Kanematsu Engineering CoTSE:6402 +0.14%81 Gross Margin % is 27.53% as of Mar. 2026, which is 16% above its 10-year median of 23.73. GuruFocus rates TSE:6402 with a GF Score™ of 81/100 and a GF Value™ of 円1,470.76 (Fairly Valued). The stock has 1 warning sign investors should review. Among 2,996 Industrial Products companies, Kanematsu Engineering Co ranks better than 50.1% on this metric.
Kanematsu Engineering Co (TSE:6402) 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
Kanematsu Engineering Co had a gross margin of 27.53% for the quarter that ended in Mar. 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.
Kanematsu Engineering Co Gross Margin % Related Terms
Kanematsu Engineering 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.
TSE:6402 vs GEV, ETN, PH: Gross Margin % Comparison
For the Specialty Industrial Machinery subindustry, Kanematsu Engineering 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.
Kanematsu Engineering Co Gross Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Kanematsu Engineering Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Kanematsu Engineering 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.
Kanematsu Engineering Co (TSE:6402) has a Gross Margin % of 27.53% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Kanematsu Engineering Co and its competitors. This is 16% above median its historical median of 23.73. Over the past decade, Kanematsu Engineering Co's Gross Margin % has ranged from 22.75 to 26.86. According to the industry distribution chart, Kanematsu Engineering Co ranks #1495 out of 2996 companies in the Industrial Products industry, placing it in the top 49.9%.
Is Kanematsu Engineering Co's Gross Margin % too high?
Kanematsu Engineering Co's current Gross Margin % of 27.53% is 16% above median its 10-year median of 23.73. Over the past 10 years, this metric has ranged from a low of 22.75 to a high of 26.86. The Industrial Products industry median Gross Margin % is 26.80. Kanematsu Engineering Co's value of 27.53% is 2.7% above this industry median. Based on the distribution chart, Kanematsu Engineering Co ranks #1495 out of 2996 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Kanematsu Engineering Co has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kanematsu Engineering Co's Gross Margin % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Kanematsu Engineering Co ranks #1495 out of 2996 companies for Gross Margin %. This puts Kanematsu Engineering Co in the upper half of its industry. The industry median Gross Margin % is 26.80. Kanematsu Engineering Co's value of 27.53% is 2.7% above this benchmark. Historically, Kanematsu Engineering Co's own Gross Margin % has ranged from 22.75 to 26.86 over the past decade. While the company's 10-year median is 23.73 vs. the industry median of 26.80, Kanematsu Engineering 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 an Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.80, based on 2,996 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. Kanematsu Engineering Co's current Gross Margin % of 27.53% is 2.7% 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 Kanematsu Engineering Co and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kanematsu Engineering Co's current Gross Margin % is 27.53%, which is 16% above median its own 10-year median of 23.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kanematsu Engineering Co stock overvalued right now?
Based on GuruFocus' analysis, Kanematsu Engineering Co (TSE:6402) is currently considered Fairly Valued. The stock's GF Value™ is 円1,470.76, compared to a current price of 円1,476.00 — trading 0.4% above its estimated fair value. The current Gross Margin % is 27.53%, which is 16% above median its 10-year median of 23.73 and 2.7% above the Industrial Products industry median of 26.80. Kanematsu Engineering Co's overall GF Score™ is 81/100 with 1 warning sign 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 Kanematsu Engineering Co (TSE:6402), the current Gross Margin % is 27.53% 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 Kanematsu Engineering Co (TSE:6402) Overvalued in 2026?
Based on GuruFocus' analysis, Kanematsu Engineering Co stock appears to be overvalued.
The current stock price of 円1,476.00 is trading 0.4% above its estimated GF Value™ of 円1,470.76.
GuruFocus considers Kanematsu Engineering Co to be Fairly Valued.
Key valuation signals for TSE:6402:
Gross Margin %: 27.53% (16% above median its 10-year median of 23.73)
GF Value™: 円1,470.76 vs. price of 円1,476.00 (0.4% above fair value)
Industry Position: 2.7% above the Industrial Products median (#1495 of 2996)
No single metric tells the full story. See the TSE:6402 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kanematsu Engineering Co Ltd offers specialty vehicles. Its principal products include high-power suction trucks, stationary suction machine, high-pressure cleaning trucks, powder suction and pressure delivery trucks and dredge system. It's products used by industrial waste disposer, iron and steel industry, electric power company, shipbuilding company, and overseas users.
81GF Score
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