Kitabo CoTSE:3409 -7.69%50 Gross Margin % is 12.50% as of Mar. 2026, which is 14% below its 10-year median of 14.53. GuruFocus rates TSE:3409 with a GF Score™ of 50/100 and a GF Value™ of 円89.77 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,024 Manufacturing - Apparel & Accessories companies, Kitabo Co ranks worse than 74.22% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Kitabo Co's Gross Profit for the
six
months ended in Mar. 2026 was 円86 Mil. Kitabo Co's Revenue for the
six
months ended in Mar. 2026 was 円685 Mil. Therefore, Kitabo Co's Gross Margin % for the quarter that ended in Mar. 2026 was 12.50%.
The historical rank and industry rank for Kitabo Co's Gross Margin % or its related term are showing as below:
TSE:3409'
s Gross Margin % Range Over the Past 10 Years
Min: 4.5 Med: 14.53 Max: 25.83
Current: 14.75
During the past 13 years, the highestGross Margin % of Kitabo Co was 25.83%. The lowest was 4.50%. And the median was 14.53%.
TSE:3409's Gross Margin % is ranked worse than 74.22% of 1024
companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 28.415
vs TSE:3409: 14.75
Kitabo Co had a gross margin of 12.50% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Kitabo Co was 24.50% per year.
Kitabo Co (TSE:3409) 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
Kitabo Co had a gross margin of 12.50% for the quarter that ended in Mar. 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.
Kitabo Co Gross Margin % Related Terms
Kitabo Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Kitabo 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 Textile Manufacturing subindustry, Kitabo 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.
Kitabo Co Gross Margin % vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Kitabo Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Kitabo 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.
Kitabo Co (TSE:3409) has a Gross Margin % of 12.50% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Kitabo Co and its competitors. This is 14% below median its historical median of 14.53. Over the past decade, Kitabo Co's Gross Margin % has ranged from 4.50 to 25.83. According to the industry distribution chart, Kitabo Co ranks #760 out of 1024 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 74.2%.
Is Kitabo Co's Gross Margin % too high?
Kitabo Co's current Gross Margin % of 12.50% is 14% below median its 10-year median of 14.53. Over the past 10 years, this metric has ranged from a low of 4.50 to a high of 25.83. The Manufacturing - Apparel & Accessories industry median Gross Margin % is 28.42. Kitabo Co's value of 12.50% is 56% below this industry median. Based on the distribution chart, Kitabo Co ranks #760 out of 1024 companies in the Manufacturing - Apparel & Accessories industry, which is below the industry midpoint. Overall, Kitabo Co has a GF Score™ of 50/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kitabo Co's Gross Margin % compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Kitabo Co ranks #760 out of 1024 companies for Gross Margin %. This places Kitabo Co in the lower half of its industry. The industry median Gross Margin % is 28.42. Kitabo Co's value of 12.50% is 56% below this benchmark. Historically, Kitabo Co's own Gross Margin % has ranged from 4.50 to 25.83 over the past decade. While the company's 10-year median is 14.53 vs. the industry median of 28.42, Kitabo Co 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 Manufacturing - Apparel & Accessories company?
The median Gross Margin % among Manufacturing - Apparel & Accessories companies is 28.42, based on 1,024 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. Kitabo Co's current Gross Margin % of 12.50% is 56% 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 Kitabo Co and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Gross Margin % is 28.42 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kitabo Co's current Gross Margin % is 12.50%, which is 14% below median its own 10-year median of 14.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kitabo Co stock overvalued right now?
Based on GuruFocus' analysis, Kitabo Co (TSE:3409) is currently considered Fairly Valued. The stock's GF Value™ is 円89.77, compared to a current price of 円84.00 — trading 6.4% below its estimated fair value. The current Gross Margin % is 12.50%, which is 14% below median its 10-year median of 14.53 and 56% below the Manufacturing - Apparel & Accessories industry median of 28.42. Kitabo Co's overall GF Score™ is 50/100 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 Kitabo Co (TSE:3409), the current Gross Margin % is 12.50% 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 Kitabo Co (TSE:3409) Overvalued in 2026?
Based on GuruFocus' analysis, Kitabo Co stock appears to be undervalued.
The current stock price of 円84.00 is trading 6.4% below its estimated GF Value™ of 円89.77.
GuruFocus considers Kitabo Co to be Fairly Valued.
Key valuation signals for TSE:3409:
Gross Margin %: 12.50% (14% below median its 10-year median of 14.53)
GF Value™: 円89.77 vs. price of 円84.00 (6.4% below fair value)
Industry Position: 56% below the Manufacturing - Apparel & Accessories median (#760 of 1024)
No single metric tells the full story. See the TSE:3409 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kitabo Co Ltd is a Japan-based company that engages in the business, which is divided into spinning, textile, healthcare, and recycling businesses. The spinning business is mainly engaged in the manufacture and sale of synthetic spun yarn. The textile business is mainly engaged in the sale of fabrics for ethnic costumes in the Middle East. The healthcare business is mainly engaged in the manufacture and sale of nonwoven masks, the manufacture of other hygiene products, and the planning and sale of functional foods.
50GF Score
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