SAKURA InternetTSE:3778 +0.82%77 Gross Margin % is 25.88% as of Mar. 2026, which is 2% below its 10-year median of 26.45. GuruFocus rates TSE:3778 with a GF Score™ of 77/100 and a GF Value™ of 円4,213.48 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 2,681 Software companies, SAKURA Internet ranks worse than 75.49% on this metric.
The historical rank and industry rank for SAKURA Internet's Gross Margin % or its related term are showing as below:
TSE:3778'
s Gross Margin % Range Over the Past 10 Years
Min: 22.54 Med: 26.45 Max: 35.75
Current: 22.54
During the past 13 years, the highestGross Margin % of SAKURA Internet was 35.75%. The lowest was 22.54%. And the median was 26.45%.
TSE:3778's Gross Margin % is ranked worse than 75.49% of 2681
companies
in the Software industry
Industry Median: 40.41
vs TSE:3778: 22.54
SAKURA Internet had a gross margin of 25.88% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for SAKURA Internet was 1.80% per year.
SAKURA Internet (TSE:3778) 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
SAKURA Internet had a gross margin of 25.88% for the quarter that ended in Mar. 2026 => Competition eroding margins
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.
SAKURA Internet Gross Margin % Related Terms
SAKURA Internet Gross Margin % Historical Data
* Premium members only.
The historical data trend for SAKURA Internet'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:3778 vs IBM, ACN, FISV: Gross Margin % Comparison
For the Information Technology Services subindustry, SAKURA Internet'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.
SAKURA Internet Gross Margin % vs Software Industry
For the Software industry and Technology sector, SAKURA Internet's Gross Margin % distribution charts can be found below:
* The bar in red indicates where SAKURA Internet'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.
SAKURA Internet (TSE:3778) has a Gross Margin % of 25.88% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on SAKURA Internet and its competitors. This is near median its historical median of 26.45. Over the past decade, SAKURA Internet's Gross Margin % has ranged from 22.54 to 35.75. According to the industry distribution chart, SAKURA Internet ranks #2024 out of 2681 companies in the Software industry, placing it in the top 75.5%.
Is SAKURA Internet's Gross Margin % too high?
SAKURA Internet's current Gross Margin % of 25.88% is near median its 10-year median of 26.45. Over the past 10 years, this metric has ranged from a low of 22.54 to a high of 35.75. The Software industry median Gross Margin % is 40.41. SAKURA Internet's value of 25.88% is 36% below this industry median. Based on the distribution chart, SAKURA Internet ranks #2024 out of 2681 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, SAKURA Internet has a GF Score™ of 77/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does SAKURA Internet's Gross Margin % compare to IBM and ACN?
According to the Software industry distribution chart, SAKURA Internet ranks #2024 out of 2681 companies for Gross Margin %. This places SAKURA Internet in the lower half of its industry. The industry median Gross Margin % is 40.41. SAKURA Internet's value of 25.88% is 36% below this benchmark. Historically, SAKURA Internet's own Gross Margin % has ranged from 22.54 to 35.75 over the past decade. While the company's 10-year median is 26.45 vs. the industry median of 40.41, SAKURA Internet 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 Software company?
The median Gross Margin % among Software companies is 40.41, based on 2,681 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. SAKURA Internet's current Gross Margin % of 25.88% is 36% 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 SAKURA Internet and its competitors. For the Software industry, the median Gross Margin % is 40.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SAKURA Internet's current Gross Margin % is 25.88%, which is near median its own 10-year median of 26.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SAKURA Internet stock overvalued right now?
Based on GuruFocus' analysis, SAKURA Internet (TSE:3778) is currently considered Possible Value Trap. The stock's GF Value™ is 円4,213.48, compared to a current price of 円2,816.00 — trading 33.2% below its estimated fair value. The current Gross Margin % is 25.88%, which is near median its 10-year median of 26.45 and 36% below the Software industry median of 40.41. SAKURA Internet's overall GF Score™ is 77/100 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 SAKURA Internet (TSE:3778), the current Gross Margin % is 25.88% 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 SAKURA Internet (TSE:3778) Overvalued in 2026?
Based on GuruFocus' analysis, SAKURA Internet stock appears to be undervalued.
The current stock price of 円2,816.00 is trading 33.2% below its estimated GF Value™ of 円4,213.48.
GuruFocus considers SAKURA Internet to be Possible Value Trap.
Key valuation signals for TSE:3778:
Gross Margin %: 25.88% (near median its 10-year median of 26.45)
GF Value™: 円4,213.48 vs. price of 円2,816.00 (33.2% below fair value)
Industry Position: 36% below the Software median (#2024 of 2681)
No single metric tells the full story. See the TSE:3778 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SAKURA Internet Inc is a Japan-based web hosting company. It operates a data center and leases space to store clients' servers and network equipment. Services offered by SAKURA include rental server, Virtual Private Server (VPS), VPS for windows, cloud server, data center, and the Internet of Things (IoT) platform service. The company is also engaged in the planning, production, and sales of multimedia, computer software, computers and their peripheral equipment. The company also leases and manages real estate.
77GF Score
Get the complete analysis for TSE:3778
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
TSE:3778 has been successfully added to your 
