Kensoh CoTSE:7939 +0.68%72 Gross Margin % is 28.86% as of Mar. 2026, which is 7% below its 10-year median of 30.97. GuruFocus rates TSE:7939 with a GF Score™ of 72/100 and a GF Value™ of 円579.20 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,007 Business Services companies, Kensoh Co ranks worse than 59.09% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Kensoh Co's Gross Profit for the
six
months ended in Mar. 2026 was 円1,004 Mil. Kensoh Co's Revenue for the
six
months ended in Mar. 2026 was 円3,478 Mil. Therefore, Kensoh Co's Gross Margin % for the quarter that ended in Mar. 2026 was 28.86%.
Warning Sign:
Kensoh Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -2%.
The historical rank and industry rank for Kensoh Co's Gross Margin % or its related term are showing as below:
TSE:7939'
s Gross Margin % Range Over the Past 10 Years
Min: 28.96 Med: 30.97 Max: 32.23
Current: 28.97
During the past 13 years, the highestGross Margin % of Kensoh Co was 32.23%. The lowest was 28.96%. And the median was 30.97%.
TSE:7939's Gross Margin % is ranked worse than 59.09% of 1007
companies
in the Business Services industry
Industry Median: 34.5
vs TSE:7939: 28.97
Kensoh Co had a gross margin of 28.86% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Kensoh Co was -2.00% per year.
Kensoh Co (TSE:7939) 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
Kensoh Co had a gross margin of 28.86% 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.
Kensoh Co Gross Margin % Related Terms
Kensoh Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Kensoh 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.
TSE:7939 vs CTAS, CPRT, ULS: Gross Margin % Comparison
For the Specialty Business Services subindustry, Kensoh 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.
Kensoh Co Gross Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Kensoh Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Kensoh 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.
Kensoh Co (TSE:7939) has a Gross Margin % of 28.86% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Kensoh Co and its competitors. This is near median its historical median of 30.97. Over the past decade, Kensoh Co's Gross Margin % has ranged from 28.96 to 32.23. According to the industry distribution chart, Kensoh Co ranks #595 out of 1007 companies in the Business Services industry, placing it in the top 59.1%.
Is Kensoh Co's Gross Margin % too high?
Kensoh Co's current Gross Margin % of 28.86% is near median its 10-year median of 30.97. Over the past 10 years, this metric has ranged from a low of 28.96 to a high of 32.23. The Business Services industry median Gross Margin % is 34.50. Kensoh Co's value of 28.86% is 16.3% below this industry median. Based on the distribution chart, Kensoh Co ranks #595 out of 1007 companies in the Business Services industry, which is below the industry midpoint. Overall, Kensoh Co has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kensoh Co's Gross Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Kensoh Co ranks #595 out of 1007 companies for Gross Margin %. This places Kensoh Co in the lower half of its industry. The industry median Gross Margin % is 34.50. Kensoh Co's value of 28.86% is 16.3% below this benchmark. Historically, Kensoh Co's own Gross Margin % has ranged from 28.96 to 32.23 over the past decade. While the company's 10-year median is 30.97 vs. the industry median of 34.50, Kensoh 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 a Business Services company?
The median Gross Margin % among Business Services companies is 34.50, based on 1,007 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. Kensoh Co's current Gross Margin % of 28.86% is 16.3% 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 Kensoh Co and its competitors. For the Business Services industry, the median Gross Margin % is 34.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kensoh Co's current Gross Margin % is 28.86%, which is near median its own 10-year median of 30.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kensoh Co stock overvalued right now?
Based on GuruFocus' analysis, Kensoh Co (TSE:7939) is currently considered Fairly Valued. The stock's GF Value™ is 円579.20, compared to a current price of 円588.00 — trading 1.5% above its estimated fair value. The current Gross Margin % is 28.86%, which is near median its 10-year median of 30.97 and 16.3% below the Business Services industry median of 34.50. Kensoh Co's overall GF Score™ is 72/100 with 4 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 Kensoh Co (TSE:7939), the current Gross Margin % is 28.86% 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 Kensoh Co (TSE:7939) Overvalued in 2026?
Based on GuruFocus' analysis, Kensoh Co stock appears to be overvalued.
The current stock price of 円588.00 is trading 1.5% above its estimated GF Value™ of 円579.20.
GuruFocus considers Kensoh Co to be Fairly Valued.
Key valuation signals for TSE:7939:
Gross Margin %: 28.86% (near median its 10-year median of 30.97)
GF Value™: 円579.20 vs. price of 円588.00 (1.5% above fair value)
Industry Position: 16.3% below the Business Services median (#595 of 1007)
No single metric tells the full story. See the TSE:7939 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kensoh Co Ltd is a Japanese company engaged in manufacturing and selling metal sign products for corporations. Its products include corporate names, billboards, and nameplates for buildings. The company also manufactures and wholesales machinery to create metal signs.
72GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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