DoubleDown Interactive CoDDI +1.33%77 Gross Margin % is 74.06% as of Mar. 2026, which is 13% above its 10-year median of 65.55. GuruFocus rates DDI with a GF Score™ of 77/100 and a GF Value™ of $10.82 (Fairly Valued). The stock has 5 warning signs investors should review. Among 497 Interactive Media companies, DoubleDown Interactive Co ranks better than 60.16% on this metric.
DoubleDown Interactive Co (NAS:DDI) 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
DoubleDown Interactive Co had a gross margin of 74.06% 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.
DoubleDown Interactive Co Gross Margin % Related Terms
DoubleDown Interactive Co 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.
DDI vs GRVY, SOHU, GDEV: Gross Margin % Comparison
For the Electronic Gaming & Multimedia subindustry, DoubleDown Interactive Co'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.
DoubleDown Interactive Co Gross Margin % vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, DoubleDown Interactive Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where DoubleDown Interactive Co'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.
DoubleDown Interactive Co (DDI) has a Gross Margin % of 74.06% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on DoubleDown Interactive Co and its competitors. This is 13% above median its historical median of 65.55. Over the past decade, DoubleDown Interactive Co's Gross Margin % has ranged from 61.01 to 72.52. According to the industry distribution chart, DoubleDown Interactive Co ranks #198 out of 497 companies in the Interactive Media industry, placing it in the top 39.8%.
Is DoubleDown Interactive Co's Gross Margin % too high?
DoubleDown Interactive Co's current Gross Margin % of 74.06% is 13% above median its 10-year median of 65.55. Over the past 10 years, this metric has ranged from a low of 61.01 to a high of 72.52. The Interactive Media industry median Gross Margin % is 62.58. DoubleDown Interactive Co's value of 74.06% is 18.3% above this industry median. Based on the distribution chart, DoubleDown Interactive Co ranks #198 out of 497 companies in the Interactive Media industry, which is above the industry midpoint. Overall, DoubleDown Interactive Co has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does DoubleDown Interactive Co's Gross Margin % compare to GRVY and SOHU?
According to the Interactive Media industry distribution chart, DoubleDown Interactive Co ranks #198 out of 497 companies for Gross Margin %. This puts DoubleDown Interactive Co in the upper half of its industry. The industry median Gross Margin % is 62.58. DoubleDown Interactive Co's value of 74.06% is 18.3% above this benchmark. Historically, DoubleDown Interactive Co's own Gross Margin % has ranged from 61.01 to 72.52 over the past decade. While the company's 10-year median is 65.55 vs. the industry median of 62.58, DoubleDown Interactive Co 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 Gross Margin % for an Interactive Media company?
The median Gross Margin % among Interactive Media companies is 62.58, based on 497 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. DoubleDown Interactive Co's current Gross Margin % of 74.06% is 18.3% 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 DoubleDown Interactive Co and its competitors. For the Interactive Media industry, the median Gross Margin % is 62.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DoubleDown Interactive Co's current Gross Margin % is 74.06%, which is 13% above median its own 10-year median of 65.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DoubleDown Interactive Co stock overvalued right now?
Based on GuruFocus' analysis, DoubleDown Interactive Co (DDI) is currently considered Fairly Valued. The stock's GF Value™ is $10.82, compared to a current price of $11.44 — trading 5.7% above its estimated fair value. The current Gross Margin % is 74.06%, which is 13% above median its 10-year median of 65.55 and 18.3% above the Interactive Media industry median of 62.58. DoubleDown Interactive Co's overall GF Score™ is 77/100 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 DoubleDown Interactive Co (DDI), the current Gross Margin % is 74.06% 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 DoubleDown Interactive Co (DDI) Overvalued in 2026?
Based on GuruFocus' analysis, DoubleDown Interactive Co stock appears to be overvalued.
The current stock price of $11.44 is trading 5.7% above its estimated GF Value™ of $10.82.
GuruFocus considers DoubleDown Interactive Co to be Fairly Valued.
Key valuation signals for DDI:
Gross Margin %: 74.06% (13% above median its 10-year median of 65.55)
GF Value™: $10.82 vs. price of $11.44 (5.7% above fair value)
Industry Position: 18.3% above the Interactive Media median (#198 of 497)
No single metric tells the full story. See the DDI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
DoubleDown Interactive Co Ltd is a developer and publisher of digital games on mobile and web-based platforms. The company is the creator of multi-format interactive entertainment experiences for casual players. The company's operating segments include the social casino games segment and the iGaming segment. The company generates the majority of its revenue from social casino games. Geographically, the company generates the majority of its revenue from the United States, while it also has its presence in Canada, Germany, United Kingdom, and International-Other. The games offered by the company are: Doubledown Casion, Doubledown Fortknox, and Doubledown Classic Slots.
77GF Score
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