Dar Al Dawa Development and Investment (AMM:DADI) 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
Dar Al Dawa Development and Investment had a gross margin of 46.14% for the quarter that ended in Mar. 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.
Dar Al Dawa Development and Investment Gross Margin % Related Terms
Dar Al Dawa Development and Investment 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.
Dar Al Dawa Development and Investment Gross Margin % Chart
Dar Al Dawa Development and Investment Annual Data
AMM:DADI vs ZTS, UTHR, VTRS: Gross Margin % Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Dar Al Dawa Development and Investment'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.
Dar Al Dawa Development and Investment Gross Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Dar Al Dawa Development and Investment's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Dar Al Dawa Development and Investment'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.
Dar Al Dawa Development and Investment (AMM:DADI) has a Gross Margin % of 46.14% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Dar Al Dawa Development and Investment and its competitors. This is 14% above median its historical median of 40.50. Over the past decade, Dar Al Dawa Development and Investment's Gross Margin % has ranged from 37.27 to 47.37. According to the industry distribution chart, Dar Al Dawa Development and Investment ranks #562 out of 937 companies in the Drug Manufacturers industry, placing it in the top 60%.
Is Dar Al Dawa Development and Investment's Gross Margin % too high?
Dar Al Dawa Development and Investment's current Gross Margin % of 46.14% is 14% above median its 10-year median of 40.50. Over the past 10 years, this metric has ranged from a low of 37.27 to a high of 47.37. The Drug Manufacturers industry median Gross Margin % is 48.46. Dar Al Dawa Development and Investment's value of 46.14% is 4.8% below this industry median. Based on the distribution chart, Dar Al Dawa Development and Investment ranks #562 out of 937 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Dar Al Dawa Development and Investment has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Dar Al Dawa Development and Investment's Gross Margin % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Dar Al Dawa Development and Investment ranks #562 out of 937 companies for Gross Margin %. This places Dar Al Dawa Development and Investment in the lower half of its industry. The industry median Gross Margin % is 48.46. Dar Al Dawa Development and Investment's value of 46.14% is 4.8% below this benchmark. Historically, Dar Al Dawa Development and Investment's own Gross Margin % has ranged from 37.27 to 47.37 over the past decade. While the company's 10-year median is 40.50 vs. the industry median of 48.46, Dar Al Dawa Development and Investment 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 Drug Manufacturers company?
The median Gross Margin % among Drug Manufacturers companies is 48.46, based on 937 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. Dar Al Dawa Development and Investment's current Gross Margin % of 46.14% is 4.8% 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 Dar Al Dawa Development and Investment and its competitors. For the Drug Manufacturers industry, the median Gross Margin % is 48.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dar Al Dawa Development and Investment's current Gross Margin % is 46.14%, which is 14% above median its own 10-year median of 40.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dar Al Dawa Development and Investment stock overvalued right now?
Based on GuruFocus' analysis, Dar Al Dawa Development and Investment (AMM:DADI) is currently considered Fairly Valued. The stock's GF Value™ is JOD1.10, compared to a current price of JOD1.14 — trading 3.6% above its estimated fair value. The current Gross Margin % is 46.14%, which is 14% above median its 10-year median of 40.50 and 4.8% below the Drug Manufacturers industry median of 48.46. Dar Al Dawa Development and Investment's overall GF Score™ is 77/100 with 4 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 Dar Al Dawa Development and Investment (AMM:DADI), the current Gross Margin % is 46.14% 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 Dar Al Dawa Development and Investment (AMM:DADI) Overvalued in 2026?
Based on GuruFocus' analysis, Dar Al Dawa Development and Investment stock appears to be overvalued.
The current stock price of JOD1.14 is trading 3.6% above its estimated GF Value™ of JOD1.10.
GuruFocus considers Dar Al Dawa Development and Investment to be Fairly Valued.
Key valuation signals for AMM:DADI:
Gross Margin %: 46.14% (14% above median its 10-year median of 40.50)
GF Value™: JOD1.10 vs. price of JOD1.14 (3.6% above fair value)
Industry Position: 4.8% below the Drug Manufacturers median (#562 of 937)
No single metric tells the full story. See the AMM:DADI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dar Al Dawa Development and Investment Business Description
Dar Al Dawa Development and Investment is a pharmaceutical company. The main objectives are the production of medical, chemical, and pharmaceutical products, and importing pharmaceutical products. The subsidiaries' main objectives are marketing and distributing the Company's products, producing some specialized medical products, and investment activities. It offers products in the therapeutic areas of anti-infective, cardiovascular, diabetes, dermatology, eye-ear preparations, gastroenterology and metabolism, genitourinary system and sex hormones, musculoskeletal system, nervous system, ophthalmological/otological, and respiratory system, as well as vitamins. The company's geographical segments are Levant and Iraq, Gulf and Yemen, Africa, and Europe and Asia.
77GF Score
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