RIKEN KEIKI Co (TSE:7734) Gross Margin %: 54.10% (As of Mar. 2026) — 12% Above Median

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TSE:7734 RIKEN KEIKI Co Ltd TSE:7734
97 GF Score
Price 円3,465.00
GF Value 円3,813.13
Valuation Fairly Valued
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What is RIKEN KEIKI Co Gross Margin %?

RIKEN KEIKI Co TSE:7734 +1.02% 97 Gross Margin % is 54.10% as of Mar. 2026, which is 12% above its 10-year median of 48.48. GuruFocus rates TSE:7734 with a GF Score™ of 97/100 and a GF Value™ of 円3,813.13 (Fairly Valued). Among 1,008 Business Services companies, RIKEN KEIKI Co ranks better than 69.15% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. RIKEN KEIKI Co's Gross Profit for the three months ended in Mar. 2026 was 円7,742 Mil. RIKEN KEIKI Co's Revenue for the three months ended in Mar. 2026 was 円14,311 Mil. Therefore, RIKEN KEIKI Co's Gross Margin % for the quarter that ended in Mar. 2026 was 54.10%.


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

TSE:7734' s Gross Margin % Range Over the Past 10 Years
Min: 44.79   Med: 48.48   Max: 51.47
Current: 49.2


During the past 13 years, the highest Gross Margin % of RIKEN KEIKI Co was 51.47%. The lowest was 44.79%. And the median was 48.48%.

TSE:7734's Gross Margin % is ranked better than
69.15% of 1008 companies
in the Business Services industry
Industry Median: 34.515 vs TSE:7734: 49.20

RIKEN KEIKI Co had a gross margin of 54.10% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for RIKEN KEIKI Co was 0.60% per year.


RIKEN KEIKI Co  (TSE:7734) 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

RIKEN KEIKI Co had a gross margin of 54.10% for the quarter that ended in Mar. 2026 => Durable 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.


RIKEN KEIKI Co Gross Margin % Related Terms


RIKEN KEIKI Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for RIKEN KEIKI 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.

RIKEN KEIKI Co Gross Margin % Chart

RIKEN KEIKI Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 49.33 51.47 51.39 50.22 49.20

RIKEN KEIKI Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 47.87 47.96 47.03 47.45 54.10

TSE:7734 vs ALLE, MSA, ADT: Gross Margin % Comparison

For the Security & Protection Services subindustry, RIKEN KEIKI 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.


RIKEN KEIKI Co Gross Margin % vs Business Services Industry

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

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


TSE:7734
97GF Score
RIKEN KEIKI Co Ltd TSE:7734
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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RIKEN KEIKI Co Gross Margin % Calculation

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

RIKEN KEIKI Co's Gross Margin for the fiscal year that ended in Mar. 2026 is calculated as

Gross Margin % (A: Mar. 2026 )=Gross Profit (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=27163.1 / 55212.234
=(Revenue - Cost of Goods Sold) / Revenue
=(55212.234 - 28049.166) / 55212.234
=49.20 %

RIKEN KEIKI Co's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=7742.5 / 14310.6
=(Revenue - Cost of Goods Sold) / Revenue
=(14310.6 - 6568.116) / 14310.6
=54.10 %

* 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 54.10% mean?
RIKEN KEIKI Co (TSE:7734) has a Gross Margin % of 54.10% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on RIKEN KEIKI Co and its competitors. This is 12% above median its historical median of 48.48. Over the past decade, RIKEN KEIKI Co's Gross Margin % has ranged from 44.79 to 51.47. According to the industry distribution chart, RIKEN KEIKI Co ranks #311 out of 1008 companies in the Business Services industry, placing it in the top 30.9%.
Is RIKEN KEIKI Co's Gross Margin % too high?
RIKEN KEIKI Co's current Gross Margin % of 54.10% is 12% above median its 10-year median of 48.48. Over the past 10 years, this metric has ranged from a low of 44.79 to a high of 51.47. The Business Services industry median Gross Margin % is 34.52. RIKEN KEIKI Co's value of 54.10% is 56.7% above this industry median. Based on the distribution chart, RIKEN KEIKI Co ranks #311 out of 1008 companies in the Business Services industry, which is above the industry midpoint. Overall, RIKEN KEIKI Co has a GF Score™ of 97/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does RIKEN KEIKI Co's Gross Margin % compare to ALLE and MSA?
According to the Business Services industry distribution chart, RIKEN KEIKI Co ranks #311 out of 1008 companies for Gross Margin %. This puts RIKEN KEIKI Co in the upper half of its industry. The industry median Gross Margin % is 34.52. RIKEN KEIKI Co's value of 54.10% is 56.7% above this benchmark. Historically, RIKEN KEIKI Co's own Gross Margin % has ranged from 44.79 to 51.47 over the past decade. While the company's 10-year median is 48.48 vs. the industry median of 34.52, RIKEN KEIKI 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 34.52, based on 1,008 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. RIKEN KEIKI Co's current Gross Margin % of 54.10% 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 RIKEN KEIKI Co and its competitors. For the Business Services industry, the median Gross Margin % is 34.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RIKEN KEIKI Co's current Gross Margin % is 54.10%, which is 12% above median its own 10-year median of 48.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RIKEN KEIKI Co stock overvalued right now?
Based on GuruFocus' analysis, RIKEN KEIKI Co (TSE:7734) is currently considered Fairly Valued. The stock's GF Value™ is 円3,813.13, compared to a current price of 円3,465.00 — trading 9.1% below its estimated fair value. The current Gross Margin % is 54.10%, which is 12% above median its 10-year median of 48.48 and 56.7% above the Business Services industry median of 34.52. RIKEN KEIKI Co's overall GF Score™ is 97/100. 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 RIKEN KEIKI Co (TSE:7734), the current Gross Margin % is 54.10% 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 RIKEN KEIKI Co (TSE:7734) Overvalued in 2026?

Based on GuruFocus' analysis, RIKEN KEIKI Co stock appears to be undervalued. The current stock price of 円3,465.00 is trading 9.1% below its estimated GF Value™ of 円3,813.13. GuruFocus considers RIKEN KEIKI Co to be Fairly Valued.

Key valuation signals for TSE:7734:

  • Gross Margin %: 54.10% (12% above median its 10-year median of 48.48)
  • GF Value™: 円3,813.13 vs. price of 円3,465.00 (9.1% below fair value)
  • GF Score™: 97/100
  • Industry Position: 56.7% above the Business Services median (#311 of 1008)

No single metric tells the full story. See the TSE:7734 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


RIKEN KEIKI Co Business Description

Address 2-7-6 Azusawa Itabashi-Ku, Tokyo, JPN, 174-8744
RIKEN KEIKI Co Ltd is a Japan-based company engaged in the business of manufacturing and selling of gas alarms. It offers fixed and portable flammable gas detectors, toxic gas detectors and oxygen deficiency prevention detectors, portable multi-gas monitors and environmental monitors.
97GF Score

Get the complete analysis for TSE:7734

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

円3,465.00
Price
円3,813.13
GF Value