OvalTSE:7727 +1.73%75 Gross Margin % is 38.43% as of Mar. 2026, which is 4% above its 10-year median of 36.92. GuruFocus rates TSE:7727 with a GF Score™ of 75/100 and a GF Value™ of 円525.28 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 2,453 Hardware companies, Oval ranks better than 79.86% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Oval's Gross Profit for the
three
months ended in Mar. 2026 was 円1,712 Mil. Oval's Revenue for the
three
months ended in Mar. 2026 was 円4,454 Mil. Therefore, Oval's Gross Margin % for the quarter that ended in Mar. 2026 was 38.43%.
The historical rank and industry rank for Oval's Gross Margin % or its related term are showing as below:
TSE:7727'
s Gross Margin % Range Over the Past 10 Years
Min: 35.07 Med: 36.92 Max: 42.66
Current: 42.66
During the past 13 years, the highestGross Margin % of Oval was 42.66%. The lowest was 35.07%. And the median was 36.92%.
TSE:7727's Gross Margin % is ranked better than 79.86% of 2453
companies
in the Hardware industry
Industry Median: 24.52
vs TSE:7727: 42.66
Oval had a gross margin of 38.43% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Oval was 3.90% per year.
Oval (TSE:7727) 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
Oval had a gross margin of 38.43% 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.
Oval Gross Margin % Related Terms
Oval Gross Margin % Historical Data
* Premium members only.
The historical data trend for Oval'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:7727 vs COHR, KEYS, GRMN: Gross Margin % Comparison
For the Scientific & Technical Instruments subindustry, Oval'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.
Oval Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Oval's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Oval'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.
Oval (TSE:7727) has a Gross Margin % of 38.43% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Oval and its competitors. This is near median its historical median of 36.92. Over the past decade, Oval's Gross Margin % has ranged from 35.07 to 42.66. According to the industry distribution chart, Oval ranks #494 out of 2453 companies in the Hardware industry, placing it in the top 20.1%.
Is Oval's Gross Margin % too high?
Oval's current Gross Margin % of 38.43% is near median its 10-year median of 36.92. Over the past 10 years, this metric has ranged from a low of 35.07 to a high of 42.66. The Hardware industry median Gross Margin % is 24.52. Oval's value of 38.43% is 56.7% above this industry median. Based on the distribution chart, Oval ranks #494 out of 2453 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Oval has a GF Score™ of 75/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Oval's Gross Margin % compare to COHR and KEYS?
According to the Hardware industry distribution chart, Oval ranks #494 out of 2453 companies for Gross Margin %. This places Oval in the top 20% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 24.52. Oval's value of 38.43% is 56.7% above this benchmark. Historically, Oval's own Gross Margin % has ranged from 35.07 to 42.66 over the past decade. While the company's 10-year median is 36.92 vs. the industry median of 24.52, Oval 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.52, based on 2,453 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. Oval's current Gross Margin % of 38.43% is 56.7% 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 Oval and its competitors. For the Hardware industry, the median Gross Margin % is 24.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Oval's current Gross Margin % is 38.43%, which is near median its own 10-year median of 36.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Oval stock overvalued right now?
Based on GuruFocus' analysis, Oval (TSE:7727) is currently considered Significantly Overvalued. The stock's GF Value™ is 円525.28, compared to a current price of 円764.00 — trading 45.4% above its estimated fair value. The current Gross Margin % is 38.43%, which is near median its 10-year median of 36.92 and 56.7% above the Hardware industry median of 24.52. Oval's overall GF Score™ is 75/100 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 Oval (TSE:7727), the current Gross Margin % is 38.43% 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 Oval (TSE:7727) Overvalued in 2026?
Based on GuruFocus' analysis, Oval stock appears to be overvalued.
The current stock price of 円764.00 is trading 45.4% above its estimated GF Value™ of 円525.28.
GuruFocus considers Oval to be Significantly Overvalued.
Key valuation signals for TSE:7727:
Gross Margin %: 38.43% (near median its 10-year median of 36.92)
GF Value™: 円525.28 vs. price of 円764.00 (45.4% above fair value)
Industry Position: 56.7% above the Hardware median (#494 of 2453)
No single metric tells the full story. See the TSE:7727 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Oval Corp is engaged in the manufacturing and sale of OVAL gear PD and other types of flowmeters, metrological control equipment, and related systems, measuring devices and environmental control related instruments. Its flowmeters include Coriolis flowmeter, Vortex flowmeter, ultrasonic flowmeter. Electronic Instruments includes Totalizer, Batch counter, and Flow Computer.
75GF Score
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