Shin-Etsu Polymer CoTSE:7970 +2.13%90 Gross Margin % is 28.79% as of Mar. 2026, which is 7% below its 10-year median of 31.10. GuruFocus rates TSE:7970 with a GF Score™ of 90/100 and a GF Value™ of 円1,751.66 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,556 Chemicals companies, Shin-Etsu Polymer Co ranks better than 65.04% on this metric.
The historical rank and industry rank for Shin-Etsu Polymer Co's Gross Margin % or its related term are showing as below:
TSE:7970'
s Gross Margin % Range Over the Past 10 Years
Min: 29.85 Med: 31.1 Max: 32.01
Current: 30.03
During the past 13 years, the highestGross Margin % of Shin-Etsu Polymer Co was 32.01%. The lowest was 29.85%. And the median was 31.10%.
TSE:7970's Gross Margin % is ranked better than 65.04% of 1556
companies
in the Chemicals industry
Industry Median: 23.465
vs TSE:7970: 30.03
Shin-Etsu Polymer Co had a gross margin of 28.79% for the quarter that ended in Mar. 2026 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Shin-Etsu Polymer Co was -0.90% per year.
Shin-Etsu Polymer Co (TSE:7970) 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
Shin-Etsu Polymer Co had a gross margin of 28.79% 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.
Shin-Etsu Polymer Co Gross Margin % Related Terms
Shin-Etsu Polymer Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Shin-Etsu Polymer 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:7970 vs LIN, SHW, ECL: Gross Margin % Comparison
For the Specialty Chemicals subindustry, Shin-Etsu Polymer 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.
Shin-Etsu Polymer Co Gross Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Shin-Etsu Polymer Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Shin-Etsu Polymer 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.
Shin-Etsu Polymer Co (TSE:7970) has a Gross Margin % of 28.79% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Shin-Etsu Polymer Co and its competitors. This is near median its historical median of 31.10. Over the past decade, Shin-Etsu Polymer Co's Gross Margin % has ranged from 29.85 to 32.01. According to the industry distribution chart, Shin-Etsu Polymer Co ranks #544 out of 1556 companies in the Chemicals industry, placing it in the top 35%.
Is Shin-Etsu Polymer Co's Gross Margin % too high?
Shin-Etsu Polymer Co's current Gross Margin % of 28.79% is near median its 10-year median of 31.10. Over the past 10 years, this metric has ranged from a low of 29.85 to a high of 32.01. The Chemicals industry median Gross Margin % is 23.47. Shin-Etsu Polymer Co's value of 28.79% is 22.7% above this industry median. Based on the distribution chart, Shin-Etsu Polymer Co ranks #544 out of 1556 companies in the Chemicals industry, which is above the industry midpoint. Overall, Shin-Etsu Polymer Co has a GF Score™ of 90/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shin-Etsu Polymer Co's Gross Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Shin-Etsu Polymer Co ranks #544 out of 1556 companies for Gross Margin %. This puts Shin-Etsu Polymer Co in the upper half of its industry. The industry median Gross Margin % is 23.47. Shin-Etsu Polymer Co's value of 28.79% is 22.7% above this benchmark. Historically, Shin-Etsu Polymer Co's own Gross Margin % has ranged from 29.85 to 32.01 over the past decade. While the company's 10-year median is 31.10 vs. the industry median of 23.47, Shin-Etsu Polymer 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 Chemicals company?
The median Gross Margin % among Chemicals companies is 23.47, based on 1,556 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. Shin-Etsu Polymer Co's current Gross Margin % of 28.79% is 22.7% 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 Shin-Etsu Polymer Co and its competitors. For the Chemicals industry, the median Gross Margin % is 23.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shin-Etsu Polymer Co's current Gross Margin % is 28.79%, which is near median its own 10-year median of 31.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shin-Etsu Polymer Co stock overvalued right now?
Based on GuruFocus' analysis, Shin-Etsu Polymer Co (TSE:7970) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,751.66, compared to a current price of 円2,442.00 — trading 39.4% above its estimated fair value. The current Gross Margin % is 28.79%, which is near median its 10-year median of 31.10 and 22.7% above the Chemicals industry median of 23.47. Shin-Etsu Polymer Co's overall GF Score™ is 90/100 with 6 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 Shin-Etsu Polymer Co (TSE:7970), the current Gross Margin % is 28.79% 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 Shin-Etsu Polymer Co (TSE:7970) Overvalued in 2026?
Based on GuruFocus' analysis, Shin-Etsu Polymer Co stock appears to be overvalued.
The current stock price of 円2,442.00 is trading 39.4% above its estimated GF Value™ of 円1,751.66.
GuruFocus considers Shin-Etsu Polymer Co to be Significantly Overvalued.
Key valuation signals for TSE:7970:
Gross Margin %: 28.79% (near median its 10-year median of 31.10)
GF Value™: 円1,751.66 vs. price of 円2,442.00 (39.4% above fair value)
Industry Position: 22.7% above the Chemicals median (#544 of 1556)
No single metric tells the full story. See the TSE:7970 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shin-Etsu Polymer Co Ltd manufactures polyvinyl and rubber products. The company develops applications for using the silicone and various plastics involving materials and compounding, design, molding processes, and evaluation and analysis and meets the needs of customers engaged in the field from automobiles and information devices to semiconductors and construction materials. Shin-Etsu sells its products mainly to the electronic devices industry, housing and living materials industry, precision molding products industry and others but majority of the revenues are derived from precision molding products which includes shipping and carrying containers for semiconductor silicon wafers, materials for automatic mounting of electronic components, office automation device components.
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