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Red VioletRDVT -0.42%68 EBITDA Margin % is 31.96% as of Mar. 2026, which is 3616% above its 10-year median of 0.86. GuruFocus rates RDVT with a GF Score™ of 68/100 and a GF Value™ of $41.88 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 2,824 Software companies, Red Violet ranks better than 85.52% on this metric.
EBITDA Margin % is calculated as EBITDA divided by its Revenue. Red Violet's EBITDA for the
three
months ended in Mar. 2026 was $8.25 Mil. Red Violet's Revenue for the
three
months ended in Mar. 2026 was $25.83 Mil. Therefore, Red Violet's EBITDA margin for the quarter that ended in Mar. 2026 was 31.96%.
Red Violet (NAS:RDVT) EBITDA Margin % Explanation
EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.
Red Violet EBITDA Margin % Related Terms
Red Violet EBITDA Margin % Historical Data
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The historical data trend for Red Violet's EBITDA 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.
RDVT vs GTM, MITK, IBTA: EBITDA Margin % Comparison
For the Software - Application subindustry, Red Violet's EBITDA Margin %, along with its competitors' market caps and EBITDA 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.
Red Violet EBITDA Margin % vs Software Industry
For the Software industry and Technology sector, Red Violet's EBITDA Margin % distribution charts can be found below:
* The bar in red indicates where Red Violet's EBITDA 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.
Red Violet (RDVT) has a EBITDA Margin % of 31.96% as of Mar. 2026. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Red Violet and its competitors. This is 3616% above median its historical median of 0.86. According to the industry distribution chart, Red Violet ranks #409 out of 2824 companies in the Software industry, placing it in the top 14.5%.
Is Red Violet's EBITDA Margin % too high?
Red Violet's current EBITDA Margin % of 31.96% is 3616% above median its 10-year median of 0.86. The Software industry median EBITDA Margin % is 8.10. Red Violet's value of 31.96% is 294.6% above this industry median. Based on the distribution chart, Red Violet ranks #409 out of 2824 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Red Violet has a GF Score™ of 68/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Red Violet's EBITDA Margin % compare to GTM and MITK?
According to the Software industry distribution chart, Red Violet ranks #409 out of 2824 companies for EBITDA Margin %. This places Red Violet in the top 15% of its industry — outperforming the majority of peers. The industry median EBITDA Margin % is 8.10. Red Violet's value of 31.96% is 294.6% above this benchmark. While the company's 10-year median is 0.86 vs. the industry median of 8.10, Red Violet 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 EBITDA Margin % for a Software company?
The median EBITDA Margin % among Software companies is 8.10, based on 2,824 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Red Violet's current EBITDA Margin % of 31.96% is 294.6% 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 EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Red Violet and its competitors. For the Software industry, the median EBITDA Margin % is 8.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Red Violet's current EBITDA Margin % is 31.96%, which is 3616% above median its own 10-year median of 0.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Red Violet stock overvalued right now?
Based on GuruFocus' analysis, Red Violet (RDVT) is currently considered Significantly Overvalued. The stock's GF Value™ is $41.88, compared to a current price of $66.43 — trading 58.6% above its estimated fair value. The current EBITDA Margin % is 31.96%, which is 3616% above median its 10-year median of 0.86 and 294.6% above the Software industry median of 8.10. Red Violet's overall GF Score™ is 68/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For Red Violet (RDVT), the current EBITDA Margin % is 31.96% 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 Red Violet (RDVT) Overvalued in 2026?
Based on GuruFocus' analysis, Red Violet stock appears to be overvalued.
The current stock price of $66.43 is trading 58.6% above its estimated GF Value™ of $41.88.
GuruFocus considers Red Violet to be Significantly Overvalued.
Key valuation signals for RDVT:
EBITDA Margin %: 31.96% (3616% above median its 10-year median of 0.86)
GF Value™: $41.88 vs. price of $66.43 (58.6% above fair value)
Industry Position: 294.6% above the Software median (#409 of 2824)
No single metric tells the full story. See the RDVT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Red Violet Inc builds proprietary technologies and applies analytical capabilities to deliver identity intelligence. The company's solutions enable the real-time identification and location of people, businesses, assets, and their interrelationships. These solutions are used for purposes including identity verification, risk mitigation, due diligence, fraud detection and prevention, regulatory compliance, and customer acquisition. Its cloud-native, AI-enabled identity intelligence platform, CORE, is purpose-built for the enterprise, yet flexible enough for organizations of all sizes, bringing clarity to massive datasets by transforming data into intelligence. The company generates substantially all of its revenue from licensing its solutions.
68GF Score
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