Ubiquitous AITSE:3858 +0.67%56 Gross Margin % is 38.54% as of Mar. 2026, which is 16% below its 10-year median of 46.04. GuruFocus rates TSE:3858 with a GF Score™ of 56/100 and a GF Value™ of 円455.47 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 2,681 Software companies, Ubiquitous AI ranks worse than 52.52% on this metric.
Ubiquitous AI Corp gross margin has been in long-term decline. The average rate of decline per year is -3.4%.
The historical rank and industry rank for Ubiquitous AI's Gross Margin % or its related term are showing as below:
TSE:3858'
s Gross Margin % Range Over the Past 10 Years
Min: 38.42 Med: 46.04 Max: 49.83
Current: 38.42
During the past 13 years, the highestGross Margin % of Ubiquitous AI was 49.83%. The lowest was 38.42%. And the median was 46.04%.
TSE:3858's Gross Margin % is ranked worse than 52.52% of 2681
companies
in the Software industry
Industry Median: 40.41
vs TSE:3858: 38.42
Ubiquitous AI had a gross margin of 38.54% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Ubiquitous AI was -3.40% per year.
Ubiquitous AI (TSE:3858) 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
Ubiquitous AI had a gross margin of 38.54% 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.
Ubiquitous AI Gross Margin % Related Terms
Ubiquitous AI Gross Margin % Historical Data
* Premium members only.
The historical data trend for Ubiquitous AI'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:3858 vs MSFT, ORCL, PLTR: Gross Margin % Comparison
For the Software - Infrastructure subindustry, Ubiquitous AI'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.
Ubiquitous AI Gross Margin % vs Software Industry
For the Software industry and Technology sector, Ubiquitous AI's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Ubiquitous AI'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.
Ubiquitous AI (TSE:3858) has a Gross Margin % of 38.54% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Ubiquitous AI and its competitors. This is 16% below median its historical median of 46.04. Over the past decade, Ubiquitous AI's Gross Margin % has ranged from 38.42 to 49.83. According to the industry distribution chart, Ubiquitous AI ranks #1408 out of 2681 companies in the Software industry, placing it in the top 52.5%.
Is Ubiquitous AI's Gross Margin % too high?
Ubiquitous AI's current Gross Margin % of 38.54% is 16% below median its 10-year median of 46.04. Over the past 10 years, this metric has ranged from a low of 38.42 to a high of 49.83. The Software industry median Gross Margin % is 40.41. Ubiquitous AI's value of 38.54% is 4.6% below this industry median. Based on the distribution chart, Ubiquitous AI ranks #1408 out of 2681 companies in the Software industry, which is below the industry midpoint. Overall, Ubiquitous AI has a GF Score™ of 56/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Ubiquitous AI's Gross Margin % compare to MSFT and ORCL?
According to the Software industry distribution chart, Ubiquitous AI ranks #1408 out of 2681 companies for Gross Margin %. This places Ubiquitous AI in the lower half of its industry. The industry median Gross Margin % is 40.41. Ubiquitous AI's value of 38.54% is 4.6% below this benchmark. Historically, Ubiquitous AI's own Gross Margin % has ranged from 38.42 to 49.83 over the past decade. While the company's 10-year median is 46.04 vs. the industry median of 40.41, Ubiquitous AI 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. Ubiquitous AI's current Gross Margin % of 38.54% is 4.6% 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 Ubiquitous AI 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. Ubiquitous AI's current Gross Margin % is 38.54%, which is 16% below median its own 10-year median of 46.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ubiquitous AI stock overvalued right now?
Based on GuruFocus' analysis, Ubiquitous AI (TSE:3858) is currently considered Significantly Undervalued. The stock's GF Value™ is 円455.47, compared to a current price of 円302.00 — trading 33.7% below its estimated fair value. The current Gross Margin % is 38.54%, which is 16% below median its 10-year median of 46.04 and 4.6% below the Software industry median of 40.41. Ubiquitous AI's overall GF Score™ is 56/100 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 Ubiquitous AI (TSE:3858), the current Gross Margin % is 38.54% 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 Ubiquitous AI (TSE:3858) Overvalued in 2026?
Based on GuruFocus' analysis, Ubiquitous AI stock appears to be undervalued.
The current stock price of 円302.00 is trading 33.7% below its estimated GF Value™ of 円455.47.
GuruFocus considers Ubiquitous AI to be Significantly Undervalued.
Key valuation signals for TSE:3858:
Gross Margin %: 38.54% (16% below median its 10-year median of 46.04)
GF Value™: 円455.47 vs. price of 円302.00 (33.7% below fair value)
Industry Position: 4.6% below the Software median (#1408 of 2681)
No single metric tells the full story. See the TSE:3858 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ubiquitous AI Corp is engaged in the development of software products for security, quality improvement support, in vehicle device development and testing tool, wireless, connectivity, network, and security verification.
56GF Score
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