Excite Holdings Co (TSE:5571) Gross Margin %: 56.82% (As of Mar. 2026) — 19% Above Median

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TSE:5571 Excite Holdings Co Ltd TSE:5571
72 GF Score
Price 円976.00
GF Value 円1,375.54
Valuation Modestly Undervalued
! 5 Warning Signs
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What is Excite Holdings Co Gross Margin %?

Excite Holdings Co TSE:5571 -1.41% 72 Gross Margin % is 56.82% as of Mar. 2026, which is 19% above its 10-year median of 47.87. GuruFocus rates TSE:5571 with a GF Score™ of 72/100 and a GF Value™ of 円1,375.54 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 2,683 Software companies, Excite Holdings Co ranks better than 68.24% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Excite Holdings Co's Gross Profit for the six months ended in Mar. 2026 was 円3,223 Mil. Excite Holdings Co's Revenue for the six months ended in Mar. 2026 was 円5,673 Mil. Therefore, Excite Holdings Co's Gross Margin % for the quarter that ended in Mar. 2026 was 56.82%.


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

TSE:5571' s Gross Margin % Range Over the Past 10 Years
Min: 45.46   Med: 47.87   Max: 57.68
Current: 57.68


During the past 6 years, the highest Gross Margin % of Excite Holdings Co was 57.68%. The lowest was 45.46%. And the median was 47.87%.

TSE:5571's Gross Margin % is ranked better than
68.24% of 2683 companies
in the Software industry
Industry Median: 40.47 vs TSE:5571: 57.68

Excite Holdings Co had a gross margin of 56.82% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Excite Holdings Co was 5.00% per year.


Excite Holdings Co  (TSE:5571) 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

Excite Holdings Co had a gross margin of 56.82% 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.


Excite Holdings Co Gross Margin % Related Terms


Excite Holdings Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Excite Holdings 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.

Excite Holdings Co Gross Margin % Chart

Excite Holdings Co Annual Data
Trend Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial 45.51 47.19 48.55 53.73 57.68

Excite Holdings Co Semi-Annual Data
Mar21 Mar22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only 49.97 50.05 56.80 58.63 56.82

TSE:5571 vs UBER, SHOP, CRM: Gross Margin % Comparison

For the Software - Application subindustry, Excite Holdings 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.


Excite Holdings Co Gross Margin % vs Software Industry

For the Software industry and Technology sector, Excite Holdings Co's Gross Margin % distribution charts can be found below:

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


TSE:5571
72GF Score
Excite Holdings Co Ltd TSE:5571
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Excite Holdings Co Gross Margin % Calculation

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

Excite Holdings Co's Gross Margin for the fiscal year that ended in Mar. 2026 is calculated as

Gross Margin % (A: Mar. 2026 )=Gross Profit (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=6227.3 / 10796.739
=(Revenue - Cost of Goods Sold) / Revenue
=(10796.739 - 4569.46) / 10796.739
=57.68 %

Excite Holdings 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 )
=3223.2 / 5672.998
=(Revenue - Cost of Goods Sold) / Revenue
=(5672.998 - 2449.762) / 5672.998
=56.82 %

* 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 56.82% mean?
Excite Holdings Co (TSE:5571) has a Gross Margin % of 56.82% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Excite Holdings Co and its competitors. This is 19% above median its historical median of 47.87. Over the past decade, Excite Holdings Co's Gross Margin % has ranged from 45.46 to 57.68. According to the industry distribution chart, Excite Holdings Co ranks #852 out of 2683 companies in the Software industry, placing it in the top 31.8%.
Is Excite Holdings Co's Gross Margin % too high?
Excite Holdings Co's current Gross Margin % of 56.82% is 19% above median its 10-year median of 47.87. Over the past 10 years, this metric has ranged from a low of 45.46 to a high of 57.68. The Software industry median Gross Margin % is 40.47. Excite Holdings Co's value of 56.82% is 40.4% above this industry median. Based on the distribution chart, Excite Holdings Co ranks #852 out of 2683 companies in the Software industry, which is above the industry midpoint. Overall, Excite Holdings Co has a GF Score™ of 72/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Excite Holdings Co's Gross Margin % compare to UBER and SHOP?
According to the Software industry distribution chart, Excite Holdings Co ranks #852 out of 2683 companies for Gross Margin %. This puts Excite Holdings Co in the upper half of its industry. The industry median Gross Margin % is 40.47. Excite Holdings Co's value of 56.82% is 40.4% above this benchmark. Historically, Excite Holdings Co's own Gross Margin % has ranged from 45.46 to 57.68 over the past decade. While the company's 10-year median is 47.87 vs. the industry median of 40.47, Excite Holdings 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 Software company?
The median Gross Margin % among Software companies is 40.47, based on 2,683 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. Excite Holdings Co's current Gross Margin % of 56.82% is 40.4% 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 Excite Holdings Co and its competitors. For the Software industry, the median Gross Margin % is 40.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Excite Holdings Co's current Gross Margin % is 56.82%, which is 19% above median its own 10-year median of 47.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Excite Holdings Co stock overvalued right now?
Based on GuruFocus' analysis, Excite Holdings Co (TSE:5571) is currently considered Modestly Undervalued. The stock's GF Value™ is 円1,375.54, compared to a current price of 円976.00 — trading 29% below its estimated fair value. The current Gross Margin % is 56.82%, which is 19% above median its 10-year median of 47.87 and 40.4% above the Software industry median of 40.47. Excite Holdings Co's overall GF Score™ is 72/100 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 Excite Holdings Co (TSE:5571), the current Gross Margin % is 56.82% 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 Excite Holdings Co (TSE:5571) Overvalued in 2026?

Based on GuruFocus' analysis, Excite Holdings Co stock appears to be undervalued. The current stock price of 円976.00 is trading 29% below its estimated GF Value™ of 円1,375.54. GuruFocus considers Excite Holdings Co to be Modestly Undervalued.

Key valuation signals for TSE:5571:

  • Gross Margin %: 56.82% (19% above median its 10-year median of 47.87)
  • GF Value™: 円1,375.54 vs. price of 円976.00 (29% below fair value)
  • GF Score™: 72/100 with 5 warning signs
  • Industry Position: 40.4% above the Software median (#852 of 2683)

No single metric tells the full story. See the TSE:5571 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Excite Holdings Co Business Description

Address 3-20-1 Minamiazabu, Daiwa Azabu Terrace 4th Floor, Minato-ku, Tokyo, JPN, 106-0047
Excite Holdings Co Ltd is engaged in the business management and related operations of group companies, platform business, broadband business, and SaaS/DX Business.
72GF Score

Get the complete analysis for TSE:5571

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

円976.00
Price
円1,375.54
GF Value