ERI HOLDINGS Co (TSE:6083) Gross Margin %: 38.25% (As of Feb. 2026) — 24% Above Median

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TSE:6083 ERI HOLDINGS Co Ltd TSE:6083
90 GF Score
Price 円1,589.00
GF Value 円1,078.47
Valuation Significantly Overvalued
! 2 Warning Signs
View Full Analysis

What is ERI HOLDINGS Co Gross Margin %?

ERI HOLDINGS Co TSE:6083 +0.38% 90 Gross Margin % is 38.25% as of Feb. 2026, which is 24% above its 10-year median of 30.92. GuruFocus rates TSE:6083 with a GF Score™ of 90/100 and a GF Value™ of 円1,078.47 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,005 Business Services companies, ERI HOLDINGS Co ranks better than 55.12% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. ERI HOLDINGS Co's Gross Profit for the three months ended in Feb. 2026 was 円2,389 Mil. ERI HOLDINGS Co's Revenue for the three months ended in Feb. 2026 was 円6,246 Mil. Therefore, ERI HOLDINGS Co's Gross Margin % for the quarter that ended in Feb. 2026 was 38.25%.


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

TSE:6083' s Gross Margin % Range Over the Past 10 Years
Min: 27.36   Med: 30.92   Max: 37.52
Current: 37.52


During the past 13 years, the highest Gross Margin % of ERI HOLDINGS Co was 37.52%. The lowest was 27.36%. And the median was 30.92%.

TSE:6083's Gross Margin % is ranked better than
55.12% of 1005 companies
in the Business Services industry
Industry Median: 34.53 vs TSE:6083: 37.52

ERI HOLDINGS Co had a gross margin of 38.25% for the quarter that ended in Feb. 2026 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for ERI HOLDINGS Co was 4.00% per year.


ERI HOLDINGS Co  (TSE:6083) 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

ERI HOLDINGS Co had a gross margin of 38.25% for the quarter that ended in Feb. 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.


ERI HOLDINGS Co Gross Margin % Related Terms


ERI HOLDINGS Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for ERI 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.

ERI HOLDINGS Co Gross Margin % Chart

ERI HOLDINGS Co Annual Data
Trend May17 May18 May19 May20 May21 May22 May23 May24 May25 May26
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 34.45 36.51 35.22 32.43 37.52

ERI HOLDINGS Co Quarterly Data
Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Nov24 May25 Aug25 Nov25 Feb26 May26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 35.62 37.62 38.25 38.25

TSE:6083 vs CTAS, CPRT, GPN: Gross Margin % Comparison

For the Specialty Business Services subindustry, ERI 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.


ERI HOLDINGS Co Gross Margin % vs Business Services Industry

For the Business Services industry and Industrials sector, ERI HOLDINGS Co's Gross Margin % distribution charts can be found below:

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


TSE:6083
90GF Score
ERI HOLDINGS Co Ltd TSE:6083
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

ERI HOLDINGS Co Gross Margin % Calculation

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

ERI HOLDINGS Co's Gross Margin for the fiscal year that ended in May. 2026 is calculated as

Gross Margin % (A: May. 2026 )=Gross Profit (A: May. 2026 ) / Revenue (A: May. 2026 )
=9270 / 24704.39
=(Revenue - Cost of Goods Sold) / Revenue
=(24704.39 - 15434.438) / 24704.39
=37.52 %

ERI HOLDINGS Co's Gross Margin for the quarter that ended in Feb. 2026 is calculated as


Gross Margin % (Q: Feb. 2026 )=Gross Profit (Q: Feb. 2026 ) / Revenue (Q: Feb. 2026 )
=2388.9 / 6246
=(Revenue - Cost of Goods Sold) / Revenue
=(6246 - 3857.058) / 6246
=38.25 %

