Vario SecureTSE:4494 +3.98%50 Gross Margin % is 49.71% as of Feb. 2026, which is 17% below its 10-year median of 60.03. GuruFocus rates TSE:4494 with a GF Score™ of 50/100 and a GF Value™ of 円760.08 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 2,685 Software companies, Vario Secure ranks better than 62.35% on this metric.
Vario Secure Inc gross margin has been in long-term decline. The average rate of decline per year is -4.2%.
The historical rank and industry rank for Vario Secure's Gross Margin % or its related term are showing as below:
TSE:4494'
s Gross Margin % Range Over the Past 10 Years
Min: 50.45 Med: 60.03 Max: 62.23
Current: 51.14
During the past 9 years, the highestGross Margin % of Vario Secure was 62.23%. The lowest was 50.45%. And the median was 60.03%.
TSE:4494's Gross Margin % is ranked better than 62.35% of 2685
companies
in the Software industry
Industry Median: 40.49
vs TSE:4494: 51.14
Vario Secure had a gross margin of 49.71% for the quarter that ended in Feb. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Vario Secure was -4.20% per year.
Vario Secure (TSE:4494) 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
Vario Secure had a gross margin of 49.71% for the quarter that ended in Feb. 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.
Vario Secure Gross Margin % Related Terms
Vario Secure Gross Margin % Historical Data
* Premium members only.
The historical data trend for Vario Secure'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:4494 vs MSFT, ORCL, PLTR: Gross Margin % Comparison
For the Software - Infrastructure subindustry, Vario Secure'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.
Vario Secure Gross Margin % vs Software Industry
For the Software industry and Technology sector, Vario Secure's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Vario Secure'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.
Vario Secure (TSE:4494) has a Gross Margin % of 49.71% as of Feb. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Vario Secure and its competitors. This is 17% below median its historical median of 60.03. Over the past decade, Vario Secure's Gross Margin % has ranged from 50.45 to 62.23. According to the industry distribution chart, Vario Secure ranks #1011 out of 2685 companies in the Software industry, placing it in the top 37.7%.
Is Vario Secure's Gross Margin % too high?
Vario Secure's current Gross Margin % of 49.71% is 17% below median its 10-year median of 60.03. Over the past 10 years, this metric has ranged from a low of 50.45 to a high of 62.23. The Software industry median Gross Margin % is 40.49. Vario Secure's value of 49.71% is 22.8% above this industry median. Based on the distribution chart, Vario Secure ranks #1011 out of 2685 companies in the Software industry, which is above the industry midpoint. Overall, Vario Secure has a GF Score™ of 50/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Vario Secure's Gross Margin % compare to MSFT and ORCL?
According to the Software industry distribution chart, Vario Secure ranks #1011 out of 2685 companies for Gross Margin %. This puts Vario Secure in the upper half of its industry. The industry median Gross Margin % is 40.49. Vario Secure's value of 49.71% is 22.8% above this benchmark. Historically, Vario Secure's own Gross Margin % has ranged from 50.45 to 62.23 over the past decade. While the company's 10-year median is 60.03 vs. the industry median of 40.49, Vario Secure 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 Software company?
The median Gross Margin % among Software companies is 40.49, based on 2,685 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. Vario Secure's current Gross Margin % of 49.71% is 22.8% 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 Vario Secure and its competitors. For the Software industry, the median Gross Margin % is 40.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Vario Secure's current Gross Margin % is 49.71%, which is 17% below median its own 10-year median of 60.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vario Secure stock overvalued right now?
Based on GuruFocus' analysis, Vario Secure (TSE:4494) is currently considered Modestly Undervalued. The stock's GF Value™ is 円760.08, compared to a current price of 円680.00 — trading 10.5% below its estimated fair value. The current Gross Margin % is 49.71%, which is 17% below median its 10-year median of 60.03 and 22.8% above the Software industry median of 40.49. Vario Secure's overall GF Score™ is 50/100 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 Vario Secure (TSE:4494), the current Gross Margin % is 49.71% as of Feb. 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 Vario Secure (TSE:4494) Overvalued in 2026?
Based on GuruFocus' analysis, Vario Secure stock appears to be undervalued.
The current stock price of 円680.00 is trading 10.5% below its estimated GF Value™ of 円760.08.
GuruFocus considers Vario Secure to be Modestly Undervalued.
Key valuation signals for TSE:4494:
Gross Margin %: 49.71% (17% below median its 10-year median of 60.03)
GF Value™: 円760.08 vs. price of 円680.00 (10.5% below fair value)
Industry Position: 22.8% above the Software median (#1011 of 2685)
No single metric tells the full story. See the TSE:4494 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Vario Secure Inc is engaged in providing internet security services that protect the network environment of enterprises from various threats arising from internet usage, by utilizing its in-house developed security instruments and operating system. The company provides one-stop security services, from installation and implementation to operation, monitoring, and support, for small and medium-sized enterprises that struggle to spare dedicated personnel for IT issues, which are becoming increasingly sophisticated and complicated daily. The Company operates in a single segment, the Internet security services business.
50GF Score
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