Palma Co (TSE:3461) Gross Margin %: 46.91% (As of Mar. 2026) — 52% Above Median

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TSE:3461 Palma Co Ltd TSE:3461
62 GF Score
Price 円589.00
GF Value 円378.47
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Palma Co Gross Margin %?

Palma Co TSE:3461 +1.03% 62 Gross Margin % is 46.91% as of Mar. 2026, which is 52% above its 10-year median of 30.77. GuruFocus rates TSE:3461 with a GF Score™ of 62/100 and a GF Value™ of 円378.47 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,008 Business Services companies, Palma Co ranks better than 65.08% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Palma Co's Gross Profit for the six months ended in Mar. 2026 was 円502 Mil. Palma Co's Revenue for the six months ended in Mar. 2026 was 円1,071 Mil. Therefore, Palma Co's Gross Margin % for the quarter that ended in Mar. 2026 was 46.91%.


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

TSE:3461' s Gross Margin % Range Over the Past 10 Years
Min: 25.82   Med: 30.77   Max: 53.07
Current: 45.69


During the past 12 years, the highest Gross Margin % of Palma Co was 53.07%. The lowest was 25.82%. And the median was 30.77%.

TSE:3461's Gross Margin % is ranked better than
65.08% of 1008 companies
in the Business Services industry
Industry Median: 34.515 vs TSE:3461: 45.69

Palma Co had a gross margin of 46.91% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Palma Co was 10.50% per year.


Palma Co  (TSE:3461) 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

Palma Co had a gross margin of 46.91% 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.


Palma Co Gross Margin % Related Terms


Palma Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Palma 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.

Palma Co Gross Margin % Chart

Palma Co Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 26.72 25.82 36.98 31.94 43.95

Palma Co Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 39.38 27.84 43.09 44.66 46.91

TSE:3461 vs CTAS, CPRT, ULS: Gross Margin % Comparison

For the Specialty Business Services subindustry, Palma 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.


Palma Co Gross Margin % vs Business Services Industry

For the Business Services industry and Industrials sector, Palma Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Palma Co's Gross Margin % falls into.


TSE:3461
62GF Score
Palma Co Ltd TSE:3461
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Palma Co Gross Margin % Calculation

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

Palma Co's Gross Margin for the fiscal year that ended in Sep. 2025 is calculated as

Gross Margin % (A: Sep. 2025 )=Gross Profit (A: Sep. 2025 ) / Revenue (A: Sep. 2025 )
=1016.3 / 2312.413
=(Revenue - Cost of Goods Sold) / Revenue
=(2312.413 - 1296.145) / 2312.413
=43.95 %

Palma Co's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=502.3 / 1070.862
=(Revenue - Cost of Goods Sold) / Revenue
=(1070.862 - 568.519) / 1070.862
=46.91 %

* 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 46.91% mean?
Palma Co (TSE:3461) has a Gross Margin % of 46.91% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Palma Co and its competitors. This is 52% above median its historical median of 30.77. Over the past decade, Palma Co's Gross Margin % has ranged from 25.82 to 53.07. According to the industry distribution chart, Palma Co ranks #352 out of 1008 companies in the Business Services industry, placing it in the top 34.9%.
Is Palma Co's Gross Margin % too high?
Palma Co's current Gross Margin % of 46.91% is 52% above median its 10-year median of 30.77. Over the past 10 years, this metric has ranged from a low of 25.82 to a high of 53.07. The Business Services industry median Gross Margin % is 34.52. Palma Co's value of 46.91% is 35.9% above this industry median. Based on the distribution chart, Palma Co ranks #352 out of 1008 companies in the Business Services industry, which is above the industry midpoint. Overall, Palma Co has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Palma Co's Gross Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Palma Co ranks #352 out of 1008 companies for Gross Margin %. This puts Palma Co in the upper half of its industry. The industry median Gross Margin % is 34.52. Palma Co's value of 46.91% is 35.9% above this benchmark. Historically, Palma Co's own Gross Margin % has ranged from 25.82 to 53.07 over the past decade. While the company's 10-year median is 30.77 vs. the industry median of 34.52, Palma 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 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. Palma Co's current Gross Margin % of 46.91% is 35.9% 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 Palma Co 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. Palma Co's current Gross Margin % is 46.91%, which is 52% above median its own 10-year median of 30.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Palma Co stock overvalued right now?
Based on GuruFocus' analysis, Palma Co (TSE:3461) is currently considered Significantly Overvalued. The stock's GF Value™ is 円378.47, compared to a current price of 円589.00 — trading 55.6% above its estimated fair value. The current Gross Margin % is 46.91%, which is 52% above median its 10-year median of 30.77 and 35.9% above the Business Services industry median of 34.52. Palma Co's overall GF Score™ is 62/100 with 6 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 Palma Co (TSE:3461), the current Gross Margin % is 46.91% 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 Palma Co (TSE:3461) Overvalued in 2026?

Based on GuruFocus' analysis, Palma Co stock appears to be overvalued. The current stock price of 円589.00 is trading 55.6% above its estimated GF Value™ of 円378.47. GuruFocus considers Palma Co to be Significantly Overvalued.

Key valuation signals for TSE:3461:

  • Gross Margin %: 46.91% (52% above median its 10-year median of 30.77)
  • GF Value™: 円378.47 vs. price of 円589.00 (55.6% above fair value)
  • GF Score™: 62/100 with 6 warning signs
  • Industry Position: 35.9% above the Business Services median (#352 of 1008)

No single metric tells the full story. See the TSE:3461 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Palma Co Business Description

Address 4-5-20 Kojimachi, 5th Floor, KS Building, Chiyoda-ku, Tokyo, JPN, 102-0083
Palma Co Ltd is engaged in the self-storage business for business process outsourcing. Its three solutions services include business solution services, IT solution services, and turnkey solutions. Its IT solution services include WEB reservation settlement and an inventory management system, and turn-key solutions include facility development, sales, and property management.
62GF Score

Get the complete analysis for TSE:3461

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

円589.00
Price
円378.47
GF Value