Molitec Steel CoTSE:5986 77 Gross Margin % is 10.93% as of Mar. 2026, which is 1% above its 10-year median of 10.80. GuruFocus rates TSE:5986 with a GF Score™ of 77/100 and a GF Value™ of 円205.97 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 592 Steel companies, Molitec Steel Co ranks worse than 58.28% on this metric.
The historical rank and industry rank for Molitec Steel Co's Gross Margin % or its related term are showing as below:
TSE:5986'
s Gross Margin % Range Over the Past 10 Years
Min: 8.66 Med: 10.8 Max: 14.35
Current: 10.17
During the past 13 years, the highestGross Margin % of Molitec Steel Co was 14.35%. The lowest was 8.66%. And the median was 10.80%.
TSE:5986's Gross Margin % is ranked worse than 58.28% of 592
companies
in the Steel industry
Industry Median: 12.55
vs TSE:5986: 10.17
Molitec Steel Co had a gross margin of 10.93% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Molitec Steel Co was -0.90% per year.
Molitec Steel Co (TSE:5986) 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
Molitec Steel Co had a gross margin of 10.93% for the quarter that ended in Mar. 2026 => No sustainable 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.
Molitec Steel Co Gross Margin % Related Terms
Molitec Steel Co Gross Margin % Historical Data
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The historical data trend for Molitec Steel 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.
TSE:5986 vs NUE, STLD, RS: Gross Margin % Comparison
For the Steel subindustry, Molitec Steel 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.
Molitec Steel Co Gross Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Molitec Steel Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Molitec Steel 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.
Molitec Steel Co (TSE:5986) has a Gross Margin % of 10.93% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Molitec Steel Co and its competitors. This is near median its historical median of 10.80. Over the past decade, Molitec Steel Co's Gross Margin % has ranged from 8.66 to 14.35. According to the industry distribution chart, Molitec Steel Co ranks #345 out of 592 companies in the Steel industry, placing it in the top 58.3%.
Is Molitec Steel Co's Gross Margin % too high?
Molitec Steel Co's current Gross Margin % of 10.93% is near median its 10-year median of 10.80. Over the past 10 years, this metric has ranged from a low of 8.66 to a high of 14.35. The Steel industry median Gross Margin % is 12.55. Molitec Steel Co's value of 10.93% is 12.9% below this industry median. Based on the distribution chart, Molitec Steel Co ranks #345 out of 592 companies in the Steel industry, which is below the industry midpoint. Overall, Molitec Steel Co has a GF Score™ of 77/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Molitec Steel Co's Gross Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Molitec Steel Co ranks #345 out of 592 companies for Gross Margin %. This places Molitec Steel Co in the lower half of its industry. The industry median Gross Margin % is 12.55. Molitec Steel Co's value of 10.93% is 12.9% below this benchmark. Historically, Molitec Steel Co's own Gross Margin % has ranged from 8.66 to 14.35 over the past decade. While the company's 10-year median is 10.80 vs. the industry median of 12.55, Molitec Steel Co 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 Steel company?
The median Gross Margin % among Steel companies is 12.55, based on 592 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. Molitec Steel Co's current Gross Margin % of 10.93% is 12.9% 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 Molitec Steel Co and its competitors. For the Steel industry, the median Gross Margin % is 12.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Molitec Steel Co's current Gross Margin % is 10.93%, which is near median its own 10-year median of 10.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Molitec Steel Co stock overvalued right now?
Based on GuruFocus' analysis, Molitec Steel Co (TSE:5986) is currently considered Modestly Overvalued. The stock's GF Value™ is 円205.97, compared to a current price of 円235.00 — trading 14.1% above its estimated fair value. The current Gross Margin % is 10.93%, which is near median its 10-year median of 10.80 and 12.9% below the Steel industry median of 12.55. Molitec Steel Co's overall GF Score™ is 77/100 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 Molitec Steel Co (TSE:5986), the current Gross Margin % is 10.93% 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 Molitec Steel Co (TSE:5986) Overvalued in 2026?
Based on GuruFocus' analysis, Molitec Steel Co stock appears to be overvalued.
The current stock price of 円235.00 is trading 14.1% above its estimated GF Value™ of 円205.97.
GuruFocus considers Molitec Steel Co to be Modestly Overvalued.
Key valuation signals for TSE:5986:
Gross Margin %: 10.93% (near median its 10-year median of 10.80)
GF Value™: 円205.97 vs. price of 円235.00 (14.1% above fair value)
Industry Position: 12.9% below the Steel median (#345 of 592)
No single metric tells the full story. See the TSE:5986 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Molitec Steel Co Ltd operates in the steel industry. The company is engaged in the business of processing and selling Cold Rolled Special Steel Strips, Stainless Steel Strips, and Various Steel Strips. The company is also involved in the manufacture and sale of various machinery tools, steel parts, plastic products and parts, and the import and export of merchandise.
77GF Score
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