DMSTSE:9782 +2.27%72 Gross Margin % is 10.19% as of Mar. 2026, which is 2% below its 10-year median of 10.44. GuruFocus rates TSE:9782 with a GF Score™ of 72/100 and a GF Value™ of 円2,197.30 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 946 Media - Diversified companies, DMS ranks worse than 88.79% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. DMS's Gross Profit for the
six
months ended in Mar. 2026 was 円1,676 Mil. DMS's Revenue for the
six
months ended in Mar. 2026 was 円16,449 Mil. Therefore, DMS's Gross Margin % for the quarter that ended in Mar. 2026 was 10.19%.
Warning Sign:
DMS Inc gross margin has been in long-term decline. The average rate of decline per year is -3.2%.
The historical rank and industry rank for DMS's Gross Margin % or its related term are showing as below:
TSE:9782'
s Gross Margin % Range Over the Past 10 Years
Min: 9.35 Med: 10.44 Max: 11.39
Current: 9.66
During the past 13 years, the highestGross Margin % of DMS was 11.39%. The lowest was 9.35%. And the median was 10.44%.
TSE:9782's Gross Margin % is ranked worse than 88.79% of 946
companies
in the Media - Diversified industry
Industry Median: 38.91
vs TSE:9782: 9.66
DMS had a gross margin of 10.19% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for DMS was -3.20% per year.
DMS (TSE:9782) 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
DMS had a gross margin of 10.19% 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.
DMS Gross Margin % Related Terms
DMS Gross Margin % Historical Data
* Premium members only.
The historical data trend for DMS'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:9782 vs APP, OMC, TTD: Gross Margin % Comparison
For the Advertising Agencies subindustry, DMS'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.
DMS Gross Margin % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, DMS's Gross Margin % distribution charts can be found below:
* The bar in red indicates where DMS'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.
DMS (TSE:9782) has a Gross Margin % of 10.19% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on DMS and its competitors. This is near median its historical median of 10.44. Over the past decade, DMS's Gross Margin % has ranged from 9.35 to 11.39. According to the industry distribution chart, DMS ranks #840 out of 946 companies in the Media - Diversified industry, placing it in the top 88.8%.
Is DMS's Gross Margin % too high?
DMS's current Gross Margin % of 10.19% is near median its 10-year median of 10.44. Over the past 10 years, this metric has ranged from a low of 9.35 to a high of 11.39. The Media - Diversified industry median Gross Margin % is 38.91. DMS's value of 10.19% is 73.8% below this industry median. Based on the distribution chart, DMS ranks #840 out of 946 companies in the Media - Diversified industry, which is in the bottom quartile relative to peers. Overall, DMS has a GF Score™ of 72/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does DMS's Gross Margin % compare to APP and OMC?
According to the Media - Diversified industry distribution chart, DMS ranks #840 out of 946 companies for Gross Margin %. This places DMS in the lower half of its industry. The industry median Gross Margin % is 38.91. DMS's value of 10.19% is 73.8% below this benchmark. Historically, DMS's own Gross Margin % has ranged from 9.35 to 11.39 over the past decade. While the company's 10-year median is 10.44 vs. the industry median of 38.91, DMS 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 Media - Diversified company?
The median Gross Margin % among Media - Diversified companies is 38.91, based on 946 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. DMS's current Gross Margin % of 10.19% is 73.8% 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 DMS and its competitors. For the Media - Diversified industry, the median Gross Margin % is 38.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DMS's current Gross Margin % is 10.19%, which is near median its own 10-year median of 10.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DMS stock overvalued right now?
Based on GuruFocus' analysis, DMS (TSE:9782) is currently considered Significantly Overvalued. The stock's GF Value™ is 円2,197.30, compared to a current price of 円3,380.00 — trading 53.8% above its estimated fair value. The current Gross Margin % is 10.19%, which is near median its 10-year median of 10.44 and 73.8% below the Media - Diversified industry median of 38.91. DMS's overall GF Score™ is 72/100 with 3 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 DMS (TSE:9782), the current Gross Margin % is 10.19% 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 DMS (TSE:9782) Overvalued in 2026?
Based on GuruFocus' analysis, DMS stock appears to be overvalued.
The current stock price of 円3,380.00 is trading 53.8% above its estimated GF Value™ of 円2,197.30.
GuruFocus considers DMS to be Significantly Overvalued.
Key valuation signals for TSE:9782:
Gross Margin %: 10.19% (near median its 10-year median of 10.44)
GF Value™: 円2,197.30 vs. price of 円3,380.00 (53.8% above fair value)
Industry Position: 73.8% below the Media - Diversified median (#840 of 946)
No single metric tells the full story. See the TSE:9782 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
DMS Inc provides direct mailing and sales promotion services in Japan. The company processes and distributes direct mailing, and logistics support for outsourcing services including sales promotion, sales promotion business, event business, rental business, and other related activities.
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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