Rathi Steel & Power (BOM:504903) Gross Margin %: 17.02% (As of Mar. 2026)


BOM:504903 Rathi Steel & Power Ltd BOM:504903
66 GF Score
Price ₹21.49
GF Value ₹33.07
Valuation Possible Value Trap
! 5 Warning Signs
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What is Rathi Steel & Power Gross Margin %?

Rathi Steel & Power BOM:504903 +3.02% 66 Gross Margin % is 17.02% as of Mar. 2026. GuruFocus rates BOM:504903 with a GF Score™ of 66/100 and a GF Value™ of ₹33.07 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 593 Steel companies, Rathi Steel & Power ranks better than 70.83% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Rathi Steel & Power's Gross Profit for the three months ended in Mar. 2026 was ₹416 Mil. Rathi Steel & Power's Revenue for the three months ended in Mar. 2026 was ₹2,444 Mil. Therefore, Rathi Steel & Power's Gross Margin % for the quarter that ended in Mar. 2026 was 17.02%.


The historical rank and industry rank for Rathi Steel & Power's Gross Margin % or its related term are showing as below:

BOM:504903' s Gross Margin % Range Over the Past 10 Years
Min: -200.72   Med: -0.55   Max: 24.9
Current: 20.05


During the past 13 years, the highest Gross Margin % of Rathi Steel & Power was 24.90%. The lowest was -200.72%. And the median was -0.55%.

BOM:504903's Gross Margin % is ranked better than
70.83% of 593 companies
in the Steel industry
Industry Median: 12.6 vs BOM:504903: 20.05

Rathi Steel & Power had a gross margin of 17.02% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Rathi Steel & Power was 0.00% per year.


Rathi Steel & Power  (BOM:504903) 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

Rathi Steel & Power had a gross margin of 17.02% 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.


Rathi Steel & Power Gross Margin % Related Terms


Rathi Steel & Power Gross Margin % Historical Data

* Premium members only.

The historical data trend for Rathi Steel & Power'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.

Rathi Steel & Power Gross Margin % Chart

Rathi Steel & Power Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.85 -8.34 6.68 24.90 20.05

Rathi Steel & Power Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 24.70 19.61 24.03 21.22 17.02

BOM:504903 vs NUE, STLD, RS: Gross Margin % Comparison

For the Steel subindustry, Rathi Steel & Power'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.


Rathi Steel & Power Gross Margin % vs Steel Industry

For the Steel industry and Basic Materials sector, Rathi Steel & Power's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Rathi Steel & Power's Gross Margin % falls into.


BOM:504903
66GF Score
Rathi Steel & Power Ltd BOM:504903
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Rathi Steel & Power Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Rathi Steel & Power's Gross Margin for the fiscal year that ended in Mar. 2026 is calculated as

Gross Margin % (A: Mar. 2026 )=Gross Profit (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=1435.6 / 7160.513
=(Revenue - Cost of Goods Sold) / Revenue
=(7160.513 - 5724.94) / 7160.513
=20.05 %

Rathi Steel & Power's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=415.9 / 2444.408
=(Revenue - Cost of Goods Sold) / Revenue
=(2444.408 - 2028.491) / 2444.408
=17.02 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 17.02% mean?
Rathi Steel & Power (BOM:504903) has a Gross Margin % of 17.02% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Rathi Steel & Power and its competitors. According to the industry distribution chart, Rathi Steel & Power ranks #173 out of 593 companies in the Steel industry, placing it in the top 29.2%.
Is Rathi Steel & Power's Gross Margin % too high?
Rathi Steel & Power's current Gross Margin % is 17.02%. The Steel industry median Gross Margin % is 12.60. Rathi Steel & Power's value of 17.02% is 35.1% above this industry median. Based on the distribution chart, Rathi Steel & Power ranks #173 out of 593 companies in the Steel industry, which is above the industry midpoint. Overall, Rathi Steel & Power has a GF Score™ of 66/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Rathi Steel & Power's Gross Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Rathi Steel & Power ranks #173 out of 593 companies for Gross Margin %. This puts Rathi Steel & Power in the upper half of its industry. The industry median Gross Margin % is 12.60. Rathi Steel & Power's value of 17.02% is 35.1% above this benchmark. 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 Steel company?
The median Gross Margin % among Steel companies is 12.60, based on 593 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. Rathi Steel & Power's current Gross Margin % of 17.02% is 35.1% 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 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 Rathi Steel & Power and its competitors. For the Steel industry, the median Gross Margin % is 12.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rathi Steel & Power's current Gross Margin % is 17.02%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rathi Steel & Power stock overvalued right now?
Based on GuruFocus' analysis, Rathi Steel & Power (BOM:504903) is currently considered Possible Value Trap. The stock's GF Value™ is ₹33.07, compared to a current price of ₹21.49 — trading 35% below its estimated fair value. The current Gross Margin % is 17.02% and 35.1% above the Steel industry median of 12.60. Rathi Steel & Power's overall GF Score™ is 66/100 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 Rathi Steel & Power (BOM:504903), the current Gross Margin % is 17.02% 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 Rathi Steel & Power (BOM:504903) Overvalued in 2026?

Based on GuruFocus' analysis, Rathi Steel & Power stock appears to be undervalued. The current stock price of ₹21.49 is trading 35% below its estimated GF Value™ of ₹33.07. GuruFocus considers Rathi Steel & Power to be Possible Value Trap.

Key valuation signals for BOM:504903:

  • Gross Margin %: 17.02%
  • GF Value™: ₹33.07 vs. price of ₹21.49 (35% below fair value)
  • GF Score™: 66/100 with 5 warning signs
  • Industry Position: 35.1% above the Steel median (#173 of 593)

No single metric tells the full story. See the BOM:504903 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Rathi Steel & Power Business Description

Address South of GT Road, Industrial Area No. 1, A-3 & C-4, Ghaziabad, UP, IND, 201009
Rathi Steel & Power Ltd is engaged in manufacturing steel and steel-based products. Its products include rebars and wire rods which are used in all key concrete constructions such as buildings, bridges, reservoirs, roads, irrigation and power structures, dock and harbor structures, foundations, piles, and precast concrete.
66GF Score

Get the complete analysis for BOM:504903

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹21.49
Price
₹33.07
GF Value