3-4 Uchikanda, 4th floor, S-GATE Otemachi Kita, Chiyoda-ku, Tokyo, JPN, 100-0004
Sankei Real Estate Inc is a Japanese based J-REIT. The company is engaged in the leasing of real estate properties, and owns office buildings.
59GF Score

Get the complete analysis for TSE:2972

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円113,700.00
Price
円85,601.71
GF Value