Eiken Industries Co (TSE:7265) Gross Margin %: 13.25% (As of Apr. 2026) — 26% Below Median

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TSE:7265 Eiken Industries Co Ltd TSE:7265
74 GF Score
Price 円3,845.00
GF Value 円3,592.57
Valuation Fairly Valued
! 3 Warning Signs
View Full Analysis

What is Eiken Industries Co Gross Margin %?

Eiken Industries Co TSE:7265 +0.39% 74 Gross Margin % is 13.25% as of Apr. 2026, which is 26% below its 10-year median of 17.90. GuruFocus rates TSE:7265 with a GF Score™ of 74/100 and a GF Value™ of 円3,592.57 (Fairly Valued). The stock has 3 warning signs investors should review. Among 2,999 Industrial Products companies, Eiken Industries Co ranks worse than 83.39% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Eiken Industries Co's Gross Profit for the six months ended in Apr. 2026 was 円515 Mil. Eiken Industries Co's Revenue for the six months ended in Apr. 2026 was 円3,890 Mil. Therefore, Eiken Industries Co's Gross Margin % for the quarter that ended in Apr. 2026 was 13.25%.

Warning Sign:

Eiken Industries Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -4.8%.


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

TSE:7265' s Gross Margin % Range Over the Past 10 Years
Min: 12.38   Med: 17.9   Max: 20
Current: 13.5


During the past 13 years, the highest Gross Margin % of Eiken Industries Co was 20.00%. The lowest was 12.38%. And the median was 17.90%.

TSE:7265's Gross Margin % is ranked worse than
83.39% of 2999 companies
in the Industrial Products industry
Industry Median: 26.85 vs TSE:7265: 13.50

Eiken Industries Co had a gross margin of 13.25% for the quarter that ended in Apr. 2026 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Eiken Industries Co was -4.80% per year.


Eiken Industries Co  (TSE:7265) 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

Eiken Industries Co had a gross margin of 13.25% for the quarter that ended in Apr. 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.


Eiken Industries Co Gross Margin % Related Terms


Eiken Industries Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Eiken Industries 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.

Eiken Industries Co Gross Margin % Chart

Eiken Industries Co Annual Data
Trend Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24 Oct25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 18.88 14.97 12.38 14.04 14.85

Eiken Industries Co Semi-Annual Data
Oct16 Apr17 Oct17 Apr18 Oct18 Apr19 Oct19 Apr20 Oct20 Apr21 Oct21 Apr22 Oct22 Apr23 Oct23 Apr24 Oct24 Apr25 Oct25 Apr26
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 13.82 14.25 15.95 13.74 13.25

TSE:7265 vs VLTO, ZWS, CECO: Gross Margin % Comparison

For the Pollution & Treatment Controls subindustry, Eiken Industries 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.


Eiken Industries Co Gross Margin % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Eiken Industries Co's Gross Margin % distribution charts can be found below:

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


TSE:7265
74GF Score
Eiken Industries Co Ltd TSE:7265
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Eiken Industries Co Gross Margin % Calculation

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

Eiken Industries Co's Gross Margin for the fiscal year that ended in Oct. 2025 is calculated as

Gross Margin % (A: Oct. 2025 )=Gross Profit (A: Oct. 2025 ) / Revenue (A: Oct. 2025 )
=1203 / 8100.114
=(Revenue - Cost of Goods Sold) / Revenue
=(8100.114 - 6897.109) / 8100.114
=14.85 %

Eiken Industries Co's Gross Margin for the quarter that ended in Apr. 2026 is calculated as


Gross Margin % (Q: Apr. 2026 )=Gross Profit (Q: Apr. 2026 ) / Revenue (Q: Apr. 2026 )
=515.2 / 3889.729
=(Revenue - Cost of Goods Sold) / Revenue
=(3889.729 - 3374.489) / 3889.729
=13.25 %

* 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 13.25% mean?
Eiken Industries Co (TSE:7265) has a Gross Margin % of 13.25% as of Apr. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Eiken Industries Co and its competitors. This is 26% below median its historical median of 17.90. Over the past decade, Eiken Industries Co's Gross Margin % has ranged from 12.38 to 20.00. According to the industry distribution chart, Eiken Industries Co ranks #2501 out of 2999 companies in the Industrial Products industry, placing it in the top 83.4%.
Is Eiken Industries Co's Gross Margin % too high?
Eiken Industries Co's current Gross Margin % of 13.25% is 26% below median its 10-year median of 17.90. Over the past 10 years, this metric has ranged from a low of 12.38 to a high of 20.00. The Industrial Products industry median Gross Margin % is 26.85. Eiken Industries Co's value of 13.25% is 50.7% below this industry median. Based on the distribution chart, Eiken Industries Co ranks #2501 out of 2999 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Eiken Industries Co has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Eiken Industries Co's Gross Margin % compare to VLTO and ZWS?
According to the Industrial Products industry distribution chart, Eiken Industries Co ranks #2501 out of 2999 companies for Gross Margin %. This places Eiken Industries Co in the lower half of its industry. The industry median Gross Margin % is 26.85. Eiken Industries Co's value of 13.25% is 50.7% below this benchmark. Historically, Eiken Industries Co's own Gross Margin % has ranged from 12.38 to 20.00 over the past decade. While the company's 10-year median is 17.90 vs. the industry median of 26.85, Eiken Industries 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 an Industrial Products company?
The median Gross Margin % among Industrial Products companies is 26.85, based on 2,999 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. Eiken Industries Co's current Gross Margin % of 13.25% is 50.7% 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 Eiken Industries Co and its competitors. For the Industrial Products industry, the median Gross Margin % is 26.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eiken Industries Co's current Gross Margin % is 13.25%, which is 26% below median its own 10-year median of 17.90. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eiken Industries Co stock overvalued right now?
Based on GuruFocus' analysis, Eiken Industries Co (TSE:7265) is currently considered Fairly Valued. The stock's GF Value™ is 円3,592.57, compared to a current price of 円3,845.00 — trading 7% above its estimated fair value. The current Gross Margin % is 13.25%, which is 26% below median its 10-year median of 17.90 and 50.7% below the Industrial Products industry median of 26.85. Eiken Industries Co's overall GF Score™ is 74/100 with 3 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 Eiken Industries Co (TSE:7265), the current Gross Margin % is 13.25% as of Apr. 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 Eiken Industries Co (TSE:7265) Overvalued in 2026?

Based on GuruFocus' analysis, Eiken Industries Co stock appears to be overvalued. The current stock price of 円3,845.00 is trading 7% above its estimated GF Value™ of 円3,592.57. GuruFocus considers Eiken Industries Co to be Fairly Valued.

Key valuation signals for TSE:7265:

  • Gross Margin %: 13.25% (26% below median its 10-year median of 17.90)
  • GF Value™: 円3,592.57 vs. price of 円3,845.00 (7% above fair value)
  • GF Score™: 74/100 with 3 warning signs
  • Industry Position: 50.7% below the Industrial Products median (#2501 of 2999)

No single metric tells the full story. See the TSE:7265 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Eiken Industries Co Business Description

Address 1370 Kadoya, Omaezaki-shi, Shizuoka, JPN, 437-1698
Eiken Industries Co Ltd is a Japan-based company filtration equipment manufacturer. The products offered by the company include oil filter, air filter, fuel filter, cabin filter, and burners.
74GF Score

Get the complete analysis for TSE:7265

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

円3,845.00
Price
円3,592.57
GF Value