Saikaya Department Store CoTSE:8254 42 Gross Margin % is 47.29% as of Feb. 2026, which is 122% above its 10-year median of 21.27. GuruFocus rates TSE:8254 with a GF Score™ of 42/100 and a GF Value™ of 円330.78 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,113 Retail - Cyclical companies, Saikaya Department Store Co ranks better than 71.25% on this metric.
Saikaya Department Store Co (TSE:8254) 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
Saikaya Department Store Co had a gross margin of 47.29% for the quarter that ended in Feb. 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.
Saikaya Department Store Co Gross Margin % Related Terms
Saikaya Department Store Co Gross Margin % Historical Data
* 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.
For the Department Stores subindustry, Saikaya Department Store 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.
Saikaya Department Store Co Gross Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Saikaya Department Store Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Saikaya Department Store 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.
Saikaya Department Store Co (TSE:8254) has a Gross Margin % of 47.29% as of Feb. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Saikaya Department Store Co and its competitors. This is 122% above median its historical median of 21.27. Over the past decade, Saikaya Department Store Co's Gross Margin % has ranged from 20.07 to 59.98. According to the industry distribution chart, Saikaya Department Store Co ranks #320 out of 1113 companies in the Retail - Cyclical industry, placing it in the top 28.8%.
Is Saikaya Department Store Co's Gross Margin % too high?
Saikaya Department Store Co's current Gross Margin % of 47.29% is 122% above median its 10-year median of 21.27. Over the past 10 years, this metric has ranged from a low of 20.07 to a high of 59.98. The Retail - Cyclical industry median Gross Margin % is 36.37. Saikaya Department Store Co's value of 47.29% is 30% above this industry median. Based on the distribution chart, Saikaya Department Store Co ranks #320 out of 1113 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Saikaya Department Store Co has a GF Score™ of 42/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Saikaya Department Store Co's Gross Margin % compare to DDS and M?
According to the Retail - Cyclical industry distribution chart, Saikaya Department Store Co ranks #320 out of 1113 companies for Gross Margin %. This puts Saikaya Department Store Co in the upper half of its industry. The industry median Gross Margin % is 36.37. Saikaya Department Store Co's value of 47.29% is 30% above this benchmark. Historically, Saikaya Department Store Co's own Gross Margin % has ranged from 20.07 to 59.98 over the past decade. While the company's 10-year median is 21.27 vs. the industry median of 36.37, Saikaya Department Store 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 Retail - Cyclical company?
The median Gross Margin % among Retail - Cyclical companies is 36.37, based on 1,113 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. Saikaya Department Store Co's current Gross Margin % of 47.29% is 30% 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 Saikaya Department Store Co and its competitors. For the Retail - Cyclical industry, the median Gross Margin % is 36.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Saikaya Department Store Co's current Gross Margin % is 47.29%, which is 122% above median its own 10-year median of 21.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Saikaya Department Store Co stock overvalued right now?
Based on GuruFocus' analysis, Saikaya Department Store Co (TSE:8254) is currently considered Modestly Undervalued. The stock's GF Value™ is 円330.78, compared to a current price of 円276.00 — trading 16.6% below its estimated fair value. The current Gross Margin % is 47.29%, which is 122% above median its 10-year median of 21.27 and 30% above the Retail - Cyclical industry median of 36.37. Saikaya Department Store Co's overall GF Score™ is 42/100 with 5 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 Saikaya Department Store Co (TSE:8254), the current Gross Margin % is 47.29% as of Feb. 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 Saikaya Department Store Co (TSE:8254) Overvalued in 2026?
Based on GuruFocus' analysis, Saikaya Department Store Co stock appears to be undervalued.
The current stock price of 円276.00 is trading 16.6% below its estimated GF Value™ of 円330.78.
GuruFocus considers Saikaya Department Store Co to be Modestly Undervalued.
Key valuation signals for TSE:8254:
Gross Margin %: 47.29% (122% above median its 10-year median of 21.27)
GF Value™: 円330.78 vs. price of 円276.00 (16.6% below fair value)
Industry Position: 30% above the Retail - Cyclical median (#320 of 1113)
No single metric tells the full story. See the TSE:8254 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Saikaya Department Store Co Ltd formerly, Saikaya Co Ltd operates in the department stores industry. The company is engaged in the operation of department store chains in Kanagawa prefecture. It also operates a supermarket chain and real estate business.
42GF Score
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