Medical System Network CoTSE:4350 -0.21%65 Gross Margin % is 40.54% as of Mar. 2026, which is 0% below its 10-year median of 40.67. GuruFocus rates TSE:4350 with a GF Score™ of 65/100 and a GF Value™ of 円521.92 (Fairly Valued). The stock has 4 warning signs investors should review. Among 630 Healthcare Providers & Services companies, Medical System Network Co ranks better than 50.79% on this metric.
TSE:4350's Gross Margin % is ranked better than 50.79% of 630
companies
in the Healthcare Providers & Services industry
Industry Median: 40.075
vs TSE:4350: 40.66
Medical System Network Co had a gross margin of 40.54% for the quarter that ended in Mar. 2026 => Durable competitive advantage
Medical System Network Co (TSE:4350) 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
Medical System Network Co had a gross margin of 40.54% 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.
Medical System Network Co Gross Margin % Related Terms
Medical System Network Co Gross Margin % Historical Data
* 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.
Medical System Network Co Gross Margin % Competitor Comparison
For the Pharmaceutical Retailers subindustry, Medical System Network 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.
Medical System Network Co Gross Margin % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Medical System Network Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Medical System Network 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.
Medical System Network Co (TSE:4350) has a Gross Margin % of 40.54% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Medical System Network Co and its competitors. This is near median its historical median of 40.67. Over the past decade, Medical System Network Co's Gross Margin % has ranged from 37.94 to 41.92. According to the industry distribution chart, Medical System Network Co ranks #310 out of 630 companies in the Healthcare Providers & Services industry, placing it in the top 49.2%.
Is Medical System Network Co's Gross Margin % too high?
Medical System Network Co's current Gross Margin % of 40.54% is near median its 10-year median of 40.67. Over the past 10 years, this metric has ranged from a low of 37.94 to a high of 41.92. The Healthcare Providers & Services industry median Gross Margin % is 40.08. Medical System Network Co's value of 40.54% is 1.2% above this industry median. Based on the distribution chart, Medical System Network Co ranks #310 out of 630 companies in the Healthcare Providers & Services industry, which is above the industry midpoint. Overall, Medical System Network Co has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Medical System Network Co's Gross Margin % compare to competitors?
According to the Healthcare Providers & Services industry distribution chart, Medical System Network Co ranks #310 out of 630 companies for Gross Margin %. This puts Medical System Network Co in the upper half of its industry. The industry median Gross Margin % is 40.08. Medical System Network Co's value of 40.54% is 1.2% above this benchmark. Historically, Medical System Network Co's own Gross Margin % has ranged from 37.94 to 41.92 over the past decade. While the company's 10-year median is 40.67 vs. the industry median of 40.08, Medical System Network 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 Healthcare Providers & Services company?
The median Gross Margin % among Healthcare Providers & Services companies is 40.08, based on 630 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. Medical System Network Co's current Gross Margin % of 40.54% is 1.2% 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 Medical System Network Co and its competitors. For the Healthcare Providers & Services industry, the median Gross Margin % is 40.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Medical System Network Co's current Gross Margin % is 40.54%, which is near median its own 10-year median of 40.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Medical System Network Co stock overvalued right now?
Based on GuruFocus' analysis, Medical System Network Co (TSE:4350) is currently considered Fairly Valued. The stock's GF Value™ is 円521.92, compared to a current price of 円473.00 — trading 9.4% below its estimated fair value. The current Gross Margin % is 40.54%, which is near median its 10-year median of 40.67 and 1.2% above the Healthcare Providers & Services industry median of 40.08. Medical System Network Co's overall GF Score™ is 65/100 with 4 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 Medical System Network Co (TSE:4350), the current Gross Margin % is 40.54% 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 Medical System Network Co (TSE:4350) Overvalued in 2026?
Based on GuruFocus' analysis, Medical System Network Co stock appears to be undervalued.
The current stock price of 円473.00 is trading 9.4% below its estimated GF Value™ of 円521.92.
GuruFocus considers Medical System Network Co to be Fairly Valued.
Key valuation signals for TSE:4350:
Gross Margin %: 40.54% (near median its 10-year median of 40.67)
GF Value™: 円521.92 vs. price of 円473.00 (9.4% below fair value)
Industry Position: 1.2% above the Healthcare Providers & Services median (#310 of 630)
No single metric tells the full story. See the TSE:4350 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Medical System Network Co Ltd is involved in its network business of dispensing pharmacy business. It also operates a network database used by pharmacies to access patients' prescriptions. It operates through the following business divisions: Pharmaceutical Product Network; Dispensing Pharmacy; Leasing and Equipment-related Business; Food Supply business and others.
65GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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