* 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 38.25% mean?
ERI HOLDINGS Co (TSE:6083) has a Gross Margin % of 38.25% as of Feb. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on ERI HOLDINGS Co and its competitors. This is 24% above median its historical median of 30.92. Over the past decade, ERI HOLDINGS Co's Gross Margin % has ranged from 27.36 to 37.52. According to the industry distribution chart, ERI HOLDINGS Co ranks #451 out of 1005 companies in the Business Services industry, placing it in the top 44.9%.
Is ERI HOLDINGS Co's Gross Margin % too high?
ERI HOLDINGS Co's current Gross Margin % of 38.25% is 24% above median its 10-year median of 30.92. Over the past 10 years, this metric has ranged from a low of 27.36 to a high of 37.52. The Business Services industry median Gross Margin % is 34.53. ERI HOLDINGS Co's value of 38.25% is 10.8% above this industry median. Based on the distribution chart, ERI HOLDINGS Co ranks #451 out of 1005 companies in the Business Services industry, which is above the industry midpoint. Overall, ERI HOLDINGS Co has a GF Score™ of 90/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ERI HOLDINGS Co's Gross Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, ERI HOLDINGS Co ranks #451 out of 1005 companies for Gross Margin %. This puts ERI HOLDINGS Co in the upper half of its industry. The industry median Gross Margin % is 34.53. ERI HOLDINGS Co's value of 38.25% is 10.8% above this benchmark. Historically, ERI HOLDINGS Co's own Gross Margin % has ranged from 27.36 to 37.52 over the past decade. While the company's 10-year median is 30.92 vs. the industry median of 34.53, ERI 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 Business Services company?
The median Gross Margin % among Business Services companies is 34.53, based on 1,005 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. ERI HOLDINGS Co's current Gross Margin % of 38.25% is 10.8% 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 ERI HOLDINGS Co and its competitors. For the Business Services industry, the median Gross Margin % is 34.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ERI HOLDINGS Co's current Gross Margin % is 38.25%, which is 24% above median its own 10-year median of 30.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ERI HOLDINGS Co stock overvalued right now?
Based on GuruFocus' analysis, ERI HOLDINGS Co (TSE:6083) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,078.47, compared to a current price of 円1,589.00 — trading 47.3% above its estimated fair value. The current Gross Margin % is 38.25%, which is 24% above median its 10-year median of 30.92 and 10.8% above the Business Services industry median of 34.53. ERI HOLDINGS Co's overall GF Score™ is 90/100 with 2 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 ERI HOLDINGS Co (TSE:6083), the current Gross Margin % is 38.25% 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 ERI HOLDINGS Co (TSE:6083) Overvalued in 2026?

Based on GuruFocus' analysis, ERI HOLDINGS Co stock appears to be overvalued. The current stock price of 円1,589.00 is trading 47.3% above its estimated GF Value™ of 円1,078.47. GuruFocus considers ERI HOLDINGS Co to be Significantly Overvalued.

Key valuation signals for TSE:6083:

  • Gross Margin %: 38.25% (24% above median its 10-year median of 30.92)
  • GF Value™: 円1,078.47 vs. price of 円1,589.00 (47.3% above fair value)
  • GF Score™: 90/100 with 2 warning signs
  • Industry Position: 10.8% above the Business Services median (#451 of 1005)

No single metric tells the full story. See the TSE:6083 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


ERI HOLDINGS Co Business Description

Address 8-10-24 Akasaka, Minato-ku, Sumitomo Real Estate Aoyama Building, South Wing, 6th floor, Tokyo, JPN, 107-0052
ERI HOLDINGS Co Ltd is engaged in providing business services. The business of the company includes confirmation inspection business based on building confirmation and building standard law, housing performance evaluation and related business, and solution business during construction which include due diligence and technical review. Its segments into three reportable segments: Inspection and related businesses, Housing performance evaluation and related businesses, and Solution businesses.
90GF Score

Get the complete analysis for TSE:6083

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

円1,589.00
Price
円1,078.47
GF Value