Zig-ZagTSE:340A +1.16%20 Gross Margin % is 68.18% as of Nov. 2025, which is 1% above its 10-year median of 67.75. GuruFocus rates TSE:340A with a GF Score™ of 20/100. The stock has 1 warning sign investors should review. Among 1,008 Business Services companies, Zig-Zag ranks better than 82.14% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Zig-Zag's Gross Profit for the
three
months ended in Nov. 2025 was 円239 Mil. Zig-Zag's Revenue for the
three
months ended in Nov. 2025 was 円350 Mil. Therefore, Zig-Zag's Gross Margin % for the quarter that ended in Nov. 2025 was 68.18%.
The historical rank and industry rank for Zig-Zag's Gross Margin % or its related term are showing as below:
TSE:340A'
s Gross Margin % Range Over the Past 10 Years
Min: 63.67 Med: 67.75 Max: 68.25
Current: 68.25
During the past 3 years, the highestGross Margin % of Zig-Zag was 68.25%. The lowest was 63.67%. And the median was 67.75%.
TSE:340A's Gross Margin % is ranked better than 82.14% of 1008
companies
in the Business Services industry
Industry Median: 34.515
vs TSE:340A: 68.25
Zig-Zag had a gross margin of 68.18% for the quarter that ended in Nov. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Zig-Zag was 0.00% per year.
Zig-Zag (TSE:340A) 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
Zig-Zag had a gross margin of 68.18% for the quarter that ended in Nov. 2025 => 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.
Zig-Zag Gross Margin % Related Terms
Zig-Zag Gross Margin % Historical Data
* Premium members only.
The historical data trend for Zig-Zag'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:340A vs CTAS, CPRT, ULS: Gross Margin % Comparison
For the Specialty Business Services subindustry, Zig-Zag'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.
Zig-Zag Gross Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Zig-Zag's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Zig-Zag'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.
Zig-Zag (TSE:340A) has a Gross Margin % of 68.18% as of Nov. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Zig-Zag and its competitors. This is near median its historical median of 67.75. Over the past decade, Zig-Zag's Gross Margin % has ranged from 63.67 to 68.25. According to the industry distribution chart, Zig-Zag ranks #180 out of 1008 companies in the Business Services industry, placing it in the top 17.9%.
Is Zig-Zag's Gross Margin % too high?
Zig-Zag's current Gross Margin % of 68.18% is near median its 10-year median of 67.75. Over the past 10 years, this metric has ranged from a low of 63.67 to a high of 68.25. The Business Services industry median Gross Margin % is 34.52. Zig-Zag's value of 68.18% is 97.5% above this industry median. Based on the distribution chart, Zig-Zag ranks #180 out of 1008 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, Zig-Zag has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Zig-Zag's Gross Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Zig-Zag ranks #180 out of 1008 companies for Gross Margin %. This places Zig-Zag in the top 18% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 34.52. Zig-Zag's value of 68.18% is 97.5% above this benchmark. Historically, Zig-Zag's own Gross Margin % has ranged from 63.67 to 68.25 over the past decade. While the company's 10-year median is 67.75 vs. the industry median of 34.52, Zig-Zag 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 Business Services company?
The median Gross Margin % among Business Services companies is 34.52, based on 1,008 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. Zig-Zag's current Gross Margin % of 68.18% is 97.5% 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 Zig-Zag and its competitors. For the Business Services industry, the median Gross Margin % is 34.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zig-Zag's current Gross Margin % is 68.18%, which is near median its own 10-year median of 67.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zig-Zag stock overvalued right now?
Zig-Zag (TSE:340A) has a current Gross Margin % of 68.18%. The current Gross Margin % is 68.18%, which is near median its 10-year median of 67.75 and 97.5% above the Business Services industry median of 34.52. Zig-Zag's overall GF Score™ is 20/100 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 Zig-Zag (TSE:340A), the current Gross Margin % is 68.18% as of Nov. 2025. 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.
Zig-Zag Inc is engaged in provision of the purchasing agent service for overseas customers, WorldShopping, and the Cross-border EC support service for domestic EC-site, WorldShoppingBIZ.
20GF Score
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