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
Hedge Officeome Fundo De Investimento Imobiliario had a gross margin of 32.08% for the quarter that ended in Dec. 2025 => 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.
Hedge Officeome Fundo De Investimento Imobiliario Gross Margin % Related Terms
Hedge Officeome Fundo De Investimento Imobiliario 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.
Hedge Officeome Fundo De Investimento Imobiliario Gross Margin % Chart
Hedge Officeome Fundo De Investimento Imobiliario Annual Data
* 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.
Hedge Officeome Fundo De Investimento Imobiliario Gross Margin % vs REITs Industry
* 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.
Hedge Officeome Fundo De Investimento Imobiliario (BSP:HOFC11) has a Gross Margin % of 32.08% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Hedge Officeome Fundo De Investimento Imobiliario and its competitors. This is 41% below median its historical median of 54.10. Over the past decade, Hedge Officeome Fundo De Investimento Imobiliario's Gross Margin % has ranged from 32.08 to 84.45. According to the industry distribution chart, Hedge Officeome Fundo De Investimento Imobiliario ranks #627 out of 680 companies in the REITs industry, placing it in the top 92.2%.
Is Hedge Officeome Fundo De Investimento Imobiliario's Gross Margin % too high?
Hedge Officeome Fundo De Investimento Imobiliario's current Gross Margin % of 32.08% is 41% below median its 10-year median of 54.10. Over the past 10 years, this metric has ranged from a low of 32.08 to a high of 84.45. The REITs industry median Gross Margin % is 69.61. Hedge Officeome Fundo De Investimento Imobiliario's value of 32.08% is 53.9% below this industry median. Based on the distribution chart, Hedge Officeome Fundo De Investimento Imobiliario ranks #627 out of 680 companies in the REITs industry, which is in the bottom quartile relative to peers. Overall, Hedge Officeome Fundo De Investimento Imobiliario has a GF Score™ of 55/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hedge Officeome Fundo De Investimento Imobiliario's Gross Margin % compare to BXP and ARE?
According to the REITs industry distribution chart, Hedge Officeome Fundo De Investimento Imobiliario ranks #627 out of 680 companies for Gross Margin %. This places Hedge Officeome Fundo De Investimento Imobiliario in the lower half of its industry. The industry median Gross Margin % is 69.61. Hedge Officeome Fundo De Investimento Imobiliario's value of 32.08% is 53.9% below this benchmark. Historically, Hedge Officeome Fundo De Investimento Imobiliario's own Gross Margin % has ranged from 32.08 to 84.45 over the past decade. While the company's 10-year median is 54.10 vs. the industry median of 69.61, Hedge Officeome Fundo De Investimento Imobiliario 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 REITs company?
The median Gross Margin % among REITs companies is 69.61, based on 680 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. Hedge Officeome Fundo De Investimento Imobiliario's current Gross Margin % of 32.08% is 53.9% 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 Hedge Officeome Fundo De Investimento Imobiliario and its competitors. For the REITs industry, the median Gross Margin % is 69.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hedge Officeome Fundo De Investimento Imobiliario's current Gross Margin % is 32.08%, which is 41% below median its own 10-year median of 54.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hedge Officeome Fundo De Investimento Imobiliario stock overvalued right now?
Based on GuruFocus' analysis, Hedge Officeome Fundo De Investimento Imobiliario (BSP:HOFC11) is currently considered Significantly Overvalued. The stock's GF Value™ is R$22.43, compared to a current price of R$33.75 — trading 50.5% above its estimated fair value. The current Gross Margin % is 32.08%, which is 41% below median its 10-year median of 54.10 and 53.9% below the REITs industry median of 69.61. Hedge Officeome Fundo De Investimento Imobiliario's overall GF Score™ is 55/100 with 9 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 Hedge Officeome Fundo De Investimento Imobiliario (BSP:HOFC11), the current Gross Margin % is 32.08% as of Dec. 2025. 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 Hedge Officeome Fundo De Investimento Imobiliario (BSP:HOFC11) Overvalued in 2026?
Based on GuruFocus' analysis, Hedge Officeome Fundo De Investimento Imobiliario stock appears to be overvalued.
The current stock price of R$33.75 is trading 50.5% above its estimated GF Value™ of R$22.43.
GuruFocus considers Hedge Officeome Fundo De Investimento Imobiliario to be Significantly Overvalued.
Key valuation signals for BSP:HOFC11:
Gross Margin %: 32.08% (41% below median its 10-year median of 54.10)
GF Value™: R$22.43 vs. price of R$33.75 (50.5% above fair value)
Industry Position: 53.9% below the REITs median (#627 of 680)
No single metric tells the full story. See the BSP:HOFC11 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hedge Officeome Fundo De Investimento Imobiliario Business Description
Hedge Office Income Fundo De Investimento Imobiliario operates as a corporate Real Estate Fund .The objective of the Fund is to obtain income and capital gains to be obtained through the exploration of a or more real estate projects, aimed at the office segment including slabs and corporate buildings being certain that in such office developments there may be certain properties intended for commercial, retail activities.
55GF Score
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