Makoto Construction CoTSE:8995 +0.12%54 Gross Margin % is 14.78% as of Mar. 2026, which is 14% below its 10-year median of 17.28. GuruFocus rates TSE:8995 with a GF Score™ of 54/100 and a GF Value™ of 円754.61 (Fairly Valued). The stock has 8 warning signs investors should review. Among 1,642 Real Estate companies, Makoto Construction Co ranks worse than 85.08% on this metric.
TSE:8995's Gross Margin % is ranked worse than 85.08% of 1642
companies
in the Real Estate industry
Industry Median: 36.975
vs TSE:8995: 14.15
Makoto Construction Co had a gross margin of 14.78% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Makoto Construction Co was -4.40% per year.
Makoto Construction Co (TSE:8995) 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
Makoto Construction Co had a gross margin of 14.78% for the quarter that ended in Mar. 2026 => No sustainable 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.
Makoto Construction Co Gross Margin % Related Terms
Makoto Construction Co Gross Margin % Historical Data
* Premium members only.
The historical data trend for Makoto Construction 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.
Makoto Construction Co Gross Margin % Competitor Comparison
For the Real Estate - Diversified subindustry, Makoto Construction 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.
Makoto Construction Co Gross Margin % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Makoto Construction Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Makoto Construction 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.
Makoto Construction Co (TSE:8995) has a Gross Margin % of 14.78% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Makoto Construction Co and its competitors. This is 14% below median its historical median of 17.28. Over the past decade, Makoto Construction Co's Gross Margin % has ranged from 13.96 to 21.73. According to the industry distribution chart, Makoto Construction Co ranks #1397 out of 1642 companies in the Real Estate industry, placing it in the top 85.1%.
Is Makoto Construction Co's Gross Margin % too high?
Makoto Construction Co's current Gross Margin % of 14.78% is 14% below median its 10-year median of 17.28. Over the past 10 years, this metric has ranged from a low of 13.96 to a high of 21.73. The Real Estate industry median Gross Margin % is 36.98. Makoto Construction Co's value of 14.78% is 60% below this industry median. Based on the distribution chart, Makoto Construction Co ranks #1397 out of 1642 companies in the Real Estate industry, which is in the bottom quartile relative to peers. Overall, Makoto Construction Co has a GF Score™ of 54/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Makoto Construction Co's Gross Margin % compare to competitors?
According to the Real Estate industry distribution chart, Makoto Construction Co ranks #1397 out of 1642 companies for Gross Margin %. This places Makoto Construction Co in the lower half of its industry. The industry median Gross Margin % is 36.98. Makoto Construction Co's value of 14.78% is 60% below this benchmark. Historically, Makoto Construction Co's own Gross Margin % has ranged from 13.96 to 21.73 over the past decade. While the company's 10-year median is 17.28 vs. the industry median of 36.98, Makoto Construction 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 Real Estate company?
The median Gross Margin % among Real Estate companies is 36.98, based on 1,642 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. Makoto Construction Co's current Gross Margin % of 14.78% is 60% 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 Makoto Construction Co and its competitors. For the Real Estate industry, the median Gross Margin % is 36.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Makoto Construction Co's current Gross Margin % is 14.78%, which is 14% below median its own 10-year median of 17.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Makoto Construction Co stock overvalued right now?
Based on GuruFocus' analysis, Makoto Construction Co (TSE:8995) is currently considered Fairly Valued. The stock's GF Value™ is 円754.61, compared to a current price of 円828.00 — trading 9.7% above its estimated fair value. The current Gross Margin % is 14.78%, which is 14% below median its 10-year median of 17.28 and 60% below the Real Estate industry median of 36.98. Makoto Construction Co's overall GF Score™ is 54/100 with 8 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 Makoto Construction Co (TSE:8995), the current Gross Margin % is 14.78% 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 Makoto Construction Co (TSE:8995) Overvalued in 2026?
Based on GuruFocus' analysis, Makoto Construction Co stock appears to be overvalued.
The current stock price of 円828.00 is trading 9.7% above its estimated GF Value™ of 円754.61.
GuruFocus considers Makoto Construction Co to be Fairly Valued.
Key valuation signals for TSE:8995:
Gross Margin %: 14.78% (14% below median its 10-year median of 17.28)
GF Value™: 円754.61 vs. price of 円828.00 (9.7% above fair value)
Industry Position: 60% below the Real Estate median (#1397 of 1642)
No single metric tells the full story. See the TSE:8995 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Makoto Construction Co Ltd is engaged in the in-house design & construction business in Japan. It builds homes and condominiums for residential purposes, as well as provides real estate agency services.
54GF 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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