Nagase BrothersTSE:9733 -1.29%83 Gross Margin % is 28.02% as of Mar. 2026, which is 7% below its 10-year median of 30.06. GuruFocus rates TSE:9733 with a GF Score™ of 83/100 and a GF Value™ of 円2,333.20 (Fairly Valued). The stock has 5 warning signs investors should review. Among 242 Education companies, Nagase Brothers ranks worse than 83.47% on this metric.
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
Nagase Brothers had a gross margin of 28.02% 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.
Nagase Brothers Gross Margin % Related Terms
Nagase Brothers Gross Margin % Historical Data
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The historical data trend for Nagase Brothers'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:9733 vs EDU, TAL, LAUR: Gross Margin % Comparison
For the Education & Training Services subindustry, Nagase Brothers'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.
Nagase Brothers Gross Margin % vs Education Industry
For the Education industry and Consumer Defensive sector, Nagase Brothers's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Nagase Brothers'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.
Nagase Brothers (TSE:9733) has a Gross Margin % of 28.02% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Nagase Brothers and its competitors. This is near median its historical median of 30.06. Over the past decade, Nagase Brothers' Gross Margin % has ranged from 25.94 to 33.27. According to the industry distribution chart, Nagase Brothers ranks #202 out of 242 companies in the Education industry, placing it in the top 83.5%.
Is Nagase Brothers' Gross Margin % too high?
Nagase Brothers' current Gross Margin % of 28.02% is near median its 10-year median of 30.06. Over the past 10 years, this metric has ranged from a low of 25.94 to a high of 33.27. The Education industry median Gross Margin % is 47.90. Nagase Brothers' value of 28.02% is 41.5% below this industry median. Based on the distribution chart, Nagase Brothers ranks #202 out of 242 companies in the Education industry, which is in the bottom quartile relative to peers. Overall, Nagase Brothers has a GF Score™ of 83/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Nagase Brothers' Gross Margin % compare to EDU and TAL?
According to the Education industry distribution chart, Nagase Brothers ranks #202 out of 242 companies for Gross Margin %. This places Nagase Brothers in the lower half of its industry. The industry median Gross Margin % is 47.90. Nagase Brothers' value of 28.02% is 41.5% below this benchmark. Historically, Nagase Brothers' own Gross Margin % has ranged from 25.94 to 33.27 over the past decade. While the company's 10-year median is 30.06 vs. the industry median of 47.90, Nagase Brothers 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 an Education company?
The median Gross Margin % among Education companies is 47.90, based on 242 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. Nagase Brothers's current Gross Margin % of 28.02% is 41.5% 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 Nagase Brothers and its competitors. For the Education industry, the median Gross Margin % is 47.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nagase Brothers's current Gross Margin % is 28.02%, which is near median its own 10-year median of 30.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nagase Brothers stock overvalued right now?
Based on GuruFocus' analysis, Nagase Brothers (TSE:9733) is currently considered Fairly Valued. The stock's GF Value™ is 円2,333.20, compared to a current price of 円2,300.00 — trading 1.4% below its estimated fair value. The current Gross Margin % is 28.02%, which is near median its 10-year median of 30.06 and 41.5% below the Education industry median of 47.90. Nagase Brothers' overall GF Score™ is 83/100 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 Nagase Brothers (TSE:9733), the current Gross Margin % is 28.02% 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 Nagase Brothers (TSE:9733) Overvalued in 2026?
Based on GuruFocus' analysis, Nagase Brothers stock appears to be undervalued.
The current stock price of 円2,300.00 is trading 1.4% below its estimated GF Value™ of 円2,333.20.
GuruFocus considers Nagase Brothers to be Fairly Valued.
Key valuation signals for TSE:9733:
Gross Margin %: 28.02% (near median its 10-year median of 30.06)
GF Value™: 円2,333.20 vs. price of 円2,300.00 (1.4% below fair value)
Industry Position: 41.5% below the Education median (#202 of 242)
No single metric tells the full story. See the TSE:9733 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nagase Brothers Inc operates cram schools. It offers educational services for elementary, junior high, and high school students. It also has business schools, elementary schools, and swimming schools; and offers entrance examination services, as well as publishes reference books.
83GF Score
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